What it does
The Trustee Companies Act 1947 (ACT) establishes the legal framework under which a trustee company may act in various fiduciary capacities within the Australian Capital Territory. It confers on trustee companies the capacity to be appointed as executor, administrator, trustee, receiver, guardian of the estate of a child, or attorney, and sets out the procedures for such appointments. The Act also prescribes the liabilities , both corporate and personal , that attach when a trustee company assumes these roles.
The core function of the Act is to bridge the gap between corporate fiduciaries and the common law rules governing executors and trustees. Without it, a corporation would lack the legal personality to obtain a grant of probate or letters of administration, or to be appointed as a trustee where a natural person is required. Section 4 provides the basic power: if a trustee company is named as executor (expressly or by implication) in a will or codicil, it may act as executor, apply for probate, and perform all the duties of an executor. Sections 5 through 8 expand this by allowing a person who is entitled to probate or administration to authorise a trustee company to act jointly or in their place, subject to certain restrictions , notably, where the testator has expressed a desire that the office should not be delegated or that a trustee company should not act (ss 5(2), 6(2), 7(2)). Section 8A confirms that once probate or administration is granted to a trustee company, it may perform all the acts and duties of the relevant office.
Beyond executors and administrators, section 11 allows a trustee company to be appointed as trustee, receiver, or guardian of a child’s estate wherever any court or person has power to appoint such an officer. It may act as sole trustee even if the trust instrument contemplates multiple trustees, unless the instrument explicitly forbids a trustee company or requires an additional trustee (ss 11(2), (4), (5)). Section 12 permits a trustee company to act under a power of attorney, with the powers exercisable by its managing director, manager, or two directors. Section 13 allows an existing executor, administrator, or trustee to appoint a trustee company to act temporarily in their place by deed, with the deed filed in accordance with laws governing powers of attorney. Section 14 provides a more permanent mechanism: with Supreme Court consent, an executor, administrator, trustee, receiver, or guardian may appoint a trustee company to discharge all their duties, and upon such appointment the appointer is released from liability (s 14(3)).