Parliament

Gordon Campbell | Parliament TV | Parliament Today | Video | Questions Of the Day | Search

 

Revamp to 60-year old trust law

Hon Amy Adams

Minister of Justice
10 November 2016 Media Statement

Revamp to 60-year old trust law

Justice Minister Amy Adams today released draft legislation that will update our trust law and aid in their administration.

“Trusts play an important role in New Zealand. Between 300,000 and 500,000 trusts are operating today. Every day, ordinary New Zealanders use them to manage their finances, with an estimated 15 per cent of private houses held in a trust. They also form part of the economic backbone of the commercial and social sectors,” says Ms Adams.

“Our 60-year old trust law is complex and hard to navigate, partly because it is scattered across the Trustee Act and a variety of decisions made by courts over many years. That’s why in 2009, the Government asked the Law Commission to have a look at how the laws could be modernised and made clearer.

“Given their importance to our society and economy, trust law should be simple to understand so that families and businesses can manage their affairs with confidence.”

The draft Trusts Bill updates and improves the Trustee Act 1956, marking the first significant change in 60 years. The proposed improvements include:

• making it easier for people to understand how to appropriately use trusts to manage their affairs

• clear mandatory and default trustee duties so people know what their obligations are if they’re involved in managing a trust

• requirements for trustees to manage and provide information to beneficiaries

• flexible trustee powers and updated rules

• clear rules for when people make changes to a trust or wind them up

• more options for removing and appointing trustees without having to go to court while also preserving people’s ability to ask the courts to intervene to resolve disputes.

Ms Adams says the proposed reforms are largely based on recommendations for modernising and clarifying trust law made by the Law Commission in 2013. They also reflect advice from a reference group of experts she appointed in 2015, who considered the Law Commission’s recommendations and provided valuable input into refining them.

“We need to ensure it is fit for purpose and that the law suits the needs and realities of everything from family trusts to corporate structures,” says Ms Adams.

“With thousands of trusts in New Zealand, many people will benefit from a more practical and useable law.”

The draft Bill and information on how to make a submission is available online at consultations.justice.govt.nz. Submissions close at 5pm on 21 December.

Attached: Trust law reform Q&As

Trust_Reform_QAs_.pdf

© Scoop Media

 
 
 
Parliament Headlines | Politics Headlines | Regional Headlines


Gordon Campbell: On Why The Greens Shouldn’t Join The Government

We know she’s a miracle worker, but can Jacinda Ardern really find a cure for capitalism? Tough job. Especially when Ardern is being expected to fix the effects of capitalism – child poverty, unaffordable housing, social inequality – without radically changing the economic structures that keep on generating those outcomes. Unfortunately, Ardern and her Finance Minister Grant Robertson are not by temperament (or by ideology) radical, risk taking politicians... More>>


 

Poll: Labour On 46%, National 31%, While Greens And ACT Both On 8%

Tonight's political poll puts Labour on 46 percent and National on 31 percent with just one day remaining until election day. More>>

ALSO:

NZ First: Winston Peters Returns To Tauranga In Final Campaign Sprint

NZ First leader Winston Peters is on the final campaign sprint after a marathon tour of the whole country as he fights for his political survival, writes Jo Moir. More>>

ALSO:

Election: Labour Releases Full Manifesto

The Labour Party Manifesto sets the ongoing COVID recovery as the top priority for Government. More>>

ALSO:

NZ First Foundation: Media Companies Lodge Urgent Appeal Over Name Suppression

Media outlets including RNZ are seeking an urgent appeal over name suppression granted to two people charged in the NZ First Foundation donations case. More>>

ALSO:


Judith Collins: Obese People Must Take Responsibility For 'personal Choices'

National Party leader Judith Collins has described obesity as a weakness and says people should not 'blame systems for personal choices'. More>>

Māori Party: Poll Reveals Tamihere On Cusp Of Historic Māori Movement Election Victory

John Tamihere’s election campaign is on the rise and on track to return the Māori Party to parliament, a new Māori TV poll has revealed. The poll released on 11 October during the seventh and final Māori TV Maori Electoral campaign coverage has Tamihere ... More>>

Gordon Campbell: On Four-Year Terms Of Parliament, And On How The US Courts Are Dismantling Democracy

Last week, the issue of four-year parliamentary terms surfaced again. Infuriatingly, it is being discussed purely in terms of its convenience for political parties. They’d get so much more time to enact their policies, free of scrutiny or sanction by voters ... More>>

ALSO:

 
 
 
 
 
 

LATEST HEADLINES

  • PARLIAMENT
  • POLITICS
  • REGIONAL
 
 

InfoPages News Channels