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Trustee Act 1925
14BLaw and equity preserved
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14B Law and equity preserved
(1) Any rule or principle of law or equity that imposes a duty on a trustee
exercising a power of investment continues to apply except to the
extent that it is inconsistent with this or any other Act or with the trust
instrument.
(2) A duty mentioned in subsection (1) includes the following:
(a) a duty to exercise the powers of a trustee in the best interests of
all present and future beneficiaries of the trust;
(b) a duty to invest trust funds in investments that are not
speculative or hazardous;
(c) a duty to act impartially towards beneficiaries and different
classes of beneficiaries;
(d) a duty to take advice.
(3) If a provision in a trust instrument purports to exempt, indemnify or
limit the liability of a trustee in relation to a breach of trust, any rule
or principle of law or equity that relates to the provision continues to
apply.
(4) If a trustee is under a duty to take advice, the reasonable costs of
obtaining the advice are payable out of trust funds.