Trustees Act

Section Interpretation Section In this Act, unless the context otherwise requires— “ authorised investments ” means 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; “ court ” means the High Court or a judge of the High Court; “ instrument ” includes Act of Parliament; “ land ” includes land of any tenure, and mines and minerals, whether or not severed from the surface, buildings or parts of buildings, whether the division is horizontal, vertical or made in any other way, 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 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 getting the same, but...

Section Application of Act Section This Act, except where otherwise expressly provided, applies to trusts, including so far as this Act applies thereto, executorships and administratorships constituted or created either before or after the commencement of this Act. The powers conferred by this Act on trustees are in addition to the powers conferred by the instrument , if any, creating the trust , but those powers, unless otherwise stated, apply if and so far only as a contrary intention is not expressed in the instrument , if any, creating the trust , and have effect subject to the terms of that instrument . This Act does not affect the legality or validity of anything done before the commencement of this Act, except as otherwise hereafter expressly provided.

Section Powers supplementary to powers of investment Section Where any securities of a company are subject to a trust , the trustees may concur in any scheme or arrangement— Trustees lending money on the security of any property on which they can lawfully lend may contract that the money shall not be called in during any period not exceeding seven years from the time when the loan was made, provided interest be paid within a specified time not exceeding thirty days after every half-yearly or other day on which it becomes due, and provided there be no breach of any covenant by the mortgagor contained in the instrument of mortgage or charge for the maintenance and protection of the property . On a sale of land for a freehold or mailo estate, or on a leasehold estate for a term of years of which not less than thirty years is unexpired, by trustees, the trustees may, where the proceeds are liable to be invested, contract that the payment of any part, not exceeding two-thirds, of the purchase money shall be secured by a mortgage of the land sold, with or without the security of any other property , that mortgage , if any buildings are comprised in the mortgage , to contain a covenant by...

Section Power to deposit money at bank and to pay calls Section Trustees may, pending the negotiation and preparation of any mortgage , or during any other time while an investment is being sought for, pay any trust money into a bank to a deposit or other account, and all interest, if any, payable in respect of the account shall be applied as income. Trustees may apply capital money subject to a trust in payment of the calls on any shares subject to the same trust .

Section Authorised investments Section A trustee may invest any trust funds in his or her hands, whether at the time in a state of investment or not, in the following manner— in any securities in which trustees in England are for the time being authorised by the law of England to invest trust funds; in any securities the interest on which is guaranteed by the Government of Uganda or of Kenya or of Tanzania; in any public debentures issued under the authority of or guaranteed by any Act of Uganda or of Kenya or of Tanzania; in any stock or securities issued in respect of any loan raised by the Government of Uganda or of Kenya or of Tanzania; in immovable property in Uganda held for a freehold or mailo estate in respect of which a certificate of title under the Registration of Titles Act has been issued or held on a leasehold estate for a term of years of which not less than thirty years is unexpired and which is not subject to a rent exceeding 5 percent of the unimproved value thereof or to any condition of reentry except for nonpayment of rent.

Section Discretion of trustees Section Every power conferred by section 3 shall be exercised according to the discretion of the trustee, but subject to any consent or direction required by the instrument, if any, creating the trust or by law with respect to the investment of the trust funds.

Section Power to retain investment Section A trustee shall not be liable for breach of trust by reason only of his or her continuing to hold an investment which has ceased to be an investment authorised by the trust instrument or by the general law.

Section Enlargement of powers of investment Section A trustee having power to invest in freehold or mailo estate securities may invest and shall be deemed always to have had power to invest on mortgage of property held on a leasehold estate for a term of years of which not less than thirty years is unexpired, and not subject to a reservation of rent greater than 5 percent of the unimproved value thereof, or to any right of redemption or to any condition for reentry, except for nonpayment of rent. A trustee having power to invest in freehold or mailo estate securities shall accept the security in the form of a mortgage under the Registration of Titles Act. A trustee having power to invest in the mortgages or bonds of any railway company or of any other description of company may invest in the debenture stock of a railway company or such other company as aforesaid.

