The following Private Client guidance note provides comprehensive and up to date legal information covering:
Restructuring a trust may be undertaken for a number of purposes, including to:
restrict the class of beneficiaries
create specific trusts for specific beneficiaries or for a class of beneficiaries
create a sub-fund or sub-funds
appoint a different set of trustees over a part of the trust fund
expand the administrative powers held by the trustees
A trust may be restructured by one or more of the following methods:
an exercise by the trustees of a statutory power or of an express power contained in the trust deed or instrument
an application to court for a variation of the terms of the trust
a disposition by a beneficiary of a vested or contingent interest
This is likely to be the simplest and most effective method of restructuring the trust because it can be achieved (if the terms of the trust allow) simply and quickly by the trustees and without the need for any action on the part of a beneficiary. The terms of the trust instrument (if any) and/or the terms imposed by statute should be examined to ascertain the extent of the flexibility which the trustees have to restructure the trust.
A modern trust instrument will confer a power of appointment on the trustees, which will commonly
**excludes LexisPSL Practice Compliance, Practice Management and Risk and Compliance. 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
Take a free trial
0330 161 1234