Bahamas

A LAW
01 Evaluate a trustee’s ability to delegate investment powers under statutory provisions or as may be stated in a standard trust instrument. What may a trustee do in order to prevent their being deemed liable for unforeseen losses to the trust fund as a result of following an investment advisor’s advice?

02 What remedies are available to trustees who make mistakes in administering trusts, now that the rule in Hastings-Bass is not as forcefully available as it was before?

03 Prepare the kind of article that you would put into your marketing literature or on a website, highlighting in particular any relevant legislation that makes Bahamian trusts attractive to foreign settlors.

B ACCOUNTS AND ADMINISTRATION
01 Discuss what steps trustees should take as regards identification of the settlor and beneficiaries and the source of the funds settled. What action should a trustee take, if any, if they suspect that a potential client is involved in money laundering activities?

02 Write a “best practice” set of guidelines for ABC Trust Company, detailing procedures relating to a trust with an underlying company’s accounts. For example, your guidelines could include recommendations on how often a trial balance should be produced, as well as a description of the annual accounts and who is entitled to see them. Explanations of why the administrative staff should follow best practice should also be included.

03 Consider the record-keeping procedures that a Trustee must maintain in the proper administration of a Trust. Details of the kind of records and length of time that it is advisable for Trustees to maintain records should be included.

C INTERNATIONAL JURISDICTION ISSUES
01 CBEG Prize topic: Provide an analysis of the key differentiating factors between common law and civil law approaches to the succession to assets on death.  You should address conflicts of law issues and any international initiatives designed to reduce the practical impact of these conflicts

02 Analyse the impact on a fixed interest trust where one of the beneficiaries marries a US citizen.

03 Describe the comparative advantages and disadvantages of Trusts and Foundations.

D LOCAL JURISDICTION ISSUES BAHAMAS
01 What estate-planning advantages or opportunities (tax-neutral and otherwise) are available through the use of companies limited by guarantee without a share capital?

02 Write an article assessing the impact of the introduction of the International Business Companies Act 2000 on the Bahamian trust industry.

03 Outline the typical reasons for and structure of a Private Trust Company, as made possible by the 2007 amendment to The Central Bank of The Bahamas Act, 2000 and The Banks and Trust Companies Regulation Act, 2000.