Section 52
Power of officers to bind the Labuan foundation
of Labuan Foundations Act 2010
A party to a transaction with a Labuan foundation is not bound to enquire as to whether the transaction is a transaction permitted by the constituent document of the Labuan foundation or as to any limitation on the powers of the council or officers to bind the Labuan foundation or to authorize others to do so.
(2)
Subsection (1) shall not affect any right of any council, council member or supervisory person, or officer of a Labuan foundation, as the case may be, to bring proceedings to restrain the doing of any act which is beyond the powers of the officers.
Act 706
(3)
Subsection (1) shall not affect any liability incurred by the officers of a Labuan foundation or any other person, by reason of the officers exceeding their powers.