Section Investment in bearer securities Section A trustee may, unless expressly prohibited by the instrument creating the trust , retain or invest in securities payable to bearer which, if not so payable, would have been authorised investments ; but securities to bearer retained or taken as an investment by a trustee (not being a trust corporation ) shall, until sold, be deposited by the trustee for safe custody and collection of income with a banker or banking company. A direction that investments shall be retained or made in the name of a trustee shall not, for the purposes of this subsection, be deemed to be such an express prohibition as aforesaid. A trustee shall not be responsible for any loss incurred by reasonvof such deposit, and any sum payable in respect of the deposit and collection shall be paid out of the income of the trust property .

Section Loans and investments by trustees not chargeable as breaches of trust Section A trustee lending money on the security of any property on which he or she can properly lend shall not be chargeable with breach of trust by reason only of the proportion borne by the amount of the loan to the value of the property at the time when the loan was made, if it appears to the court — that in making the loan the trustee was acting upon a report as to the value of the property made by a person whom the trustee reasonably believed to be an able practical surveyor or valuer instructed and employed independently of any owner of the property , whether such surveyor or valuer carried on business in the locality where the property is situate or elsewhere; that the amount of the loan does not exceed two third parts of the value of the property as stated in the report; and that the loan was made under the advice of the surveyor or valuer expressed in the report. A trustee lending money on the security of any leasehold property shall not be chargeable with breach of trust only upon the ground that in making the loan the trustee dispensed either wholly or partly with the production or investigatio...

Section Liability for loss by reason of improper investment Section Where a trustee improperly advances trust money on a mortgage security which would at the time of the investment be a proper investment in all respects for a smaller sum than is actually advanced on it, the security shall be deemed an authorised investment for the smaller sum, and the trustee shall only be liable to make good the sum advanced in excess of that sum with interest. This section applies to investments made before as well as after the commencement of this Act.

Section Power of trustees for sale to sell by auction, etc. Section Where a trust for sale or a power of sale of property is vested in a trustee, the trustee may sell or concur with any other person in selling all or any part of the property either subject to prior charges or not, and either together or in lots, by public auction or by private contract, subject to any such conditions respecting title or evidence of title or other matter as the trustee thinks fit, with power to vary any contract for sale, and to buy in at any auction, or to rescind any contract for sale and to resell, without being answerable for any loss. A trust or power to sell or dispose of land includes a trust or power to sell or dispose of part of the land, whether the division is horizontal, vertical or made in any other way.

Section Power to sell subject to depreciatory conditions Section No sale made by a trustee shall be impeached by any beneficiary upon the ground that any of the conditions subject to which the sale was made may have been unnecessarily depreciatory, unless it also appears that the consideration for the sale was thereby rendered inadequate. No sale made by a trustee shall, after the execution of the transfer, be impeached as against the purchaser upon the ground that any of the conditions subject to which the sale was made may have been unnecessarily depreciatory, unless it appears that the purchaser was acting in collusion with the trustee at the time when the contract for sale was made. No purchaser, upon any sale made by a trustee, shall be at liberty to make any objection against the title upon any of the grounds aforesaid. This section applies to sales made before or after the commencement of this Act.

Section Power of trustees to give receipts Section The receipt in writing of a trustee for any money, securities, or other movable property or effects payable, transferable or deliverable to the trustee under any trust or power shall be a sufficient discharge to the person paying, transferring or delivering the same and shall effectually exonerate that person from seeing to the application or being answerable for any loss or misapplication thereof. This section does not, except where the trustee is a trust corporation, enable a sole trustee to give a valid receipt for the proceeds of sale or other capital money arising under a disposition on trust for sale of land. This section applies notwithstanding anything to the contrary in the instrument, if any, creating the trust.

