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1. This Ordinance may be cited as the Trustee Ordinance.

2. (1) In this Ordinance—

“authorised investments” mean investments authorised by the instrument, if any, creating the trust for the investment of money subject to the trust, or by law;

“contingent right” as applied to land includes a contingent or executory interest, a possibility coupled with an interest, whether the object of the gift or limitation of the interest, or possibility is or is not ascertained, also a right of entry, whether immediate or future, and whether vested or contingent;

“convey” and “conveyance” as applied to any person include the execution by that person of every necessary or suitable assurance (including an assent) for conveying, assigning, appointing, surrendering, or otherwise transferring or disposing of land whereof he is seised or possessed, or wherein he is entitled to a contingent right, either for his whole estate or for any less estate, together with the performance of all formalities required by law for the validity of the conveyance;

“Court” means the High Court or a Judge thereof;

“income” incudes rents and profits;

“land” includes land of any tenure, houses and other buildings, mines and minerals, and other corporeal hereditaments; also a rent and other incorporeal hereditaments, and an easement, right, privilege, or benefit in, over or derived from land, and also an undivided share in land; and in this definition “mines and minerals” include any strata or seam of minerals or substances in or under any land, and powers of working and winning the same; and hereditaments mean real property which under an intestacy devolve on the next of kin;

“mortgage” and “mortgagee” include a charge or chargee by way of mortgage and relate to every estate and interest regarded in equity as merely a security for money, and every person deriving title under the original mortgagee, and also include and relate to an encumbrance under the Title by Registration Act;

“pay” and “payment” as applied in relation to stocks and securities and in connection with the expression “into court” include the deposit or transfer of the same in or into court;

“person resident in the Territory” means a person who ordinarily resides within the Territory or carries on business from an office or other fixed place of business within the Territory but does not include a company incorporated under the International Business Companies Act;

“personal representative” means the executor or administrator for the time being of a deceased person;

“possession” includes receipt of rents and profits or the right to receive the same, if any; and “possessed” applies to receipt of income of and to any vested estate less than a life interest in possession or in expectancy in any land;

“property” includes real and personal property, and any estate, share and interest in any property, real or personal, and any debt, and any thing in action, and any other right or interest, whether in possession or not;

“rights” include estates and interest;

“sale” includes an exchange;

“securities” include stocks, funds, and shares; and so far as relate to payments into court have the same meaning as in the enactments relating to funds in the Court; and “securities payable to bearer” include securities transferable by delivery or by delivery and endorsement;

“settlor” includes a person who transfers property by way of gift or who makes a testamentary disposition on trust or to a trust;

“stock” includes fully paid up shares, and so far as relates to vesting orders made by the Court under this Ordinance, includes any fund, annuity, or security transferable in books kept by any company or society, or by instrument of transfer either alone or accompanied by other formalities, and any share or interest therein;

“transfer” in relation to stock or securities, includes the performance and execution of every deed, power of attorney, act, and thing on the part of the transferor to effect and complete the title in the transferee;

“trust for sale” in relation to land means an immediate binding trust for sale, whether or not exercisable at the request or with the consent of any person, and with or without power at discretion to postpone the sale;

“trustees for sale” means the persons (including a personal representative) holding land on trust for sale.

(2) For the purposes of this Act the term “trust” refers to the legal relationship created, either inter vivos or on death, by a settlor when assets have been placed under the control of a trustee for the benefit of a beneficiary or for a special purpose.

(3) A trust has the following characteristics:

(a) the assets constitute a separate fund and are not part of the trustee’s own estate;

(b) title to the trust assets stands in the name of the trustee or in the name of another person on behalf of the trustee; and

(c) the trustee has the power and duty in respect of which he is accountable to manage, employ or dispose of the assets in accordance with the terms of the trust and the special duties imposed on him by law.

(4) The reservation by the settlor of certain rights and powers, and the fact that the trustee may himself have rights as a beneficiary, are not necessarily inconsistent with the existence of a trust.

(5) A trust does not include the duties incident to an estate conveyed by way of mortgage but it does extend to

(a) implied trusts;

(b) constructive trusts; and

(c) the duties incident to the office of a personal representative.