The Amendment Act has introduced new trustee obligations into the existing South African trust law. The changes pertain to the recording and reporting of beneficial ownership of trusts. The aim of this recording is to improve transparency regarding the ownership of trust assets to assist in the combatting of a money laundering and terrorist financing.
It is vital that a trustee is authorised by the Master before they exercise or undertake any trustee powers or duties. If this is not adhered to, these unauthorised acts are void and of no legal effect. This can place the trust, its beneficiaries and even the trustees themselves, depending on the circumstances, in a precarious position which could have financial or other adverse consequences.
With a lack of knowledge of South African law, one could be left with the popular misconception that common law marriages exist and become applicable when living with your partner in a permanent relationship. In the past, if you merely lived as husband and wife, but did not actually get married, you were not protected
What is a Trust? A trust is a legal institution in which a person, known as a Trustee, holds or administers property, movable and/or immovable, separately from his own, for the benefit of the Beneficiaries of the trust, or for the furtherance of a charitable or other purpose. A trust is created by the Founder
The primary reason for setting up a trust is for protection of your assets. A trust will protect the assets and hard-earned wealth that you have accumulated and will ensure that your legacy is preserved for future generations. Not only can trusts be useful for asset protection purposes, if the creditors of the beneficiary are
Trusts are flexible and there is a relative lack of formality in their creation and operation. Trustees and Beneficiaries should be aware that the leeway provided by the wording of the trust deed does not absolve them of the need for accountable administration. In a recent judgement, Land and Agricultural Bank of South Africa v