Trustee Act (Northern Ireland) 2001

SCHEDULES

Section 2

SCHEDULE 1 N.I. APPLICATION OF DUTY OF CARE

Investment N.I.

1.  The duty of care applies to a trustee— N.I.

(a) when exercising the general power of investment or any other power of investment, however conferred;

(b) when carrying out a duty to which he is subject under section 4 or 5 (duties relating to the exercise of a power of investment or to the review of investments).

Acquisition of land N.I.

2.  The duty of care applies to a trustee— N.I.

(a) when exercising the power under section 8 to acquire land;

(b) when exercising any other power to acquire land, however conferred;

(c) when exercising any power in relation to land acquired under a power mentioned in sub-paragraph (a) or (b).

Agents, nominees and custodians N.I.

3.—(1) The duty of care applies to a trustee— N.I.

(a) when entering into arrangements under which a person is authorised under section 11 to exercise functions as an agent;

(b) when entering into arrangements under which a person is appointed under section 16 to act as a nominee;

(c) when entering into arrangements under which a person is appointed under section 17 or 18 to act as a custodian;

(d) when entering into arrangements under which, under any other power, however conferred, a person is authorised to exercise functions as an agent or is appointed to act as a nominee or custodian;

(e) when carrying out his duties under section 22 (review of agent, nominee or custodian, etc.).

(2) For the purposes of sub-paragraph (1), entering into arrangements under which a person is authorised to exercise functions or is appointed to act as a nominee or custodian includes, in particular—

(a) selecting the person who is to act,

(b) determining any terms on which he is to act, and

(c) if the person is being authorised to exercise asset management functions, the preparation of a policy statement under section 15.

Compounding of liabilities N.I.

4.  The duty of care applies to a trustee— N.I.

(a) when exercising the power under section 15 of the Trustee Act (Northern Ireland) 1958 (c.23) to do any of the things referred to in that section;

(b) when exercising any corresponding power, however conferred.

Insurance N.I.

5.  The duty of care applies to a trustee— N.I.

(a) when exercising the power under section 19 of the Trustee Act (Northern Ireland) 1958 to insure property;

(b) when exercising any corresponding power, however conferred.

Reversionary interests, valuations and audit N.I.

6.  The duty of care applies to a trustee— N.I.

(a) when exercising the power under section 23(1) or (3) of the Trustee Act (Northern Ireland) 1958 to do any of the things referred to there;

(b) when exercising any corresponding power, however conferred.

Exclusion of duty of care N.I.

7.  The duty of care does not apply if or in so far as it appears from the trust instrument that the duty is not meant to apply. N.I.

N.I.

Schedule 2 — Amendments

Section 44.

SCHEDULE 3 N.I. TRANSITIONAL PROVISIONS AND SAVINGS

Part II of this Act N.I.

1.  Nothing in Part II affects any power of a court to enlarge the investment powers of trustees. N.I.

Part IV of this Act N.I.

2.—(1) Sub-paragraph (2) applies if, immediately before the day on which Part IV of this Act comes into operation, a bank holds any bearer securities deposited with it under section 7(1) of the 1958 Act (investment in bearer securities). N.I.

(2) On and after the day on which Part IV comes into operation, the bank shall be treated as if it had been appointed as custodian of the securities under section 18.

3.  The repeal of section 8 of the 1958 Act (loans and investments by trustees not chargeable as breaches of trust) does not affect the operation of that section in relation to loans or investments made before the coming into operation of that repeal. N.I.

4.  The repeal of section 9 of the 1958 Act (liability for loss by reason of improper investment) does not affect the operation of that section in relation to any advance of trust money made before the coming into operation of that repeal. N.I.

5.—(1) Sub-paragraph (2) applies if, immediately before the day on which Part IV of this Act comes into operation, a bank holds any documents deposited with it under section 22 of the 1958 Act (deposit of documents for safe custody). N.I.

(2) On and after the day on which Part IV comes into operation, the bank shall be treated as if it had been appointed as custodian of the documents under section 17.

6.—(1) Sub-paragraph (2) applies if, immediately before the day on which Part IV of this Act comes into operation, a person has been appointed to act as or be an agent under section 24(1) or (3) of the 1958 Act (general power to employ agents). N.I.

(2) On and after the day on which Part IV comes into operation, the agent shall be treated as if he had been authorised to exercise functions as an agent under section 11 (and, if appropriate, as if he had also been appointed under that Part to act as a custodian or nominee).

7.  The repeal of section 24(2) of the 1958 Act (power to employ agents in respect of property outside the United Kingdom) does not affect the operation after the commencement of the repeal of an appointment made before that commencement. N.I.

General N.I.

8.  A provision of this Act does not affect the validity or legality of anything done before it comes into operation. N.I.

9.  In this Schedule “the 1958 Act” means the Trustee Act (Northern Ireland) 1958 (c. 23). N.I.

N.I.

Schedule 4 — Repeals