What Does Being a Trustee of a Body Corporate Entail? (Part 1)

When all the trustees of a body corporate resign, the options available to the owners include the appointment of: replacement trustees at a special general meeting. an executive managing agent at a special general meeting or approaching the Community Schemes Ombud service to do so. appointment of an administrator by way of an application to […]

When Is a Trust Not a Trust?

When can the provisions of a trust deed be set aside?  When you don’t stick to the rules. Far too many people pay their accountant or attorney a visit, draw up a boilerplate trust deed, sign on the dotted line, and think that this piece of paper will take away all their tax and estate […]

Can losses be distributed out of a trust?

On 18 March 2021, the Supreme Court of Appeal delivered judgment in the case of Massmart Holdings Limited v The Commissioner for the South African Revenue Service. The case dealt with losses which were incurred within the broader Massmart group in respect of the investing of equity instruments as part of an employee share incentive scheme.  The mechanism of the scheme was that shares allocated to the designated employees would be […]

The benefits of creating a trust

Trusts are well-known to facilitate effective estate planning and continuity planning strategies. That said, setting up a trust – whether an inter vivos (between the living) or a testamentary (created in a will) − should be carefully considered and not just implemented blindly. The difference between testamentary and inter vivos trusts A testamentary trust is […]

IS IT BENEFICIAL TO CREATE A TRUST?

A Trust can be described as a legal relationship which has been created by the founder, who places assets under the control of Trustees. This either happens during the founder’s lifetime (inter vivos trust) or at the death of the founder (testamentary trust). This article will focus on the advantages and disadvantages of an inter […]