Labuan Offshores Trusts Act 1996 · Updated to 1 Dec 2011 · Part II · Creation and Recognition of Labuan Trusts
11A. Purpose trusts
Official textFrom Laws of Malaysia Online, unchanged
Notwithstanding any law to the contrary, a trust may be created or established under this Act for a particular purpose or purposes, whether charitable or not.
trust
―trust‖ includes the trust property and the rights, powers, duties, interests, relationships and obligations under a trust;
Without prejudice to subsection (1), the objects of a trust may be—
persons of any number;
purposes of any number or kind; or
both the person or persons and purpose or purposes, provided that the purposes are lawful and not contrary to public policy.
A purpose trust shall be enforceable by the enforcer appointed in accordance with section 11C.
purpose trust
―purpose trust‖ means a trust referred to in section 11A, and includes a charitable trust;
Notwithstanding subsection (3), where the objects of a purpose trust include a person, such person shall be entitled to enforce the purpose trust as regard the person and not a purpose.
person
―person‖ includes a corporation, a partnership, a body of persons, corporate or unincorporated, and a corporation sole;
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Any instrument creating or evidencing a purpose trust may—
specify an event or date upon the occurrence of which the trust ceases to be a purpose trust;
provide for the disposition of the property of the trust when the trust ceases to be a purpose trust; and
provide that, for so long as the trust is a purpose trust, the trustees owe no duty—
to any person entitled to such property when the trust ceases to be a purpose trust; or
in relation to any purposes for which such property are then to be applied.
Terms defined in s 2
person
Defined · s 2―person‖ includes a corporation, a partnership, a body of persons, corporate or unincorporated, and a corporation sole;
property
Defined · s 2―property‖ includes— (a) property of every kind, whether corporeal or incorporeal, movable or immovable, tangible or intangible, however acquired; or (b) legal documents or instruments in any form, including electronic or digital, evidencing title to or interest in, such property, including bank cheques, money orders, shares, securities, bonds, bank drafts and letters of credit;
purpose trust
Defined · s 2―purpose trust‖ means a trust referred to in section 11A, and includes a charitable trust;
trust
Defined · s 2―trust‖ includes the trust property and the rights, powers, duties, interests, relationships and obligations under a trust;
Part III
Beneficiaries of Labuan Trusts
Part IV
Trustees of Labuan Trusts
Part V