Knowledgebase

Powers of Trustees and Independent Trustee Services

POWERS OF TRUSTEES

1.1 The Trustees shall have the power to deal with the Trust property, capital and/or income and or capital profits or gains of the Trust for the benefit and purposes of the Trust, in their discretion, for which purposes they are granted the widest powers and authority, including and without prejudice to the generality of the aforegoing, the following specific powers and authorities:

1.1.1 to open and operate any banking account or facility and/or building society account or facility, apply for any credit or debit cards and to draw and issue cheques and to receive cheques, deposits, promissory notes and/or bills of exchange, and attend to any of the latter by electronic, telephonic or internet means;

to acquire, dispose of, invest in, let or hire, exchange, and/or barter movable, immovable or incorporeal property and to sign and execute all requisite documents and to do all things necessary for the purposes of effecting and registering, if needs be, the transfer according to law of any such property. In exercising any powers of sale, whether conferred in this sub-clause or otherwise, they shall be entitled to cause such sale to be effected by public auction or by private treaty and in such manner and on such terms and conditions as they in their sole and absolute discretion may deem fit and in exercising any powers of lease they shall be entitled to cause any property to be let at such rental, for such period and on such terms and conditions as they, in their sole and absolute discretion may deem fit;

1.1.3 to invest in shares, stocks, debentures, debenture stock, unit trusts, warrants, options, bonds, gilts, securities, promissory notes, bills of exchange and other negotiable instruments, in the event of a company or a unit trust scheme prohibiting, in terms of its articles or regulations, the transfer of shares or units into the name of the Trust as such, the shares or units shall be registered in their personal names or in the names of their representatives and shall be held as nominees on behalf of the Trust;

1.1.4 to retain and allow the Trust property or any part or parts thereof to remain in the present state of investment thereof for so long as they think fit;

1.1.5 to lend money on such terms and at such interest, and to such persons (including beneficiaries and any Trustee of the Trust, or any director or shareholder of any company in which the Trust, any Trustee or beneficiary is interested, directly or indirectly or to companies in which the Trustees in their representative capacities or any beneficiary, holds shares, directly or indirectly) as the Trustees may determine, and with or without security as the Trustees may determine;

1.1.6 to dispose of and otherwise vary any Trust investment;

1.1.7 in their sole and absolute discretion, to borrow money for the purposes of discharging any liability of the Trust and/or for the purpose of paying income tax and/or for the purpose of making payment of capital and/or income, and or capital profits or gains to any beneficiary and/or for the purpose of making a loan to any beneficiary and/or for the purpose of making an investment and/or for the purposes of preserving any asset or investment of the Trust and/or for the purposes of conducting any type of business or in order to provide any type of services on behalf of the Trust and/or any other purpose deemed necessary or desirable by the Trustees, at such time or times, at such rate of interest or other consideration for any such loan and upon such terms and conditions as they may deem desirable. Such borrowings may be made from any suitable person or persons and, should they consider it advisable to do so, the Trustees may secure the payment of any such loan by pledging or mortgaging the Trust property or any part thereof or by any other security device. Any such loan or loans may be extended, renewed or repaid from time to time as the Trustees may deem to be in the best interest of the Trust;

1.1.8 obtain and utilise in the name of the Trust, membership in and any credit facilities from any agricultural or other society and for this purpose to encumber the Trust property or any part thereof by way of pledge, hypothec or mortgage as security;

1.1.9 the Trustees shall be entitled to make donations for charitable, ecclesiastical, educational or other like purposes either from the income, capital profits or gains or the capital of the Trust;

1.1.10 to mortgage, pledge, hypothecate or otherwise encumber any property, asset, income or capital, or capital profits or gains forming part of the Trust property and to execute any act or deed relating to alienation, partition, exchange, transfer, mortgage, hypothecation or otherwise, in any deeds registry, mining titles office or other public office dealing with

1.1.11 servitudes, usufructs, limited interests or otherwise; and to make any applications, grant consents, and agree to any amendments, variations, cancellations, cessions, releases, reductions, substitutions or otherwise generally relating to any deed, bond, or document for any purpose and generally to do or cause to be done any act whatsoever in any such office;