Section Power to compound liabilities Section A personal representative, or two or more trustees acting together, or, subject to the restrictions imposed in regard to receipts by a sole trustee not being a trust corporation, a sole acting trustee where by the instrument, if any, creating the trust or by law, a sole trustee is authorised to execute the trusts and powers reposed in him or her, may, if and as he or she or they think fit— accept any property, movable or immovable, before the time at which it is made transferable or payable; sever and apportion any blended trust funds or property; pay or allow any debt or claim on any evidence that he or she or they think sufficient; accept any composition or any security, movable or immovable, for any debt or for any property, movable or immovable, claimed; allow any time for payment of any debt; or compromise, compound, abandon, submit to arbitration or otherwise settle any debt, account, claim or thing relating to the testator’s or intestate’s estate or to the trust, and for any of those purposes may enter into, give, execute and do such agreements, instruments of composition or arrangement, releases and other things as to him or her...

Section Power to raise money by sale, mortgage, etc. Section Where trustees are authorised by the instrument, if any, creating the trust or by law to pay or apply capital money subject to the trust for any purpose or in any manner, they shall have and shall be deemed always to have had power to raise the money required by sale, conversion, calling in or mortgage of all or any part of the trust property for the time being in possession. This section applies notwithstanding anything to the contrary contained in the instrument, if any, creating the trust, but does not apply to trustees of property held for charitable purposes.

Section Protection to purchasers and mortgagees dealing with trustees Section No purchaser or mortgagee, paying or advancing money on a sale or mortgage purporting to be made under any trust or power vested in trustees, shall be concerned to see that such money is wanted, or that no more than is wanted is raised, or otherwise as to the application of the money.

Section Devolution of powers or trusts Section Where a power or trust is given to or imposed on two or more trustees jointly, the same may be exercised or performed by the survivors or survivor of them for the time being. Until the appointment of new trustees, the personal representatives or representative for the time being of a sole trustee, or, where there were two or more trustees, of the last surviving or continuing trustee, shall be capable of exercising or performing any power or trust which was given to, or capable of being exercised by, the sole or last surviving or continuing trustee, or the other trustees or trustee for the time being of the trust. This section takes effect subject to the restrictions imposed in regard to receipts by a sole trustee, not being a trust corporation. In this section, “personal representative” does not include an executor who has renounced or has not proved.

Section Power to insure Section A trustee may insure against loss or damage by fire any building or other insurable property to any amount, including the amount of any insurance already on foot, for the full value of the building or property, and pay the premiums for such insurance out of the income of the building or property or out of the income of any other property subject to the same trusts without obtaining the consent of any person who may be entitled wholly or partly to such income. This section does not apply to any building or property which a trustee is bound forthwith to transfer absolutely to any beneficiary upon being requested to do so.

Section Application of insurance money where policy kept up under any trust power or obligation Section Any such money— Money receivable by trustees or any beneficiary under a policy of insurance against the loss or damage of any property subject to a trust, whether by fire or otherwise, shall, where the policy has been kept up under any trust in that behalf, or under any power statutory or otherwise, or in performance of any covenant or of any obligation statutory or otherwise, be capital money for the purposes of the trust. If any such money is receivable by any person, other than the trustees of the trust, that person shall use his or her best endeavours to recover and receive the money, and shall pay the net residue of it, after discharging any costs of recovering and receiving it, to the trustees of the trust, or if there are no trustees capable of giving a discharge for it, into court. if it was receivable in respect of property held upon trust for sale, shall be held upon the trusts and subject to the powers and provisions applicable to money arising by a sale under such trust; in any other case, shall be held upon trusts corresponding as nearly as may be with the trusts aff...

Section Deposit of documents for safe custody Section Trustees may deposit any documents held by them relating to the trust, or to the trust property, with any banker or banking company or any other company whose business includes the undertaking of the safe custody of documents, and any sum payable in respect of the deposit shall be paid out of the income of the trust property.

