Singapore legislation

Section 41N

of Trustees Act 1967

Section 41N

Liability for agents, nominees and custodians, etc.

(1)

A trustee shall not be liable for any act or default of the agent, nominee or custodian unless the trustee fails to comply with the statutory duty of care applicable to the trustee under paragraph 3 of the First Schedule when —

(a)

entering into the arrangements under which the person acts as agent, nominee or custodian; or

(b)

carrying out the trustee’s duties under section 41M.

(2)

If a trustee has agreed to a term under which the agent, nominee or custodian is permitted to appoint a substitute, the trustee is not liable for any act or default of the substitute unless the trustee has failed to comply with the statutory duty of care applicable to the trustee under paragraph 3 of the First Schedule —

(a)

when agreeing to that term; or

(b)

when carrying out the trustee’s duties under section 41M insofar as they relate to the use of the substitute.

Read in full context — Trustees Act 1967 →