Appendix B
Questions

Q1

Should there be a statutory provision setting out the grounds for the court to intervene in the exercise of a discretion by trustees (in other words, should an amended version of section 68 be retained?)

Q2

On what grounds should the Court be able to review and interfere with the exercise of a trustee’s discretion?

Q3

Should the Court's power to intervene be extended to cover trustees’ actions, omissions and decisions when they exercise a power under a trust instrument as well as under the Act?

Q4

What changes, if any, are needed to the powers of the court under the provisions discussed in chapter 2?

Q5

Should the High Court continue to have exclusive jurisdiction under new trusts legislation or should District Courts have concurrent jurisdiction (within their monetary limits)?

Q6

If District Courts have concurrent jurisdiction, should it be only under some provisions in the Trustee Act 1956? If so, which provisions?

Q7

What, if any, powers should the Family Court have under new trusts legislation?

 

Q8

What are your views on the dispute resolution mechanisms discussed in chapter 4?

Q9

Should trusts legislation facilitate the use of alternative disputes resolution in trust disputes? Should it be available in every trust or only those that specifically provide for it in the trust deed?

Q10

Should legislation allow for trust deeds to provide for virtual representatives to bind unascertained and incapacitated beneficiaries to a settlement?

Q11

Are trading trusts in widespread use in New Zealand?

Q12

Are there any actual problems resulting from the use of trading trusts, including those identified in Part 3?

Q13

Do you consider that there are problems for creditors dealing with trading trusts?

Q14

Do you support any of the options for assisting creditors dealing with trading trusts, either alone or in combination?

Q15

Do you consider that it would be beneficial to restate in legislation the essential principles of any of the following areas of the common law (as they apply generally, not only to trading trusts):

a.that a trustee assumes personal liability unless there is an express contract to the contrary;

b. a trustee’s right to indemnity out of trust assets;

c. how and subject to what, if any, conditions can a trustee’s rights to indemnity be exercised;

d. the circumstances in which creditors can be subrogated to a trustee’s right of indemnity; and

e. exclusion of the right of indemnity.

Q16

Are there problems arising in relation to beneficiaries of trading trusts?

 

Q17

Is any reform necessary relating to beneficiaries of trading trusts, and if so, in what way? Do you consider that directors of corporate trustees should have the same obligations to beneficiaries as if they personally were the trustees?

Q18

Are the problems arising from insolvent trading trusts correctly identified?

Q19

Do any of the issues referred to regarding insolvent trading trusts require legislative clarification or reform?

Q20

Can the term “trading trust” be defined adequately in legislation? If so, what form should the definition take?

Q21

Is the introduction of a trusts register warranted? Why or why not? If so, what type of register should be introduced?

Q22

Do you think that a record-keeping provision in the form suggested in chapter 9 would be useful? Why or why not?

Q23

Should trust service providers be registered and regulated? Which of the options do you favour and why?

Q24

Should any regime for trust service providers also extend to paid or professional trustees?