5. An international trust may only be created by instrument in writing
avoidance of trust.
6. An international trust that does not contain a power of revocation is irrevocable by the settlor or his legal personal representative notwithstanding that the trust is voluntary
Duration of trust and accumulation of income
7.(1) Subject to subsection (2), a trust terminates on the one hundredth anniversary after the date of its creation, if not sooner terminated in accordance with the term of the trust instrument.
(2) Subsection (1) does not apply to a purpose trust or a trust established exclusively for charitable purposes, such a trust may continue in force without any limit as to time.
(3) The rule of law know as the "rule against perpetuities" does not apply to an international trust.
(4) The terms of an international trust may direct or authorise the accumulation of all or part of the income of the trust for a period not exceeding one hundred years from the date of the creation of the trust.
Proper law of trust
8.(1) Subject to subsections (2) and (3), the proper law of an international trust is the law of
(a) the jurisdiction expressed by the terms of the trust as the proper law, or if not so expressed
(b) the jurisdiction intended by the settlor to be the proper law, or if not so expressed or intended
(c) the jurisdiction with which the trust at the time it was created had the closest connection,
(2) Where the proper law of a trust is changed from the law of another jurisdiction to the law of Barbados, the change is valid and effective if it is recognised by the law of the other jurisdiction.
(3) Where the terms of an international trust provide for the proper law of the trust to be changed from the law of Barbados to the law of another jurisdiction the change is valid and effective only if the new proper law recognises the validity of the trust and the respective interests of the beneficiaries.
(4) In ascertaining the law with which a trust has its closest connection, reference shall be had in particular to
(a) the place of residence or business of the trustee;
(b) the place of administration of the trust designated by the settlor;
(c) the situs of the assets of the trust; and
(d) the purposes of the trust and the places where they are to be fulfilled.
(5) The terms of a trust may provide
(a) for the severable aspects of the trust, particularly the administration of the trust, to be governed by a different law from the proper law of the trust; and
(b) for the law governing a severable aspect of the trust to be changed from the law of Barbados to the law of another jurisdiction and vice versa.
(6) A change in the proper law of a trust shall not affect the legality or validity of or render any person liable for anything done before the change.
(7) Subject to subsection (5)(a), the proper law of the trust shall govern the validity of the trust, its construction, its effects and its administration
(8) When the proper law of a trust or the law governing a severable aspect of a trust is changed from the law of Barbados to the law of another jurisdiction (herein called the "new law") no provision of the law of Barbados operates to render the trust void, invalid or unlawful any function conferred on the trustee under the new law.
(9) Where the proper law of a trust or the law governing the severable aspects of a trust is changed from the law of another jurisdiction (herein called the "old law") to the law of Barbados no provision of the old law operates to render the trust void, invalid or unlawful or to render void, invalid or unlawful any functions conferred on the trustee under the law of Barbados.
This information was correct in October 1995
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances