Preliminary Investments General Powers of Trustees Indemnities Advancement and Protective Trusts Appointment&Discharge of Trustees Payment into Court General Provisions Perpetuities and Accumulations Special Provisions Administrative Powers by Reference Schedule
British Virgin Islands

TRUSTEE ORDINANCE, 1961

As Amended by The Trustee (Amendment) Act,1993

VIRGIN ISLANDS

TRUSTEE ORDINANCE

ARRANGEMENT OF SECTIONS

PART I Preliminary

1. Short title ................................................................ 1

2. I nterpretation ............................................................ 1

PART II Investments

3. Authorized investments ................................................... 3

4. Investment in bearer securities ....................................... 3

5. Discretion of trustees .................................................... 3

6. Power to retain investment which has ceased to be authorized ............. 4

7. Loans and investments by trustees not chargeable as breaches of trust ...... 4

8. Liability for loss by reason of improper investment .......................... 4

9. Powers supplementary of powers of investment .......................... 4

10. Power to deposit money at Bank and to pay calls ......................... 6

PART III GENERAL POWERS OF TRUSTEES AND PERSONAL REPRESENTATIVES
General Powers

11. Power of trustees for sale to sell by auction or private contract or private contract ............................................... 6

12. Power to postpone sale ................................................... 6

13. Trust for sale of mortgaged property where right of redemption is barred . . 7

14. Power to sell subject to depreciatory conditions .......................... 7

15. Power of trustees to give receipts ......................................... 7

16. Power to compound liabilities ............................................ 7

17. Power to raise money by sale, mortgage, or otherwise ..................... 8

18. Protection to purchasers and mortgagees dealing with trustees ............. 8

19. Devolution of powers or trusts ............................................ 8

20. Power to insure ........................................................... 8

21. Application of insurance money where policy kept up under any trust, power or obligation ...................................... 9

22. Deposit of documents for safe custody .................................... 9

23. Reversionary interests, valuations, and audit ............................. 10

24. Powers to employ agents ................................................ 11

25. Power to concur with others ............................................. 12

26. Power to delegate trusts during absence abroad .......................... 12

Indemnities

27. Protection against liability in respect of rents and covenants ............. 13

28. Protection by means of advertisement ................................... 14

29. Protection in regard to notice ............................................ 14

30. Exoneration of trustees in respect of certain powers of attorney .......... 15

31. Implied indemnity of trustees ............................................ 15

Maintenance, advancement and protective trusts

32. Power to apply income for maintenance and to accumulate surplus income during a minority ........................................ 15

33. Power of advancement .................................................. 17

34. Protective trusts ......................................................... 17

PART IV Appointment and Discharge of Trustees

35. Limitation of the number of trustees ..................................... 18

36. Power of appointing new or additional trustees ........................... 19

37. Power to appoint trustees of property belonging to infants or to persons out of the Territory ............................................ 20

38. Supplemental provisions as to appointment of trustees .................. 21

39. Evidence as to a vacancy in a trust ....................................... 21

40. Retirement of trustee without a new appointment ......................... 22

41. Vesting of trust property in new or continuing trustees ................... 22

PART V POWERS OF THE COURT
Appointment of new trustees

42. Power of Court to appoint new trustees .................................. 23

43. Power to authorize remuneration ........................................ 24

44. Powers of new trustee appointed by the Court ........................... 24

Vesting orders

45. Vesting orders of land .................................................... 24

46. Orders as to contingent rights or unborn persons ......................... 25

47. Vesting order in place of conveyance by infant mortgagee ............... 25

48. Vesting order consequential on order for sale or mortgage of land ........ 25

49. Vesting order consequential on judgment for specific

performance, etc ........................................................ 26

50. Effect of vesting order ................................................... 26

51. Power to appoint person to convey ....................................... 26

52. Vesting orders as to stocks and things in action ........................... 26

53. Vesting orders charity property .......................................... 28

54. Vesting orders in relation to infant’s beneficial interests .................. 28

55. Orders made upon certain allegations to be conclusive evidence ......... 28

56. Orders of Court to be registered ......................................... 29

57. Registration of vesting order made by Court in England ................. 29

58. Jurisdiction of Court to vary trusts ....................................... 29

59. Power of Court to authorize deals with trust property .................... 30

60. Persons entitled to apply for orders ...................................... 31

61. Power to give judgment in absence of a trustee .......................... 31

62. Power to charge costs on trust estate ..................................... 31

63. Power to relieve trustee from personal liability ........................... 31

64. Power to make beneficiary indemnify for breach of trust ................. 31

Payment into Court

65. Payment into Court by trustees .......................................... 32

PART VI General Provisions

66. Application of Ordinance ................................................ 32

67. Indemnity ............................................................... 32

PART VII Perpetuities and Accumulations

68. Power to specify perpetuity period ....................................... 33

69. Presumptions and evidence as to future parenthood ...................... 33

70. Uncertainty as to remoteness ............................................ 33

71. Reduction of age and exclusion of class members to

avoid remoteness ........................................................ 35

72. Condition relating to death of surviving spouse .......................... 36

73. Saving and acceleration of expectant interests ............................ 36

74. Powers of appointment .................................................. 36

75. Administrative powers of trustees ....................................... 37

76. Options relating to land .................................................. 37

77. Possibilities of reverter, conditions subsequent, exceptions and reservations .............................................. 37

78 Accumulation of income ................................................. 38

79. Interpretation and extent of Part VII ...................................... 38

PART VIII Special Provisions

80. Determination of proper law of trust ..................................... 39

81. Change of proper law .................................................... 39

82. Jurisdiction of court ..................................................... 40

83. Proper law to determine disposition of personal law ..................... 40

84. Purpose trusts ........................................................... 40

85. Trustees to act by majority .............................................. 42

86. Protector of trusts ....................................................... 42

87. Managing trustee ........................................................ 43

88. Successor trustee ........................................................ 43

89. Power to revoke or amend trust .......................................... 43

90. Exemption from income tax, etc ......................................... 43

91. Exemption from registration ............................................. 44

92 Trust duty ............................................................... 44

PART IX Incorporation of Administrative Powers by Reference

93. Incorporation by reference ............................................... 45

Schedule ................................................................ 45