Fillable Flexible Trust Deed Form (Page 8 of 12) in pdf

Part c. Key Provisions (continued)

5. Bare Trust for Settlor of Retained Benefits

Notwithstanding the provisions of clause 4 of Part C the Trustees hold the Retained Benefits (if any) on trust for the

Settlor absolutely.

6. Trustees’ Powers

In addition to the powers given to them by law, the Trustees shall have the following powers. The exercise of these

powers is subject to the Retained Benefits (if any):

6.1 The Trustees may invest any money requiring to be invested (subject to obtaining advice, if required by law) in

such manner as if they were absolutely beneficially entitled to the investments.

6.2 The Trustees are under no obligation to diversify the Trust Fund.

6.3 The Trustees shall have power to effect any life assurance policy on the life of any person or persons, accept

assignments of a policy to the Trust and exercise any option under any policy held by the Trustees and to sell,

charge, assign or surrender the whole or any part of such policy. For the avoidance of doubt any new policy or

increase or decrease of benefits secured by any policy or by any new policy which is effected under any options

which are contained in any policy shall be subject to the same Trust as set out in this Deed.

6.4 The Trustees shall have power to borrow money on such terms and security as they think fit.

6.5 The Trustees shall have power to lend money to any of the Beneficiaries on such terms and security as they

think fit.

6.6 The Trustees shall have power revocably or irrevocably to delegate any power or powers in making, managing,

realising or otherwise dealing with any property comprised in the Trust Fund to any person or persons upon such

terms as to remuneration or otherwise as the Trustees may think fit and no Trustee shall be responsible for the

default of any such agent if the Trustee in question employed or incurred expense in employing him in good faith.

6.7 The Trustees shall have power to instruct any investment or other professional adviser or advisers on such terms

as to fees or other remuneration and generally as the Trustees may think fit, and the Trustees may either pay such

fees or other remuneration out of the Trust Fund or reimburse themselves out of the Trust Fund if they have paid

such fees or other remuneration themselves.

7. Administrative Provisions

7.1 Receipt as a full discharge

The Trustees shall have power to pay or transfer any capital or income to be paid, transferred to, or applied for the

maintenance, education or benefit of a Beneficiary who is under the age of legal capacity or otherwise under a

legal disability to any parent or guardian of that Beneficiary or to such other person on behalf of such Beneficiary

as the Trustees shall think fit and the receipt of such person shall be a complete discharge to the Trustees who

shall be under no obligation to see to the proper application thereof.

7.2 Payments to Trustees

Any Trustee for the time being (other than the Settlor) shall:

(i) be entitled to recover all reasonable expenses; and

(ii) being a solicitor or other person or corporate body engaged in any profession or business be entitled to be paid

all usual professional or other charges for business done in relation to the Trust.

7.3 Appointment of Trustees

There shall be vested in the Settlor the power of appointment of a new Trustee and/or additional Trustee(s).

Subject thereto the power to appoint new or additional Trustees shall be vested in the Trustees.

7.4 Removal of Trustees

As long as there are at least two other Trustees, if a Trustee cannot be found, after reasonable efforts have been

made to find him, the remaining Trustees can discharge the missing Trustee. It is up to the remaining Trustees

to decide whether reasonable efforts have been made to find the missing Trustee and no other person shall be

under any duty to ensure that it was proper for the Trustees to have exercised their power to discharge the missing

Trustee.

7.5 Power to vary administrative provisions

When in the management or administration of the Trust Fund, any transaction is, in the opinion of the Trustees,

expedient but cannot be effected by reason of the absence of any power for that purpose, the Trustees may by

deed confer on themselves either generally, or in the particular instance, the necessary power for the purpose and

on the execution of such a deed the Trustees will have such power as if it had been expressly conferred on them

by this Deed.

Legal & General Protection Gift Trusts – Flexible Trust Deed

Page 8/12

Flexible Trust Deed Form Page 8

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