The Declaration of Trust Property is a crucial document used in Malta when establishing a trust arrangement over specific property assets. It serves as formal evidence of the trust relationship and is particularly important in situations involving property management, estate planning, or asset protection. The document must comply with the Malta Trusts and Trustees Act and related legislation, requiring careful drafting to ensure all legal requirements are met. It typically includes detailed information about the trust property, the roles and responsibilities of trustees, beneficiary rights, and distribution provisions. This declaration is commonly used in family wealth planning, real estate holdings, and business succession arrangements, providing a clear framework for property management and benefit distribution while offering tax efficiency and asset protection benefits under Maltese law.
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1. Parties: Identification of the Settlor(s) and Trustee(s) with full names and addresses
2. Background: Context of the trust creation and the settlor's intention to create the trust
3. Definitions: Definitions of key terms used throughout the declaration
4. Declaration of Trust: The formal declaration establishing the trust and confirming the trustee's acceptance
5. Trust Property: Clear identification and description of the property being placed in trust
6. Beneficiaries: Identification of beneficiaries and their respective interests in the trust property
7. Powers of Trustees: Detailed enumeration of the trustees' powers in managing the trust property
8. Trustees' Duties: Specification of the trustees' obligations and responsibilities
9. Trust Period: Duration of the trust and conditions for its termination
10. Distribution Provisions: Rules and conditions governing the distribution of trust property
11. Governing Law: Confirmation that the trust is governed by Maltese law
12. Execution: Signature blocks and attestation requirements
1. Protector Provisions: Include when a trust protector is appointed to oversee certain aspects of trust administration
2. Replacement of Trustees: Include when specific provisions for trustee succession are required beyond statutory provisions
3. Investment Powers: Include when specific investment guidelines or restrictions are needed beyond standard trustee investment powers
4. Administrative Powers: Include when specific administrative procedures need to be detailed
5. Variation Clause: Include when allowing for future modifications to trust terms
6. Remuneration of Trustees: Include when trustees are to be compensated for their services
7. Perpetuity Period: Include when trust may extend for multiple generations
8. Conflict Resolution: Include when specific dispute resolution procedures are desired
1. Schedule 1 - Trust Property: Detailed description of all property settled into the trust, including legal descriptions, certificates of title, or other identifying information
2. Schedule 2 - Beneficiaries: Full details of beneficiaries including names, addresses, and their respective interests or share in the trust
3. Schedule 3 - Initial Trust Assets: Inventory and valuation of trust assets at the time of settlement
4. Appendix A - Powers of Investment: Detailed list of permitted investment types and any restrictions
5. Appendix B - Administrative Provisions: Detailed administrative procedures and requirements for trust management
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