Package includes:

On Demand Module  l  Electronic booklet  l  PowerPoint Presentation

Package Fee (incl GST)

• $115 - NZLS members and Associate members
• $145 - Non-members

Note: Access to the online files is via your "My CPD" page. If you would like to purchase multiple packages, please contact us here.

On Demand Module

The landscape in relation to trusts has changed significantly in recent years and, adding to the complexity, is the Trusts Act 2019 which came into force on 30 January 2021. The changes have prompted clients and advisers to review their trust arrangements. Where trusts are to be retained, there is often a need to update the trust deed to ensure consistency with the legislation and to account for changes in circumstances. This module will adopt a practical “how to” approach that will assist you in varying trust deeds to effectively meet your clients’ needs and to account for the changes made by the Trusts Act 2019.

This module will cover:

• Common modifications which are being made as a result of the Trusts Act 2019
• How to vary a trust deed, whether by exercise of powers under the deed or by use of the statutory powers in the Trusts Act 2019, and recent case examples
• Issues that may arise when varying a trust.

Learning objectives

By attending this module you will:

• Be able to identify where changes can and should be made to a trust deed to account for changes in the legislation and practice.
• Know how to make those changes, whether by exercise of powers under the deed or legislation and where the court’s assistance may be required.
• Be able to identify risks and advise clients of the implications of significant variations.

Electronic paper 

Author: Aimee Mitchell
Published: 7 September 2022
Pages: 21

Introduction

Trust deeds have changed significantly over the years as best practice, society and trust law and related areas of law have evolved and changed. Today one can identify a trust deed as coming from a particular “era” characterised by the way that the trust deed was drafted or the structure that was put in place.

Some features and provisions in older trust deeds have become problematic as the years have passed. For example, pre-mid 90’s trust deeds are typically more rigid than modern deeds put in place today and often have limited, if any, powers of amendment and powers to add and remove beneficiaries. They may form part of a mirror trust structure (common Estate Duty planning at the time) and often exclude the settlor from direct or indirect benefit.

Trust deeds put in place in the early 2000’s typically have very wide classes of discretionary beneficiaries from the outset which is not the usual practice today, in the age of disclosure and ever-increasing AML/CFT requirements.

The Trusts Act 2019 (TA2019) was a significant reform to trust law in New Zealand. Whilst the purpose of the reform and the TA2019 was not to completely re-write the rules on trusts, it did result in a number of changes, new terminology and new procedures.

This paper examines why you may want to vary a trust deed, how you go about it and issues that may arise in that process..

PowerPoint Presentation

These are the slides included in the presentation.