PART IAmendments
Investments.
1(1)The following paragraph shall be substituted for paragraph (d) of section one of the Act of 1893 :—
“(d)In India Seven, Five-and-a-half, Four-and-a-half, Three-and-a-half, Three and Two-and-a-half per cent. Stock, or in any other capital stock which may at any time be issued by the Secretary of State in Council of India under the authority of Act of Parliament, and charged on the revenues of India, or any other securities the interest in sterling whereon is payable out of and charged on the revenues of India.”
(2)Paragraphs (i) and (k) of the said section one shall have effect and be deemed always to have had effect as if after the word “company” in each of those paragraphs there had been inserted " owning or operating a railway. "
Bearer securities.
2The following section shall be substituted for section seven of the Act of 1893 :—
“7(1)A trustee may, unless expressly prohibited by the instrument creating the trust, retain or invest in securities payable to bearer which, if not so payable, would have been authorised investments:
Provided that securities to bearer retained or taken as an investment by a trustee (not being a trust corporation) shall, until sold, be deposited by him for safe custody and collection of income with a banker or banking company.
A direction that investments shall be retained or made in the name of a trustee shall not, for the purposes of this subsection, be deemed to be such an express prohibition as aforesaid.
(2)A trustee shall not be responsible for any loss incurred by reason of such deposit, and any sum payable in respect of such deposit and collection shall be paid out of the income of the trust property.”
Power to sell by auction, &c., and to give valid receipts.
3(1)Subsection (3) of section thirteen of the Act of 1893 is hereby repealed.
(2)The following subsection shall be inserted at the end of section twenty of the Act of 1893:—
“This section applies notwithstanding anything to the contrary contained in any instrument creating the trust.”
(3)The said section twenty as amended by this paragraph shall have effect subject to the statutory restrictions on the power for a sole trustee, not being a trust corporation, to give valid receipts.
Power to compound, &c.
4The powers conferred by subsection (2) of section twenty-one of the Act of 1893 shall be extended so as to include a power—
(a)to accept any property, real or personal, before the time at which it is made transferable or payable; or
(b)to sever and apportion any blended trust funds or property.
Power to raise money.
5(1)The words “for the time being in possession ” shall be inserted at the end of subsection (1) of section one hundred and twenty-two of the principal Act, and that subsection applies notwithstanding anything to the contrary in the instrument creating the trust.
(2)The words “to trustees of property held for charitable ” purposes, or to “shall be inserted after ” apply " in subsection (2) of the same section.
Devolution of trusts and powers.
6Section twenty-two of the Act of 1893 shall apply to trusts whenever constituted, and shall take effect subject to the restrictions imposed in regard to receipts by a sole trustee not being a trust corporation.
Audit.
7In subsection ,(7) of section one hundred and twenty of the principal Act the words “examined or ” shall be inserted after “accounts of the trust property to be ” and the words “examination or ” shall be inserted after " costs of such. "
Powers to delegate.
8The following sections shall be inserted at the end of Part IV. of the principal Act—
“127A(1)A trustee intending to remain out of the United Kingdom for a period exceeding one month may, notwithstanding any rule of law or equity to the contrary, by power of attorney, delegate to any person, including a trust corporation, the execution or exercise during his absence from the United Kingdom of all or any trusts, powers and discretions vested in him as such trustee, either alone or jointly with any other person or persons:
Provided that a person being the only other co-trustee and not being a trust corporation shall not be appointed to be ah attorney under this .subsection.
(2)The donor of a, power of attorney given under this section shall be liable for the acts or defaults of the donee in the same manner as if they were the acts or defaults of the donor.
(3)The power of attorney shall not come into operation unless and until the donor is out of the United Kingdom, and shall be revoked by his return.
(4)The power of attorney shall be attested by at least ohe witness, and shall be filed at the Central Office within ten days after the execution thereof with a statutory declaration by the donor that he intends to remain out of the United Kingdom for a period exceeding one month from the date of such declaration, or from a date therein mentioned.
(5)The execution of such instrument and statutory declaration shall be verified in such manner as is required by statute in the case of powers of attorney filed at the Central Office.
(6)If the power of attorney confers a power to dispose of or deal with land or a charge registered under the Land Transfer Acts, an office copy shall be filed at the land registry.
(7)The statutory declaration aforesaid and a statutory declaration by the donee of the power of attorney that the power has come into operation and has not been revoked by the return of the donor shall be conclusive evidence of the facts stated in favour of any person dealing with the donee.
