What are the rights and obligations of the role of the trustee of a family trust?
Definition of family trust trust trustee:
"Trust Law": The trust trustee should be a natural person or legal person with full civil capacity.
Document No. 37: The trustee of a family trust is a licensed trust company regulated by the China Banking and Insurance Regulatory Commission.
1
Legal rights and obligations of the role of trustee
Individual obligations, obligations of loyalty, obligations of prudence, obligations of effective management, obligations of confidentiality
(Articles 25, 26, 27, 28, 29, 30, 33, 36 of the Trust Law)
Independent registration system for family trusts:
(Article 10 of the Trust Law; Article 9 of the " Trust Registration Management Measures ")
The property in the family trust shall not be enforced:
( "Trust Law" Article 17, Document No. 37, Article 1063 of the Civil Code, Nine Minutes)
2
Is the trust company reliable?
A. money is given to the "trust company" to manage, is it safe?
Ownership of trust property is a family trust, and the property that does not belong to the trust company,
Article 16 of the Trust Law The trust property is different from the property that belongs to the trustee and shall not be classified as the inherent property of the trustee or become part of the inherent property. If the trustee dies or is dissolved in accordance with the law, is revoked in accordance with the law, or is declared bankrupt and terminates, the trust property does not belong to his estate or liquidation property.
Article 27 of the Trust Law The trustee shall not convert the trust property into its inherent property. If the trustee converts the trust property into its inherent property, he must restore the original status of the trust property; if the trust property is lost, he shall bear the liability for compensation.
Article 29 of the Trust Law The trustee must manage and keep accounts separately from the trust property and the inherent property, and manage the trust property of different trustees separately,
B. is not well managed, can you change to a "trust company"?
If the trustee fails to perform his duties, he may be dismissed by the principal or beneficiary,
Article 23 of the Trust Law If the trustee disposes the trust property in violation of the purpose of the trust, or has gross negligence in the management and use of the trust property, the principal has the right to dismiss the trustee in accordance with the provisions of the trust documents, or apply for the People's Court to dismiss the trustee.
Article 49 of the Trust Law The beneficiary may exercise the rights enjoyed by the principal as stipulated in Articles 20 to 23 of this Law. If the beneficiary exercises the above rights and does not agree with the principal's opinion, he may apply to the people's court to make a ruling.
C. money is managed by the "trust company". What should I do if I don't manage it properly?
The trustee has the right to manage :
Article 22 of the Trust Law If the trustee disposes the trust property in violation of the purpose of the trust or causes losses to the trust property due to violation of management responsibilities or improper handling of trust affairs, the principal has the right to apply to the people's court to revoke the punishment, and has the right to request the trustee to restore the original status of the trust property or provide compensation.
Article 37 of the Trust Law The trustee shall bear the debts incurred by a third party or the losses suffered by himself by breach of management responsibilities or improperly handling trust affairs.
D, Legal basis for the termination of the duties of the trustee:
(Articles 38, 39, 40, 41, 42 of the Trust Law)
3
Two things managed by the trustee
A. Actively manage trust property:
What is trust property? As long as the principal has the ownership and can be disposed of freely, trust property can be established as long as it is not prohibited by law, including currency, real estate, securities, other valuable movable property, etc.
Three ways for trustees to manage trust assets:
Fully-righted delegation model: the principal entrusts the trustee (trust company) to represent customers in accordance with the investment framework agreed in advance, and the investment decision-making power is in the hands of the trustee.
Semi-committee or investment advisor model: the principal confirms the investment copy in writing based on the suggestions of the investment advisor or trustee.
Prienter instruction mode: The principal issues written instructions on investment decisions, the trustee is responsible for the transaction operations and reports to the principal in a timely manner.
B. Transactional services for allocating trust interests:
Distribute trust property and management income to beneficiaries according to the trust contract. It can be allocated according to the conditions of person, time, time, etc., or can be temporarily allocated.
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