Section Reversionary interests, valuations and audit Section Where trust property includes any share or interest in property not vested in the trustees, or the proceeds of the sale of any such property, or any other thing in action, the trustees on the same falling into possession, or becoming payable or transferable may— The trustees shall not be under any obligation and shall not be chargeable with any breach of trust by reason of any omission— agree or ascertain the amount or value thereof or any part thereof in such manner as they may think fit; accept in or towards satisfaction thereof, at the market or current value, or upon any valuation or estimate of value which they may think fit, any authorised investments; allow any deductions for duties, costs, charges and expenses which they may think proper or reasonable; execute any release in respect of the premises so as effectually to discharge all accountable parties from all liability in respect of any matters coming within the scope of the release, to apply for any stop or other like order upon any securities or other property out of or on which such share or interest or other thing in action as aforesaid is derived, payable o...

Section Power to employ agents Section Without prejudice to the general power of appointing agents as aforesaid— Trustees or personal representatives may, instead of acting personally, employ and pay an agent, whether an advocate, banker, stockbroker or other person, to transact any business or do any act required to be transacted or done in the execution of the trust, or the administration of the testator’s or intestate’s estate, including the receipt and payment of money, and shall be entitled to be allowed and paid all charges and expenses so incurred, and shall not be responsible for the default of any such agent if employed in good faith. Trustees or personal representatives may appoint any person to act as their agent or attorney for the purpose of selling, converting, collecting, getting in, and executing and perfecting insurances of, or managing or cultivating or otherwise administering any property, real or personal, movable or immovable, subject to the trust or forming part of the testator’s or intestate’s estate, in any place outside Uganda or executing or exercising any discretion or trust or power vested in them in relation to any such property, with such ancillary pow...

Section Power to concur with others Section Where an undivided share in the proceeds of the sale of land directed to be sold, or in any other property, is subject to a trust, or forms part of the estate of a testator or intestate, the trustees or personal representatives may (without prejudice to the trust for sale affecting the entirety of the land and the powers of the trustees for sale in reference thereto) execute or exercise any trust or power vested in them in relation to such share in conjunction with the persons entitled to or having power in that behalf over the other share or shares, and notwithstanding that any one or more of the trustees or personal representatives may be entitled to or interested in any such other share, either in his or her or their own right or in a fiduciary capacity.

Section Power to delegate trusts during absence abroad Section A trustee intending to remain out of Uganda for a period exceeding one month may, notwithstanding any rule of law or equity to the contrary, by power of attorney, delegate to any person, including a trust corporation, the execution or exercise during the trustee’s absence from Uganda of all or any trusts, powers and discretions vested in him or her as trustee, either alone or jointly with any other person or persons; except that a person being the only other co-trustee and not being a trust corporation shall not be appointed to be an attorney under this subsection. The donor of a power of attorney given under this section shall be liable for the acts or defaults of the donee in the same manner as if they were the acts or defaults of the donor. The power of attorney shall not come into operation until the donor is out of Uganda, and shall be revoked by his or her return. The power of attorney shall be attested by at least one witness and shall be registered under the provisions of the Registration of Documents Act within thirty days of execution, if executed in Uganda, or within ninety days, if executed out of Uganda, wi...

Section Protection against liability in respect of rents and covenants Section Where a personal representative or trustee liable as such for— In this section— any rent, covenant or agreement reserved by or contained or implied in any lease; any rent, covenant or agreement payable under or contained in any grant made in consideration of a rent charge; or any indemnity given in respect of any rent, covenant or agreement referred to in paragraph (a) or (b) of this subsection, satisfies all liabilities under the lease or grant which may have accrued, or been claimed, up to the date of the conveyance hereafter mentioned, and, where necessary, sets apart a sufficient fund to answer any future claim that may be made in respect of any fixed and ascertained sum which the lessee or grantee agreed to lay out on the property demised or granted, although the period for laying out the same may not have arrived, then and in any such case the personal representative or trustee may transfer the property demised or granted to a purchaser, legatee, devisee or other person entitled to call for a transfer of the property, and thereafter— the personal representative or trustee may distribute the residua...

