The following Private Client practice note Produced in partnership with Mourant Ozannes and Carey Olsen provides comprehensive and up to date legal information covering:
This Practice Note provides guidance on Cayman Islands STAR trusts. For general information about the Cayman Islands, see Practice Note: Private Client jurisdictional guide—Cayman Islands.
Non-charitable purpose trusts are called ‘STAR’ trusts in the Cayman Islands. The legislation which allowed for STAR Trusts to be established in the Cayman Islands is the Special Trusts (Alternative Regime) Law 1997, hence the acronym ‘STAR’. This legislation has been incorporated into the Trusts Law (2020) Revision (Trusts Law) at Part VIII.
The STAR trust is arguably the most flexible and dynamic form of trust available in the Cayman Islands. It is capable of carrying out any number of charitable and non-charitable purposes so long as such purposes are lawful and not contrary to public policy (Trusts Law, s 99(3)).
STAR trusts are capable of being pure purpose trusts or trusts for individuals only, or a combination of the two. STAR trusts are also capable of being perpetual in nature which distinguishes them from other forms of private Cayman Islands trusts (non-charitable in nature) which are otherwise currently subject to a maximum 150 year perpetuity period (section 13 of the Perpetuities Law (1999 Revision)).
The STAR trust also shifts the rights of enforcement and rights to trust information away from the beneficial objects and vests these powers in an enforcer. Another key feature
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and thousands of others like it, sign-in to LexisPSL or register for a free trial.
Existing user? Sign-in
Take a free trial
The roles of nominated officer and money laundering reporting officerA nominated officer is an individual who is nominated by a firm to receive disclosures under Part 7 of the Proceeds of Crime Act 2002 (POCA 2002) or Part III of the Terrorism Act 2000 (TA 2000)—see Requirement to appoint a
Source of the doctrine of the separation of powersThe origins of the doctrine are often traced to John Locke’s Second Treatise of Government (1689), in which he identified the 'executive' and 'legislative' powers as needing to be separate.‘… it may be too great a temptation to human frailty, apt to
The Standard Conditions of Sale (SCS), currently in their 5th edition (2018 revision), are a set of standard conditions which are commonly incorporated into contracts for the sale of residential property. The Standard Commercial Property Conditions (Third Edition—2018 Revision) (SCPC) are used for
Background to the Single RulebookHistorically, the European Commission (Commission) favours using Directives (rather than Regulations) to set out its legislation in respect of the financial services sector. However, Directives, allowing Member States greater flexibility in how they implement
0330 161 1234
To view our latest legal guidance content,sign-in to Lexis®PSL or register for a free trial.