ΠΕΡΙΓΡΑΦΗ

This course provides participants with a thorough legal understanding of trust law, covering the creation, administration, and termination of trusts within the Cyprus legal framework. It explores the statutory and fiduciary duties of trustees, along with the powers and liabilities associated with these roles. Participants will gain the legal acumen necessary to effectively engage with trust-related matters in their professional practice.

ΣΚΟΠΟΣ ΣΕΜΙΝΑΡΙΟΥ

The objective of this course is to provide participants with an in-depth legal comprehension of trust law. Participants will acquire a foundational understanding of the historical evolution and essential elements of trusts, thereby enabling them to distinguish trusts from other legal constructs. Having a solid grip on the foundational aspects of trusts will allow participants to fully understand this legal construct. 

The course will undertake a rigorous examination of various classifications of trusts, including public, private, express, implied, and international trusts, with an emphasis on their distinct legal frameworks and applications. Moreover, the course will explain the legal prerequisites and formalities required for the creation and dissolution of trusts under the Cyprus legal system. Participants will be apprised of both statutory and fiduciary obligations incumbent upon trustees, in addition to the scope of their legal powers and their potential liabilities (including, how to mitigate such liabilities).

Upon completion, participants will be equipped with a solid foundation and legal knowledge to competently navigate trust-related matters, augment their professional practice, and effectively discharge their duties as trustees, with a comprehensive understanding of their powers and liabilities.

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ΠΕΡΙΣΣΟΤΕΡΕΣ ΠΛΗΡΟΦΟΡΙΕΣ

Course content

Module 1: Introduction to Trusts: Legal Concepts and Definitions

1. Historical Development of Trusts

• Overview of the historical origins of trusts – common law and equity.
• Evolution and contemporary relevance

2. Essential Elements of a Trust

• Settlor, trustee, beneficiary, and trust property
• Distinguishing trusts from other legal arrangements (e.g., contracts, wills)
• Overview of the criteria that must be fulfilled for a valid trust – the three certainties.
• Overview of the Cyprus legal framework governing trusts.
• Q&A session

Module 2: Types of Trusts: Legal Structures and Uses

Classifying trusts: Public vs. Private

• Express Trusts (Fixed vs. discretionary trusts, testementary and inter vivos)
• Implied Trusts (Resulting trusts, Constructive trusts: when equity demands a trust)
• International Trusts vs. Local Trusts
• Uses of trusts and case studies
• Q&A session

Module 3: Creation and Termination of Trusts

• Express Trusts (Fixed vs. discretionary trusts, testementary and inter vivos)
• Legal requirements for the valid creation of a trust
• Formalities: writing, registration, and execution
• Trust deeds: key clauses and common pitfalls
• Termination of Trusts – how, when and why
• Appointment and removal of trustees

Module 4: Legal Duties and Powers of Trustees

1. Fiduciary Duties of Trustees

• The fundamental role of trustees in trust management. Fiduciary Duties, the law, and the trust deed.
• Duty of loyalty: avoiding conflicts of interest
• Duty of prudence: acting with care, skill, and diligence
• Duty of care and standard of care under the law

2. Trustee Powers

• Statutory basis of trustee powers
• Administrative and dispositive powers
• The difference between discretionary and fixed powers.
• Delegation of duties and the limits of trustee powers
• Types of powers of trustees.

3. Breach of Trust and breach of Fiduciary Duties

• Understanding the scope of liabilities that trustees face in the course of their duties
• Understanding what constitutes a breach of trust (exceeding powers, mismanagement, etc.)
• Consequences and remedies for breach of trust
• Consequences and remedies for breach of fiduciary duties.

Understanding the scope of liabilities that trustees face in the course of their duties and the distinction between personal liability and liabilities arising from the trust estate.

• Legal recourse for beneficiaries.
• Defences available to trustees.
• The importance of indemnity clauses and their limitations.
• The importance of trustee liability insurance.

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