1.1.12 to appear before the Registrar of Deeds, Registrar of Claims, conveyancer or other proper officer and to execute any Mortgage Bond or Deed of Hypothecation as security for loans of money or as security for any other indebtedness or obligation contracted on the trust's behalf

1.1.13 To appear before any Notary Public and to execute any Notarial Deed;

1.1.14 collect rent, cancel leases, and to evict a lessee from property belonging to the Trust;

1.1.15 to improve, alter, repair and maintain any movable and immovable property of the Trust and further to improve and develop immovable property by erecting buildings thereon or otherwise, to expend the capital or income, profits or capital profits of the Trust for the preservation, maintenance and upkeep of such property or buildings, to demolish such buildings or effect such improvements thereto as they may consider fit;

1.1.16 to sue for, recover and receive all debts or sums of money, goods, effects and things, which are due, owing, payable or belong to the Trust; institute any action in any forum to enforce any benefits or rights on behalf of the trust;

1.1.17 to allow time for the payment of debts due to them and grant credit in respect of the whole or any part of the purchase price arising on the sale of any assets constituting portion of the Trust property, in either case with or without security and with or without interest, as they may think fit;

1.1.18 to institute or defend, oppose, compromise or submit to arbitration all accounts, debts, claims, demands, disputes, legal proceedings and matters which may subsist or arise between the Trust and any person;

1.1.19 to attend all meetings of creditors of any person indebted to the Trust whether in sequestration, liquidation, judicial management or otherwise, and to vote for the election of a Trustee and/or liquidator and/or judicial manager and to vote on all questions submitted to any such meetings of creditors and generally to exercise all rights of or afforded to a creditor;

1.1.20 to exercise the voting power attached to any share, stock, stock debenture, interest, unit or any company in which the share, stock, stock debenture, security, interest or unit is held, in such manner as they may deem fit, and to take such steps or enter into such agreements with other persons as they may deem fit, for the purposes of amalgamation, merger of or compromise in any company in which the shares, stock, debenture, interest, or unit are held;

1.1.21 to subscribe to the memorandum and articles of association of and apply for shares in any company and to apply for the registration of any company;

1.1.22 to determine whether any surplus on the realisation of any asset or the receipt of any dividends, distribution or bonus or capitalisation shares by the Trust be regarded as income or capital of the Trust;

1.1.23 to appoint or cause to be appointed or to remove any one or more of themselves or their nominees as directors or officers of any company whose share form portion of the trust property, with the right to receive and retain remuneration for their services as directors and other officers;

1.1.24 to consent to any re-organisation, arrangement or reconstruction of any company, the securities of which form, from time to time, the whole or any part of the Trust property and to consent to any reduction of capital or other dealings with such securities as they may consider advantageous or desirable;

1.1.25 to exercise and take up and realise any rights of conversion or subscription attaching, or appertaining to any share, stock, interest, debenture or unit forming part of the Trust property;

1.1.26 to guarantee the obligations of any person, to enter into indemnities and to bind the Trust as surety for, and/or co-principal debtor in solidum with any person and/or company in respect of any debt or obligation of that person and/or company, whether for consideration or gratuitously on such terms as they consider fit, including the renunciation of the benefits of excussion and division. The Trustees shall be entitled in respect of any obligations or liabilities so assumed by them to pledge, mortgage, cede in security or otherwise encumber all or any of the Trust property in such manner and subject to such terms and conditions as they shall deem fit as collateral for such obligations.;

1.1.27 to give receipt, releases or other effectual discharges for any sum of money or thing recovered or received;

1.1.28 to engage the services of professional practitioners, agents, independent contractors and tradesmen for the performance of work and rendering of services necessary or incidental to the affairs or property of the Trust;

1.1.29 to enter into any partnership, joint venture, conduct of business or other association with any other person, firm, company or trust for the doing or performance of any transaction or series of transactions within the powers of the Trustees in terms hereof, and/or to acquire and/or hold any assets in co-ownership or partnership with any person;

1.1.30 to determine whether any sums disbursed are on account of capita! or income or capital profits or gains or partly on account of one and partly on account of the others and in what proportions, and the decision of the Trustees, whether made in writing or implied from their acts shall be conclusive and binding upon all the beneficiaries;