Section Protection by means of advertisements Section At the expiration of the time fixed by the notice the trustees or personal representatives may transfer or distribute the property or any part of the property to which the notice relates to or among the persons entitled to it, having regard only to the claims, whether formal or not, of which the trustees or personal representatives then had notice, and shall not, as respects the property so conveyed or distributed be liable to any person of whose claim the trustees or personal representatives have not had notice at the time of conveyance or distribution; but nothing in this section— With a view to the conveyance to or distribution among the persons entitled to any movable or immovable property, the trustees of a settlement or of a disposition on trust for sale or personal representatives may give notice by advertisement in the Gazette , and in a daily or weekly newspaper circulating in Uganda, and such other like notices, including notices elsewhere than in Uganda, as would, in any special case, have been directed by a court of competent jurisdiction in an action for administration, of their intention to make such conveyance or...

Section Protection in regard to notice Section A trustee or personal representative acting for the purposes of more than one trust or estate shall not, in the absence of fraud, be affected by notice of any instrument, matter, fact or thing in relation to any particular trust or estate if he or she has obtained notice of it merely by reason of his or her acting or having acted for the purposes of another trust or estate.

Section Exoneration of trustees in respect of certain powers of attorney Section A trustee acting or paying money in good faith under or in pursuance of any power of attorney shall not be liable for any such act or payment by reason of the fact that at the time of the act or payment the person who gave the power of attorney was subject to any disability or was bankrupt or dead, or had done or suffered some act or thing to avoid the power, if this fact was not known to the trustee at the time of his or her so acting or paying; but— nothing in this section shall affect the right of any person entitled to the money against the person to whom the payment is made; the person so entitled shall have the same remedy against the person to whom the payment is made as he or she would have had against the trustee.

Section Implied indemnity of trustees Section A trustee shall be chargeable only for money and securities actually received by the trustee notwithstanding his or her signing any receipt for the sake of conformity, and shall be answerable and accountable only for his or her own acts, receipts, neglects or defaults, and not for those of any other trustee, nor for any banker, broker or other person with whom any trust money or securities may be deposited, nor for the insufficiency or deficiency of any securities, nor for any other loss, unless the same happens through his or her own wilful default. A trustee may reimburse himself or herself or pay or discharge out of the trust premises all expenses incurred in or about the execution of the trusts or powers.

Section Power to apply income for maintenance and to accumulate surplus income during a minority Section Where any property is held by trustees in trust for any person for any interest, whether vested or contingent, then, subject to any prior interests or charges affecting that property— during the infancy of any such person, if his or her interest so long continues, the trustees may, at their sole discretion, pay to his or her parent or guardian, if any, or otherwise apply for or towards his or her maintenance, education or benefit, the whole or such part, if any, of the income of that property as may, in all the circumstances, be reasonable, whether or not there is— During the infancy of any such person, if his or her interest so long continues, the trustees shall accumulate all the residue of that income in the way of compound interest by investing the residue and the resulting income from it from time to time in authorised investments, and shall hold those accumulations as follows— if any such person— any other fund applicable to the same purpose; or any person bound by law to provide for his or her maintenance or education; and if such person on attaining the age of twenty-one...

Section Power of advancement Section Trustees may at any time pay or apply any capital money subject to a trust, for the advancement or benefit, in such manner as they may, in their absolute discretion, think fit, of any person entitled to the capital of the trust property or of any share of it, whether absolutely or contingently on his or her attaining any specified age or on the occurrence of any other event, or subject to a gift over on his or her death under any specified age or on the occurrence of any other event, and whether in possession or in remainder or reversion, and the payment or application may be made notwithstanding that the interest of such person is liable to be defeated by the exercise of a power of appointment or revocation, or to be diminished by the increase of the class to which he or she belongs; but— the money so paid or applied for the advancement or benefit of any person shall not exceed altogether in amount one-half of the presumptive or vested share or interest of that person in the trust property; and if that person is or becomes absolutely and indefeasibly entitled to a share in the trust property the money so paid or applied shall be brought into ac...

