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Role and Responsibility of Trust Protectors
A trust protector is an independent third party with the authority to perform certain duties concerning a trust. These powers are limited to specific powers, usually to veto certain trustee decisions. The trust agreement typically details the trust protector's responsibilities and areas of authority.
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How do you establish a valid trust?
In order to establish a valid trust, it is important to understand what a trust is in the first instance. A trust is established when one party (the “Settlor”) divests themselves of the legal ownership of certain property and transfers the property to another party (the “Trustee”). Equity then obliges and binds the Trustee to hold the property (the “Trust Fund”) and act for and within the best interests of the beneficiaries. The Trust Fund shall always be held separately from the Trustee’s own personal assets and estate.
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