32Transfer of units

32 Transfer of units

(1) The owner of a unit may:

(a) transfer ownership of the unit to another entity; or

(b) grant a charge over the unit to another entity.

(2) However, the owner of a unit must not:

(a) dispose of the unit by way of a declaration of trust; or

(b) transfer a beneficial interest in the unit independently of the legal interest in the unit; or

(c) transfer ownership of a unit over which a charge is registered.

(3) A purported disposal or transfer that contravenes subsection (2) is of no effect.

(4) If an individual who owns a unit dies, ownership of the unit is transferred to the individual’s estate.

(5) A transfer of ownership or grant of a charge is of no effect unless it is registered under section 33.

(6) To avoid doubt, subsections (2) and (5) apply in relation to a transfer to a person as beneficiary of the estate of a deceased holder of units.