Section Protective trusts Section Where any income, including an annuity or other periodical income payment, is directed to be held on protective trusts for the benefit of any person (in this section called “the principal beneficiary”) for the period of his or her life or for any less period, then, during that period (in this section called “the trust period”) the income shall, without prejudice to any prior interest, be held on the following trusts— if the trust aforesaid fails or determines during the subsistence of the trust period, then, during the residue of that period, the income shall be held upon trust for the application of the income for the maintenance or support, or otherwise for the benefit, of all or any one or more exclusively of the other or others of the following persons— upon trust for the principal beneficiary during the trust period or until he or she, whether before or after the termination of any prior interest, does or attempts to do or suffers any act or thing, or until any event happens, other than an advance under any statutory or express power by which if the income were payable during the trust period to the principal beneficiary absolutely during that...

Section Limitation of the number of trustees Section In the case of settlements and dispositions on trust for sale of land made or coming into operation after the commencement of this Act— This section only applies to settlements and dispositions of land , and the restrictions imposed on the number of trustees do not apply— Where, at the commencement of this Act, there are more than four trustees holding land on trust for sale , no new trustees shall (except where as a result of the appointment the number is reduced to four or less) be capable of being appointed until the number is reduced to less than four, and thereafter the number shall not be increased beyond four. the number of trustees thereof shall not in any case exceed four, and where more than four persons are named as trustees, the four first named, who are able and willing to act, shall alone be the trustees unless appointed on the occurrence of a vacancy; the number of the trustees shall not be increased beyond four. in the case of land vested in trustees for charitable, ecclesiastical, or public purposes; or where the net proceeds of the sale of the land are held for like purposes.

Section Power of appointing new or additional trustees Section Where a trustee, either original or substituted, and whether appointed by a court or otherwise, is dead, or remains out of Uganda for more than twelve months, or desires to be discharged from all or any of the trusts or powers reposed in or conferred on him or her, or refuses or is unfit to act therein, or is incapable of acting therein, or is an infant, then subject to the restrictions imposed by this Act on the number of trustees— Where a sole trustee, other than a trust corporation , is or has been originally appointed to act in a trust , or where, in the case of any trust , there are not more than three trustees (none of them being a trust corporation ) either original or substituted and whether appointed by the court or otherwise, then, and in any such case— the person or persons nominated for the purpose of appointing new trustees by the instrument , if any, creating the trust ; or if there is no such person, or no such person able and willing to act, then the surviving or continuing trustees or trustee for the time being, or the personal representative of the last surviving or continuing trustee, Where a trustee...

Section Supplemental provisions as to appointment of trustees Section On the appointment of a trustee for the whole or any part of trust property — the number of trustees may, subject to the restrictions imposed by this Act on the number of trustees, be increased; a separate set of trustees, not exceeding four, may be appointed for any part of the trust property held on trusts distinct from those relating to any other part or parts of the trust property , notwithstanding that no new trustees or trustee are or is to be appointed for other parts of the trust property , and any existing trustee may be appointed or remain one of such separate set of trustees, or, if only one trustee was originally appointed, then, save as hereafter provided, one separate trustee may be so appointed; it shall not be obligatory, save as hereafter provided, to appoint more than one new trustee where only one trustee was originally appointed, or to fill up the original number of trustees where more than two trustees were originally appointed, but, except where only one trustee was originally appointed, and a sole trustee when appointed will be able to give valid receipts for all capital money, a trustee sh...

