This Act was repealed on 2021-08-06 by Trusts Act, 2021.
This is the version of this Act as it was when it was repealed.
International Trusts Act
- Commenced on 1 January 1995
- [This is the version of this document as it was at 1 December 2014 to 4 March 2021.]
- [Repealed by Trusts Act, 2021 (Act 34 of 2021) on 6 August 2021]
Part I – Preliminary
1. Short titleThis Act may be cited as the International Trusts Act.
2. InterpretationIn this Act—"accounting records" means documents relating to assets and liabilities of the international trust including receipts and expenditure, sales and purchases and other transactions."Authority" means the Authority referred to in section 78;"beneficiary" means a person, whether natural or corporate, entitled to benefit under an international trust, or in whose favour a power to distribute trust property may be exercised;"body corporate" means a company, partnership, or association incorporated under the laws of Seychelles;"breach of trust" means a breach of any duty imposed on a trustee by this Act or by the terms of the trust;"charitable international trust" means a trust referred to in section 13;"constructive trust" means a trust referred to in section 48;"corporate trustee" means a body corporate acting as trustee of an international trust;"court" means the Supreme Court;"financial institution" means an institution in terms of the Financial Institutions Act;"foreign trust" means a trust the proper law of which is a law other than a law of Seychelles;"immovable property" includes rights and interests in any immovable property, shares or interest in a body corporate owning immovable property or interests in such property;"interest", in relation to a beneficiary, means the interest of the beneficiary under an international trust;"International Business Company" means a company incorporated under the International Business Companies Act;"minor" means a person who has not attained the age of eighteen;"person interested," in relation to a power to apply to the court, means the Attorney-General, a trustee, a settlor, a beneficiary of the relevant trust, any person empowered by the terms of the trust to make such application, or any other person with leave of the court;"personal representative" means the executor or administrator of the estate of a deceased person;"profit" includes gain or advantage;"property" includes movable and immovable property, rights and interests in the property whether vested, contingent, defeasible or future;"purpose international trust" means a trust referred to in section 14;"registered declaration of trust" means a declaration of trust registered under section 75;"resident" means—(a)in relation to an individual, a person who is domiciled in Seychelles;(b)in relation to a body corporate, a body incorporated or registered under the laws of Seychelles;"settlor" means a person who provides trust property or makes a testamentary disposition on trust or to a trust;"terms of a trust" means the written or oral terms of an international trust;"trust" means a legal relationship which arises where property is vested or deemed to be vested in, or is held by or deemed to be held by, but does not form part of the estate of, a person known as a trustee—(a)for the benefit of another person known as a beneficiary, whether or not yet ascertained or in existence;(b)for a charitable purpose or for any other purpose which is not for the benefit only of the settlor or the trustee, including for the purpose of—(i)trading (commercial trust);(ii)dealing with life insurance (life insurance trust);(iii)managing cash deposits (cash deposit trust);(iv)managing provident funds, pension funds, employee end of service benefit scheme and employee stock option plans.
3. Application of the ActThis Act applies to international trusts arising voluntarily or resulting by operation of law or by a decision of the court.
Part II – General provisions
4. International Trust
5. Validity of international trustSubject to this Act, an international trust is valid and enforceable in Seychelles.
6. Proper law of international trust
7. Jurisdiction of courtThe court has exclusive jurisdiction in respect of all matters relating to an international trust.
9. Avoidance of international trust
10. Forced heirship
11. Duration of international trust
12. Accumulation of incomeA direction contained in the terms of an international trust for accumulation of income is valid for any period within the duration of the trust.
13. Charitable international trust
14. Purpose international trust
Part III – Creation of international trusts
15. Creation of international trust
16. Trust property
17. Beneficiaries of an international trust
18. Disclaimer of beneficial interest
19. Nature of beneficial interestThe interest of a beneficiary shall form part of the beneficiary's movable property and as such may, subject to the terms of the international trust, be sold, pledged, charged, transferred or otherwise dealt with.
20. Enforcement of international trust
21. Effect of invalidity on propertyAny property as to which an international trust is invalid shall, subject to any order of the court made under section 20, be held by the trustees in trust for the settlor absolutely or, if the settlor is dead, for the settlor's personal representative.
Part IV – Appointment and discharge of trustees
22. Number of trustees
23. New or additional trustees
24. Acceptance by trustees
25. Resignation or removal
Part V – Duties of trustees
26. Fiduciary duties
27. Duty to preserve trust propertySubject to this Act and to the terms of the international trust, a trustee shall—
28. Duty not to profitA trustee shall not—
29. Duty to keep accounting records
29A. Duty to keep Register
30. Duty to keep trust property separateA trustee shall keep trust property separate from the trustee's own property and separately identifiable from any other property of the trust.
