PART VIII
GENERAL
PROVISIONS
Indemnity
85.
—(1)
This
Act and every order purporting to be made under this Act shall be
a complete indemnity to all persons for any acts done pursuant thereto.
(2)
It shall not be necessary for any
person to inquire concerning the propriety of the order, or whether
the court by which the order was made had jurisdiction to make it.
[UK Trustee
1925, s. 66; Trustees Ordinance 1955 Ed., s. 64]
Avoidance of dispositions and trusts created to defraud
creditors
86.
For
the avoidance of doubt, every settlement or disposition of property
made or caused to be made on trust, before, on or after 15th December
2004, with intent to defraud creditors, shall be voidable at the
instance of any person thereby prejudiced, in accordance with section
73B of the Conveyancing and Law of Property Act (Cap. 61).
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Effect of Bankruptcy Act on transactions at undervalue
and unfair preferences
87.
—(1)
For
the avoidance of doubt, every settlement or disposition of property made
or caused to be made on trust, before, on or after 15th December
2004, that is —(a)
a transaction at an undervalue as
defined in section 98 (read with sections 100 and 101) of the Bankruptcy
Act (Cap. 20); or
(b)
an unfair preference as defined in
section 99 (read with sections 100 and 101) of the Bankruptcy Act,
shall be subject to the respective
sections, as the case may be.
[45/2004]
(2)
Where the person making the settlement
or disposition is a body corporate, the provisions of sections 98
to 101 of the Bankruptcy Act shall be read subject to such modifications
as are prescribed under the Companies Act (Cap. 50) for the application
of those provisions for the purposes of sections 227T and 329 of
the Companies Act.
[45/2004]
Accumulation of income for duration of trusts
88.
The
income arising from a trust may be accumulated for such period as
is allowed under section 31 of the Civil Law Act (Cap. 43).
[45/2004]
Perpetuity period applicable to trusts
89.
For
the purposes of the rule against perpetuities, the provisions of
sections 32, 33 and 34 of the Civil Law Act shall apply to trusts
created on or after 15th December 2004.
[45/2004]
Validity of certain trusts
90.
—(1)
Subject
to subsection (3), where a person creates a trust or transfers movable
property to be held on an existing trust during his lifetime, he
shall be deemed to have the capacity to so create the trust or transfer
the property if he has capacity to do so under any of the following
laws:(a)
the law applicable in Singapore;
(b)
the law of his domicile or nationality;
or
(c)
the proper law of the transfer.
[45/2004]
(2)
No rule relating to inheritance or
succession shall affect the validity of a trust or the transfer
of any property to be held on trust if the person creating the trust
or transferring the property had the capacity to do so under subsection
(1).
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(3)
Subsection (1) —(a)
does not apply if, at the time of
the creation of the trust or the transfer of the property to be
held on trust, the person creating the trust or transferring the property
is a citizen of Singapore or is domiciled in Singapore; and
(b)
applies in relation to a trust only
if the trust is expressed to be governed by Singapore law and the
trustees are resident in Singapore.
[45/2004]
(4)
In subsection (1), the reference to “law” does
not include any choice of law rules forming part of that law.
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(5)
No trust or settlement of any property
on trust shall be invalid by reason only of the person creating
the trust or making the settlement reserving to himself any or all
powers of investment or asset management functions under the trust
or settlement.
[45/2004]
Savings, transitional and further consequential provisions
91.
—(1)
Where
a trust deed created before 15th December 2004 confers on a trustee
the power to invest trust funds in accordance with the repealed
First Schedule to the Trustees Act (Cap. 337) in force immediately
before that date, however the conferment of such power may be expressed
in the trust deed, the power of investment so conferred shall, as
from that date, be deemed to be the general power of investment
under section 4 of the Trustees Act in force as from that date.
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(2)
A trustee shall not be liable for
breach of the statutory duty of care by reason only of his continuing
to hold an investment which has ceased to be an investment made
by him pursuant to the repealed First Schedule to the Trustees Act
(Cap. 337) in force immediately before 15th December 2004 if they
are investments which a trustee may make under section 4 of the
Trustees Act in force as from that date.
[45/2004]