89. Terms of appointment of nominees and custodians

(1) Subject to subsection 89(2) and sections 53 (Remuneration of a Trustee) and 94 (Remuneration and expenses of agents, nominees and custodians), the Trustees may, under section 85 (Power to appoint nominees), 86 (Power to appoint custodians) or 87 (Investment in bearer securities), appoint a person to act as a nominee or custodian on such terms as to remuneration and other matters as they may determine.

(2) The Trustees may not, under section 85 (Power to appoint nominees), 86 (Power to appoint custodians) or 87 (Investment in bearer securities), appoint a person to act as a nominee or custodian on any of the terms set out in subsection 89(3) unless it is reasonably necessary for them to do so.

(3) The terms for the purposes of subsection 89(2) are:

1. (a) a term permitting the nominee or custodian to appoint a substitute;
2. (b) a term restricting the liability of the nominee or custodian or his substitute to the Trustees or to any Beneficiary; and
3. (c) a term permitting the nominee or custodian to act in circumstances capable of giving rise to a conflict of interest.