The Law Commission in New Zealand has proposed a new trustlaw to keep up with the times. In previous years, New Zealand created andmanaged between 300,000 and 500,000 trusts yearly. However, the law that wasgoverning the trusts was drafted in 1956. After a recent study of the trust law,the Law Commission is proposing the Trusts Act. Some of the highlights of whatthe act will include are mandatory trustee duties, an increase the duration ofa trust lifetime, the creation of a duty to provide information to potential beneficiaries, anda ban on limiting trustee’s liability for breaches arising from willfulmisconduct or gross negligence. As the proposed legislation changes, differenttrust implications will arise.
See Arthur Young, John Holland, Bradley Kidd, Lyndsey Partridge, Phillippa Wilkie and Sabrina Muck New Zealand: A New Trusts Act “Fit For the 21st Century”, Mondaq, Sep. 14, 2013.