Section Evidence as to a vacancy in a trust Section A statement, contained in any instrument coming into operation after the commencement of this Act by which a new trustee is appointed for any purpose connected with land , to the effect that a trustee has remained out of Uganda for more than twelve months or refuses or is unfit to act or is incapable of acting or that he or she is not entitled to a beneficial interest in the trust property in possession , shall, in favour of a purchaser of a legal estate, be conclusive evidence of the matter stated. In favour of such purchaser any appointment of a new trustee depending on that statement, and any vesting declaration, express or implied, consequent on the appointment, shall be valid.

Section Retirement of trustee without a new appointment Section Where a trustee is desirous of being discharged from the trust , and after his or her discharge there will be either a trust corporation or at least two individuals to act as trustees to perform the trust , then, if the trustee as aforesaid by deed declares that he or she is desirous of being discharged from the trust , and if his or her co-trustees and such other person, if any, as is empowered to appoint trustees, by deed consent to the discharge of the trustee, and to the vesting in the co-trustees alone of the trust property , the trustee desirous of being discharged shall be deemed to have retired from the trust , and shall, by the deed, be discharged from the trust under this Act without any new trustee being appointed in his or her place. Any assurance or thing requisite for vesting the trust property in the continuing trustees alone shall be executed or done.

Section Vesting of trust property in new or continuing trustees Section Where by a deed a new trustee is appointed to perform any trust , then— Where by a deed a retiring trustee is discharged under the statutory power without a new trustee being appointed, then— This section shall not extend to— if the deed contains a declaration by the appointor to the effect that any estate or interest in any land subject to the trust , or in any chattel so subject, or the right to recover or receive any debt or other thing in action so subject, shall vest in the persons who by virtue of the deed become or are the trustees for performing the trust , the deed shall operate, without any transfer or assignment, to vest in those persons as joint tenants and for the purposes of the trust , the estate, interest or right to which the declaration relates; and if the deed is made after the commencement of this Act and does not contain such a declaration, the deed shall, subject to any express provision to the contrary contained in it, operate as if it had contained such a declaration by the appointor extending to all the estates, interests and rights with respect to which a declaration could have been ma...

Section Power of court to appoint new trustees Section The court may, whenever it is expedient to appoint a new trustee or new trustees, and it is found inexpedient, difficult or impracticable so to do without the assistance of the court , make an order appointing a new trustee or new trustees either is substitution for or in addition to any existing trustee or trustees, or although there is no existing trustee. Without prejudice to the generality of subsection (1), the court may make an order appointing a new trustee in substitution for a trustee who is convicted of felony, or is a person of unsound mind or is a bankrupt, or is a corporation which is in liquidation or has been dissolved. An order under this section, and any consequential vesting order or conveyance, shall not operate further or otherwise as a discharge to any former or continuing trustee than an appointment of new trustees under any power for that purpose contained in any instrument would have operated. Nothing in this section gives power to appoint an executor or administrator.

Section Power to authorise remuneration Section Where the court appoints a person or corporation, other than the public trustee, to be a trustee either solely or jointly with another person, the court may authorise the person or corporation to charge such remuneration for his or her or its services as trustee as the court may think fit.

Section Powers of new trustee appointed by the court Section Every trustee appointed by a court of competent jurisdiction shall, as well before as after the trust property becomes by law, or by assurance, or otherwise, vested in him or her have the same powers, authorities and discretions and may in all respects act as if he or she had been originally appointed a trustee by the instrument , if any, creating the trust .

Section Vesting orders of land Section In any of the following cases, namely— where a trustee entitled to or possessed of any land or interest in land , whether by way of mortgage or otherwise, or entitled to a contingent right in land , either solely or jointly with any other person— Notwithstanding subsection (1)— where the court appoints or has appointed a trustee, or where a trustee has been appointed out of court under any statutory or express power; is under disability; is out of the jurisdiction of the court ; or cannot be found, or, being a corporation, has been dissolved; where it is uncertain who was the survivor of two or more trustees jointly entitled to or possessed of any interest in land ; where it is uncertain whether the last trustee known to have been entitled to or possessed of any interest in land is living or dead; where there is no personal representative of a deceased trustee who was entitled to or possessed of any interest in land , or where it is uncertain who is the personal representative of a deceased trustee who was entitled to or possessed of any interest in land ; where a trustee jointly or solely entitled to or possessed of any interest in land , or...

