Protective Trust Clauses (BC)

Summary

These protective trust clauses provide definitions, explain how restricted powers of a trustee are exercised, and set out the protector's power to remove trustees. These clauses include practical guidance and drafting notes. When drafting a trust in which there is a protector, it is recommended that the trust deed clearly state: • whether the powers of the protector are fiduciary or personal in nature (although it is usually more appropriate that they be fiduciary); • the protector is under no duty to inquire into or interfere with the management or conduct of this Trust, unless they have actual knowledge of circumstances which call for enquiry; and • the protector shall consider the appropriateness of any act before giving their consent to it. For more information on trusts, see the practice notes: Trusts: Preliminary Matters (BC), Taxation of Trusts (BC), Common Types of Trusts (BC), and Inter Vivos Trust: Administrative Powers (BC). For more information on the reservation of powers ...