Skip to content

Section 75

Liability of trustees

of Labuan Companies Act 1990

ActIn forceProvision 82 of 211
Section 75
(1)

Subject to this section, any provision contained in a deed, or in any contract with the holders of interests to which such a deed relates, shall be void so far as it would have the effect of exempting a trustee or representative under the deed from, or indemnifying a trustee or representative against, liability for breach of trust where the trustee or representative fails to show the degree of care and diligence required of a trustee or representative.

(2)

Subsection (1) shall not invalidate—

(a)

any release otherwise validly given in respect of anything done, or omitted to be done, by a trustee or representative before the giving of the release; or

(b)

any provision enabling such a release to be given—

84 Laws of Malaysia ACT 441

(i)

on the agreement thereto of a majority of not less than three-fourths of the holders of interests as vote in person or by proxy at a meeting summoned for the purpose; and

(ii)

either with respect to specific acts or omission, or on the trustee or representative ceasing to act.