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Deed of Appointment and Removal of Trustee

A trust deed will generally confer an unqualified power on an appointer or “guardian” to appoint or replace a trustee. Subject to any explicit requirements outlined in the provisions of the trust deed itself, it is generally advised that an appointor should ensure any changes of trustee are effected in writing by way of deed.

The document is a ‘Deed of Appointment and Removal of Trustee(s). It sets out the legal process and provides the necessary written confirmation for replacing a trustee of a family trust.

There may be a range of reasons why an appointer may wish to remove and replace a corporate or individual trustee. These include, but are not limited to –

  • Death
  • Marital separation or relationship breakdown
  • Bankruptcy or insolvency
  • Mental incapacity
  • Misconduct or mismanagement of trust property

This agreement can be used to replace and appoint either a corporate or individual trustee. An individual trustee is a person, whereas a corporate trustee is a registered company.

Depending on which is most applicable to your situation, all relevant parties must sign the deed to discharge a retiring trustee of his/her/its obligations under the trust and confer those obligations upon the new trustee.

Partial Sample of Deed of Removal and Appointment of Trustee Document Template

sample deed of appointment and removal of trustee template

Australian Law

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