(8)In favour of any person dealing with the donee any act done or instrument executed by the donee shall, notwithstanding that the power has never come into operation or has become revoked by the act of the donor or by his death or otherwise, be as valid and effectual as if the donor were alive and of full capacity, and had himself done such act or executed such instrument, unless such person had actual notice that the power had never come into operation or of the revocation of the power before such act was done or instrument executed
(9)For the purpose of executing of exercising the trusts or powers delegated to him, the donee may exercise any of the powers conferred on the donor by statute or by the instrument creating the trust, including power, for the purpose of the transfer of any inscribed stock, himself to delegate to an attorney the power to transfer but not including the power of delegation conferred by this section.
(10)The fact that it appears from any power of attorney given under this section, or from any evidence required for the purposes of any such power of attorney or otherwise, that in dealing with any stock the donee of the power is acting in the execution of a trust shall not be deemed for any purpose to affect any person in whose books the stock is inscribed or registered with any notice of the trust.
(11)In this section 'trustee' includes a tenant for life and a statutory owner.
127BA trustee or personal representative acting for the purposes of more than one trust or estate shall not, in the absence of fraud, be affected by notice of any instrument, matter, fact or thing in relation to any particular trust or estate if he has obtained notice thereof merely by reason of his acting or having acted for the purposes of another trust or estate.”
Maintenance.
9In subsection (3) of section eighty-eight of the principal Act, the words “if the income available is sufficient and subject ” to any rules of the court to the contrary “shall be inserted before ” be five pounds. "
Appointments of trustees.
10(1)In subsection (5) of section one hundred and ten of the principal Act the words “intending to renounce or all the executors where they all intend to renounce ” shall be inserted after " last surviving executor. "
(2)The following subsection shall be inserted at the end of section ten of the Act of 1893—
“(7)Where a lunatic or defective, being a trustee, is also entitled in possession to some beneficial interest in the trust property, no appointment of a new trustee in his place shall be made by the continuing trustees or trustee under this section unless leave has been given by the Judge or Master in Lunacy to make the appointment.”
(3)In subsection (1) of section one hundred and eleven of the principal Act, the words “or that he is not entitled to a ” beneficial interest in the trust property in possession “shall be inserted after ” acting. "
Jurisdiction in regard to lunatics.
11Subsections (2) (3) and (5) of section two of the Lunacy Act, 1922, in regard to trustees shall be read as follows:—
“Where the High Court has power under the Trustee Acts to make orders in relation to lunatics and defectives who are trustees, the Judge or Master in Lunacy shall, save as provided in this section, have no power to make such an order:
Provided that where—
(a)a lunatic or defective has become a trustee of mortgaged property merely by reason of the mortgage having been paid off ; or
(b)an order in lunacy is made authorising the exercise of a power to appoint a trustee; or
(c)an order in lunacy is made for giving effect to a contract made before the lunatic or defective was under disability; or
(d)a lunatic or defective is beneficially entitled to-some interest in the property but holds the-property or some interest therein under- an express implied or constructive trust;
the High Court and the Judge or Master in Lunacy shall, subject to and in accordance with rules made by the Lord Chancellor, have concurrent jurisdiction.”
Application to Settled Land Act Trustees.
12(1)All the powers and provisions contained in the Act of 1893, with reference to the appointment of new trustees, and the discharge and retirement of trustees, shall apply to and include trustees for the purposes of the Settled Land Acts, and for the purpose of the management of land during a minority, whether such trustees are appointed by the court or by the settlement, or under provisions contained in any instrument.
(2)Where, either before or after the commencement of the principal Act, trustees of a settlement have been appointed by the court for the purposes of the Settled Land Acts, then, after the commencement of that Act—
(a)the person or persons nominated for the purpose of appointing new trustees by the instrument, if any, creating the settlement though no trustees for the purposes of the Settled Land Acts were thereby appointed; or
(b)if there is no such person, or no such person able and willing to act, the surviving or continuing trustees or trustee for the time being for the purposes of the Settled Land Acts or the personal representatives of the last surviving or continuing trustee for those purposes ;
shall have the statutory powers to appoint new or additional trustees of the settlement for the purposes of the Settled Land Acts.
(3)Appointments of new trustees for the purposes of the Settled Land Acts made or expressed to be made before the commencement of the principal Act by the trustees or trustee or personal representatives referred to in sub-paragraph (2) (6) of this paragraph or by the persons referred to in sub-paragraph (2) (a) of this paragraph are, without prejudice to any order of the court made before such commencement, hereby confirmed.
(4)The foregoing provisions of this paragraph shall have effect in substitution for section forty-seven of the Act of 1893.
The Crown.
13The Act of 1893 as amended shall bind the Crown.