1.1.31 to effect an assurance policy on the life of the Founder, a Trustee and/or a beneficiary, to effect a short term insurance policy, or to take cession of such policy and to pay the premiums for such policy out of the income, capital profits or gains or capital of the Trust. To continue any such policy and/or to surrender, redeem, dispose of, encumber and borrow against any such policy, with the right generally to deal with any such policy as they in their discretion deem fit. If during the currency of the Trust a person so assured should die while the assurance policy on his life is still in operation, the proceeds of such policy shall form part of the Trust property;

1.1.32 to contract on behalf of the Trust and to ratify, adopt or reject contracts made on behalf or for the benefit of the Trust, either before or after its creation;

1.1.33 to employ and pay out of the Trust any other person or other persons to do any act or acts, although the Trustees or any of them could have done any such act or acts;

1.1.34 to conduct or carry on any business or to provide any type of services on behalf of and for the benefit of the Trust, and to employ the Trust property and income or any capital profit or gain, in the conduct of any such business;

1.1.35 to hold the whole or any part of the Trust property in the name of the Trust, or in their names, or in the names of any other persons nominated by them for that purpose;

1.1.36 in the event of the Trustees obtaining the necessary authority, to incorporate any company, or establish a Trust in any place in the world at the expense of the Trust with limited or unlimited liability for the purpose of inter alia, acquiring the whole or any part of the assets of the Trust. The consideration on the sale of the assets of the Trust, or any part thereof, to any company incorporated pursuant to this sub-clause, may consist of wholly or partly paid debentures or debenture stock or other securities of the company, and may be credited as fully paid and may be allotted to or otherwise vested in the Trustees and be capital monies in the hands of the Trustees;

1.1.37 in the event of the Trustees obtaining the necessary authority, to hold the Trust property or any part thereof in or to transfer the administration and management of the Trust property or any part thereof to any country in the world;

1.1.38 in the Trustees sole discretion to allow any beneficiary, or their parents and/or their guardians and/or the Founder and/or his/her spouse, free of charge, to occupy or use any immovable or movable property forming part of the Trust;

1.1.39 to pay out of the income, capital profits or, at their discretion, out of the capital or the Trust property all rates, taxes, duties and other impositions lawfully levied or imposed on the Trust property or income or capital profits or gains of the Trust or any part thereof or on any beneficiary hereunder on account of his interest in the Trust hereby created or which may be imposed on the Trustees in respect of matters arising out of the Trust;

1.1.40 to pay out of the income, capital profits or out of the Trust property all and/or any expenses (including legal fees) incurred in the administration of the Trust or any expenditure incurred pertaining to any activity undertaken by the Trust, or on behalf of any Trustee or beneficiary;

1.1.41 to accept and acquire for the purpose of the Trust any gifts, bequests, grants, donations or inheritance from any person or estate, or payments from any person, firm, company or association that may be given, bequeathed or paid to them as an addition or with the intention to add to the funds hereby donated to them. Any additions so accepted and acquired shall be deemed to form part of the Trust property to be administered and dealt with subject to the terms of this deed;

1.1.42 to be entitled to treat as income, or capital profits or gains any periodic receipts although received from wasting assets, and shall not be required to make provision for the amortisation of the same. They shall also be entitled to determine in such manner as they may consider fit what shall be treated as income and what shall be treated as capital profits or gains in respect of any liquidation, dividend or return of capital in the case of companies whose shares are being held as portion of the Trust property by the Trustees; and generally to decide any question which may arise as to how much constitutes capital profits or gains and how much constitutes income by apportioning in such manner as they may consider fit;

Loouwrens Koen Attorneys will act as Independent Trustees for your Trust at a very reasonable Fee. For furher information please contact us on Tel: 0870010733 or email This email address is being protected from spambots. You need JavaScript enabled to view it..

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Louwrens Koen Attorneys

Louwrens Koen Attorneys, Conveyancers and Notaries have a modern outlook on life and have modern solutions for today's problems and needs without compromising on traditional values. Louwrens Koen was admitted as an Attorney in 1995. He is also an admitted Conveyancer, Notary Public and University Guest Lecturer.