31. Duty to give informationSubject to the terms of the international trust, a trustee shall, at all reasonable times, at the written request of any beneficiary (including any charity named in the trust) or of the settlor, provide full and accurate information as to the state and amount of the trust property.
32. Duty of co-trustees
33. Impartiality of trustees
Part VI – General powers of trustees
34. Powers of trustees
35. Powers to sueA trustee may sue and be sued as trustee.
36. Consultation by trustees
37. Delegation by trustees
38. Maximum period of delegation
39. Remuneration of trustees
40. Power to appropriate
41. Body corporate acting as trusteeA body corporate may—
42. Non-disclosure by trusteeSubject to section 8, or to the terms of the international trust and to an order of the court, a trustee shall not disclose documents which reveal—
Part VII – Liability of trustees
43. Liability for breach of trust
44. Saving from liability
45. Relief by beneficiary
46. Trustees of more than one trust
47. Dealings with third parties
48. Constructive trusts
49. Outgoing trustees
Part VIII – Protective trusts, class interests and exercise of certain powers
50. Protective trustsThe terms of an international trust may make the interest of a beneficiary—
51. Class interestsSubject to the terms of an international trust, where a trust is in favour of a class of persons—
52. Power of variation
53. Accumulation and advancement
54. Power of appointmentThe terms of an international trust may confer on the settlor, trustees or any other person power to appoint or assign all or any of the trust property or any interest in it, to or for the benefit of, any person (whether or not a beneficiary of the trust immediately prior to the appointment or assignment).
55. Power of revocation
56. Permitted investments
Part IX – Failure, lapse and termination of trusts
57. Failure or lapse of interestSubject to the terms of an international trust and to any order of the court, where—
58. Termination of international trust
Part X – Powers of the court
59. Appointment of resident trustee
60. Power to relieve trustee from liabilityThe court may relieve a trustee wholly or partly of liability for a breach of trust, where it appears to the court that the trustee—
61. Power to make beneficiary indemnifyWhere a trustee commits a breach of trust at the instigation, or the request or with the concurrence of a beneficiary, the court, whether or not the beneficiary is a minor or a person under legal disability, may order—
62. Variation of international trusts
63. Approval of transactionsWhere in the management or administration of an international trust a transaction is, in the opinion of the court, expedient, but cannot be effected because the necessary power is not vested in the trustees by the terms of the trust or by law, the court may, on the application of any person interested—
64. Special provisions on charitable international trustWhere trust property is held for a charitable purpose and—
65. General power to varyWhere the trust property is held for a charitable or other purpose, the court, on the application of a person interested, may approve any arrangement which varies or revokes the purposes or terms of the trust or enlarges or modifies the powers of management or administration of the trustees, if it is satisfied that the arrangement is—
66. Notification of person with material interestThe court shall not approve an arrangement under section 65 unless the court is satisfied that any person with a material interest in the trust has been, where practicable, notified of the application.
Part XI – Miscellaneous provisions
67. Enforceability of international trustA trustee may apply to the court for directions as to how the trustee should or might act in any of the affairs of the international trust, and the court may make such order as it thinks fit.
68. Application to court
69. General powers of court in case of defaultWhere a person does not comply with an order of the court under this Act requiring the person to do any thing, the court may, without prejudice to any action for contempt of court, order on such terms and conditions as it thinks fit, that the thing be done by another person, nominated for the purpose by the court, at the expense of the person in default (or otherwise, as the court directs), and a thing so done shall have effect in all respects as if done by the person in default.
70. Payment of costsThe court may order the costs and expenses of, and incidental to, an application to the court under this Act to be paid from the trust property or in such other manner and by such persons as it thinks fit.
71. Nature of trustee's interest
72. Following trust propertyWithout prejudice to the personal liability of a trustee, trust property which has been charged or dealt with in breach of trust, or the property into which the trust property has been converted, may be followed and recovered unless—
73. Bankruptcy of trusteesWhere a trustee becomes bankrupt or upon the property of a trustee becoming liable to arrest, seizure, forfeiture, expropriation or similar process of law, the trustee's creditors shall have no recourse against the trust property except to the extent that the trustee has a claim against or a beneficial interest in the trust property.
74. Protection of person dealing with trustees
75. Declaration and its registration
76. Particulars of declarationA declaration of trust shall not contain any mention of—
77. Offence in relation to declarationA resident trustee who—
78A. Licensing of trustees
79. Limitation period for action against trustees
79A. Compliance inspection
79B. Non-disclosure of informationThe Authority, its officers, employees or authorized agent, shall not disclose to a third party any information acquired in the performance of their functions, unless—
|International Trusts (Fees) Regulations||Statutory Instrument 88 of 1995|