Section Orders as to contingent rights of unborn persons Section Where any interest in land is subject to a contingent right in an unborn person or class of unborn persons who, on coming into existence would, in respect of the interest, become entitled to or possessed of that interest on any trust , the court may make an order releasing the land or interest in it from the contingent right , or may make an order vesting in any person the estate or interest to or of which the unborn person or class of unborn persons would, on coming into existence, be entitled or possessed in the land .

Section Vesting order in place of transfer by infant mortgagee Section Where any person entitled to or possessed of any interest in land , or entitled to a contingent right in land , by way of security for money, is an infant, the court may make an order vesting or releasing or disposing of the interest in the land or the right in like manner as in the case of a trustee under disability.

Section Vesting order consequential on order for sale or mortgage of land Section Where any court gives a judgment or makes an order directing the sale or mortgage of any land , every person who is entitled to or possessed of any interest in the land , or entitled to a contingent right in it, and is a party to the action or proceeding in which the judgment or order is given or made or is otherwise bound by the judgment or order, shall be deemed to be so entitled or possessed, as the case may be, as a trustee for the purposes of this Act, and the court may, if it thinks expedient, make an order vesting the land or any part of it for such estate or interest as the court thinks fit in the purchaser or mortgagee or in any other person.

Section Vesting order consequential on judgment for specific performance, etc. Section Where a judgment is given for the specific performance of a contract concerning any interest in land , or for sale or exchange of any interest in land , or generally where any judgment is given for the transfer of any interest in land either in cases arising out of the doctrine of election or otherwise, the court may declare— that any of the parties of the action are trustees of any interest in the land or any part thereof within the meaning of this Act; or that the interests of unborn persons who might claim under any party to the action, or under the will or voluntary settlement of any deceased person who was during his or her lifetime a party to the contract or transaction concerning which the judgment is given, are the interests of persons who, on coming into existence, would be trustees within the meaning of this Act,

Section Effect of vesting order Section A vesting order under any of the foregoing provisions shall, in the case of a vesting order consequential on the appointment of a trustee, have the same effect— as if the persons who before the appointment were the trustees, if any, had duly executed all proper transfers of the land for such estate or interest as the court directs; or if there is no such person, or no such person of full capacity, as if such person had existed and been of full capacity and had duly executed all proper transfers of the land for such estate or interest as the court directs,

Section Power to appoint person to convey Section In all cases where a vesting order can be made under any of the foregoing provisions, the court may, if it is more convenient, appoint a person to transfer the land or any interest in the land or release the contingent right , and a transfer or release by that person in conformity with the order shall have the same effect as an order made under the appropriate provision.

Section Vesting orders as to stock and things in action Section In any of the following cases, namely— where a trustee entitled, whether by way of mortgage or otherwise, alone or jointly with another person to stock or to a thing in action— Where, under subsection (1)— where the court appoints or has appointed a trustee, or where a trustee has been appointed out of court under any statutory or express power; is under disability; is out of the jurisdiction of the court ; cannot be found or, being a corporation, has been dissolved; neglects or refuses to transfer stock or receive the dividends or income of it, or to sue for or recover a thing in action, according to the direction of the person absolutely entitled to it, for twenty-eight days next after a request in writing has been made to him or her by the person so entitled; or neglects or refuses to transfer stock or receive the dividends or income of it, or to sue for or recover a thing in action for twenty-eight days next after an order of the court for that purpose has been served on him or her; where it is uncertain whether a trustee entitled alone or jointly with another person to stock or to a thing in action is alive or dea...