63. Powers of Trustees

(1) Subject to the terms of the Trust and duties under these Regulations, a Trustee shall in relation to the Trust Property have:

• (a) all the same powers as a natural person;
• (b) any other powers appropriate to achieve the proper investment, management, and distribution of Trust Property; and
• (c) any other powers conferred by these Regulations.

(2) A Trustee shall exercise his powers only in the interest of the Beneficiaries and in furtherance and support of the purposes of the Trust and in accordance with the terms of the Trust.

64. Specific powers of Trustees

Without limiting the generality of section 63 (Powers of Trustees), and subject to the terms of the Trust, a Trustee may:

• (a) collect Trust Property and accept or reject additions to the Trust Property from a Settlor or any other person and whether or not such acceptance is subject to the performance of an obligation and where the Trustee accepts Property subject to the performance of an obligation, the Trustee shall be deemed to have given to the obligee for good consideration an undertaking to perform that obligation;
• (b) subject to the terms of a Trust, a Trustee may, without the consent of any Beneficiary, appropriate Trust Property in or towards satisfaction of the interest of a Beneficiary in such matter and in accordance with such valuation as he thinks fit;
• (c) acquire or sell Property, for cash or on credit, at public or private sale;
• (d) exchange, partition, or otherwise change the character of Trust Property;
• (e) deposit Trust money in an account in a regulated financial services institution;
• (f) borrow money, with or without security, and mortgage or pledge Trust Property for a period within or extending beyond the duration of the Trust;
• (g) where the terms of a Trust so permit, exercise a discretion in relation to the manner in which and to whom Trust Property is distributed;
• (h) with respect to an interest in a partnership, limited liability company, business Trust, corporation, or other form of business or enterprise, continue the business or other enterprise and take any action that may be taken by shareholders, members, or Property owners, including merging, dissolving, or otherwise changing the form of business organisation or contributing additional capital;
• (i) with respect to stocks or other securities, exercise the rights of an absolute owner, including the right to:

(i) vote, or give proxies to vote, with or without power of substitution, or enter into or continue a voting Trust agreement;

(ii) hold a security in the name of a nominee or in other form without disclosure of the Trust so that title may pass by delivery;

(iii) pay calls, assessments, and other sums chargeable or accruing against the securities, and sell or exercise stock subscription or conversion rights; and

(iv) deposit the securities with a depositary or other regulated financial services institution;

• (j) with respect to an interest in immovable Property, construct, or make ordinary or

extraordinary repairs to, alterations to, or improvements in, buildings or other structures, demolish improvements, raze existing or erect new party walls or buildings, subdivide or develop land, dedicate land to public use or grant public or private easements, and make or vacate plots and adjust boundaries;

• (k) enter into a lease for any purpose as lessor or lessee, including a lease or other arrangement for exploration and removal of natural resources, with or without the option to purchase or renew, for a period within or extending beyond the duration of the Trust;
• (l) grant an option involving a sale, lease, or other disposition of Trust Property or acquire an option for the acquisition of Property, including an option exercisable beyond the duration of the Trust, and exercise an option so acquired;
• (m) insure the Property of the Trust against damage or loss and insure the Trustee, the Trustee’s agents, and Beneficiaries against liability arising from the administration of the Trust and the insurance proceeds shall belong to the Trust fund;
• (n) abandon or decline to administer Property of no value or of insufficient value to justify its collection or continued administration;
• (o) pay or contest any claim, settle a claim by or against the Trust, and release, in whole or in part, a claim belonging to the Trust;
• (p) pay taxes, assessments, remuneration of the Trustee, Protector or Enforcer and of employees and agents of the Trust, and other expenses incurred in the administration of the Trust;
• (q) exercise elections with respect to any taxes;
• (r) indemnify outgoing Trustees;
• (s) select a mode of payment under any employee benefit or retirement plan, annuity, or life insurance payable to the Trustee, exercise rights thereunder, including exercise of the right to indemnification for expenses and against liabilities, and take appropriate action to collect the proceeds;
• (t) make loans out of Trust Property, including loans to a Beneficiary on terms and conditions the Trustee considers to be fair and reasonable under the circumstances, and the Trustee has a lien on future distributions for repayment of those loans;
• (u) pledge Trust Property to guarantee loans made by others to the Beneficiary;
• (v) pay an amount distributable to a Beneficiary who is under a legal disability or who the Trustee reasonably believes is incapacitated, by paying it directly to the Beneficiary or applying it for the Beneficiary’s benefit, or by:

(i) paying it to the Beneficiary’s guardian and the receipt by such guardian shall constitute a full discharge of the Trustee’s obligation;

(ii) if the Trustee does not know of a guardian, or custodian Trustee, paying it to an adult relative or other person having legal or physical care or custody of the Beneficiary, to be expended on the Beneficiary’s behalf and the receipt of such person shall constitute a full discharge of the Trustee; or

(iii) managing it as a separate fund on the Beneficiary’s behalf, subject to the Beneficiary’s continuing right to withdraw the distribution;

• (w) on distribution of Trust Property or the division or termination of a Trust, make distributions in divided or undivided interests, allocate particular assets in proportionate or disproportionate shares, value the Trust Property for those purposes, and adjust for resulting differences in valuation;
• (x) resolve a dispute concerning the interpretation of the Trust or its administration by mediation, arbitration, or other procedure for alternative dispute resolution and participate in any Trust arbitration pursuant to section 28 (Arbitration of Trust disputes);
• (y) prosecute or defend an action, claim, or judicial proceeding in any jurisdiction to protect Trust Property and the Trustee in the performance of the Trustee’s duties; (z) sign and deliver contracts and other instruments that are useful to achieve or facilitate the exercise of the Trustee’s powers; and (aa) on termination of the Trust, exercise the powers appropriate to wind up the administration of the Trust and distribute the Trust Property to the persons entitled to it.

65. Power of accumulation and advancement

(1) Where the terms of a Trust so authorise, a Trustee may accumulate for a period part or all of the Income of the Trust.

(2) Subject to subsection 65(3), Income of the Trust which is not accumulated under subsection 65(1) shall be distributed.

(3) Subject to the terms of the Trust and subject to any prior interests or charges affecting the Trust Property, where a Beneficiary is a Minor and whether or not the Beneficiary’s interest:

• (a) is a vested interest; or
• (b) is an interest which will become vested:

(i) on attaining the age of majority;

(ii) at any later age; or

(iii) upon happening of any event; the Trustee may:

• (c) accumulate the Income attributable to the interest of such Beneficiary pending the attainment of the age of majority or such later age or the happening of such event;
• (d) apply such Income or part of it to or for the maintenance, education or other benefit of such Beneficiary; or
• (e) advance or appropriate to for the benefit of any such Beneficiary such interest or part of such interest.

(4) The receipt of a parent or the lawful guardian of a Beneficiary who is a Minor shall be a sufficient discharge of the Trustee’s obligations for a payment made under subsection 65(3).

66. Corporate Trustee may act by resolution

A corporate Trustee may:

• (a) act in connection with a Trust by a resolution of the corporate Trustee or of its board of directors or other governing body, or
• (b) by such a resolution appoint an officer or employee, or a committee of officers or employees or both, to act on its behalf in connection with the Trust.

67. Combination and division of Trusts

(1) Subject to the terms of the Trust, a Trustee may combine two or more Trusts into a single Trust or divide a Trust into two or more separate Trusts, if the result does not impair rights of any Beneficiaries or adversely affect achievement of the purposes of the Trusts.

(2) Subject to the terms of the Trust, where a Trustee divides a Trust into two or more separate Trusts, he shall have the power to appoint Trustees for such Trusts.