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Trusts Act 2019

Court powers and dispute resolution

130: Power of court to vary or extend trustees’ powers in relation to property

You could also call this:

"Courts can change or add to trustees' powers to help a trust run smoothly."

Illustration for Trusts Act 2019

The court can change or add to the powers of the people managing a trust, called trustees, if they think it is necessary for the trust to run properly. You need to know that the court will only do this if it does not change what a beneficiary is entitled to from the trust. The court also will not give the trustees the power to give trust property to a beneficiary if they did not already have that power. The court can make this decision if someone asks them to, and that someone can be either a trustee or a person who benefits from the trust. You can ask the court to make this decision by applying for an order, and the people who can make this application are the trustees or the beneficiaries of the trust.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=DLM7383057.

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Part 7Court powers and dispute resolution

130Power of court to vary or extend trustees’ powers in relation to property

  1. The court may vary or extend the powers of the trustees of a trust if—

  2. the court considers that the variation or extension is necessary or desirable for the proper management or administration of the trust property; and
    1. the variation or extension does not alter a beneficiary’s interest under the trust; and
      1. the variation or extension does not involve a power to distribute trust property to a beneficiary.

        1. An application for an order may be made by—

        2. a trustee of the trust; or
          1. a beneficiary of the trust.