MRL3701 - Study Unit 13 - Election Of The Trustee | Questions And Answers Latest
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ELECTION AND APPOINTMENT - At first meeting of creditors, creditors who have proved their claims
may elect one or two trustees.
IF MORE THAN ONE PERSON IS NOMINATED - individual who obtains a majority votes in both number
and value must be elected as sole trustee
IF ONE PERSON OBTAINS A MAJORITY IN VALUE AND ANOTHER PERSON A MAJORITY IN NUMBER - Both
must be elected trustees
However if either party declines a joint trusteeship the other must be elected sole trustee
SHOULD ONE PERSON OBTAIN A MAJORITY OF VOTES IN NUMBER AND NO OTHER PERSON OBTAINS A
MAJORITY IN VALUE OR VICE VERCA - The party who obtains the majority must be elected as sole
trustee
Where a trustee is elected at a meeting not presided over by the Master his election is not valid until
confirmed by the Master.
APPOINTMENT - Master is only official with power to appoint the trustee of a sequestrated estate.
Judge is not empowered to make such and appointment.
Master may refuse to accept as trustee the person whom the creditors have elected
Master must, once the person has given satisfactory security for the proper performance of his duties as
trustee, confirm his election and appoint his as trustee by delivering to him a certificate of appointment.
Trustee must give notice of his appointment and his address in the Gazette.
, REFUSAL TO APPOINT - Master may refuse to confirm the election of a person elected as trustee, or to
appoint him as such if:
1. he was not properly elected
2. he is disqualified from being a trustee
3. he has failed to give the required security
4. in the opinion of the Master, he should not be appointed as trustee to the estate in question.
IN DECIDING WHETHER A PERSON IS A SUITABLE CANDIDATE THE MASTER SHOULD CONSIDER - 1. his
personality
2. experience
3. age
4. diligence
5. complexity or otherwise of the problems presented by the estate.
TRUSTEE MUST BE CAPABLE TO - 1. act independently
2. treat creditors equally
3. perform his duties without fear, favour or prejudice
OBJECTION TO APPOINTMENT OR REFUSAL TO APPOINT - Any person aggrieved by
a. the appointment of a trust
b. the refusal to confirm the election of, or to appoint a trustee
may within 7 days from the date of appointment or refusal, request the Master in writing to submit his
reasons for the appointment or refusal to the Minister.
Master must comply with the request within 7 days, submitting along with his reasons any relevant
documents, information or objections which has has received.
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