Business Practice Area: Trusts Specialisation
The Business practice area, particularly in the Trusts specialisation, is an important part of New Zealand law. Trusts are legal arrangements that allow one person or group (the trustee) to hold and manage assets for the benefit of another person or group (the beneficiary).
What is a Trust?
A trust can be set up for various reasons. For example, a parent might create a trust to ensure that their children receive money for their education when they grow up. In this case, the parent is the settlor (the person who creates the trust), the trustee is the person or organisation managing the trust, and the children are the beneficiaries.
Why Use a Trust?
Trusts can help protect assets, manage wealth, and ensure that money is used in a way that aligns with the settlor's wishes. For instance, if someone wants to leave their property to their grandchildren but wants to make sure it is used wisely, they can set up a trust to manage the property until the grandchildren are old enough to handle it.
Types of Trusts
There are different types of trusts in New Zealand, including:
- Family Trusts: These are often used to protect family assets and provide for family members.
- Charitable Trusts: These are set up to support charitable causes and help the community.
- Testamentary Trusts: These are created through a will and come into effect after someone passes away.
How Can a Lawyer Help?
A lawyer who specialises in trusts can help you understand your options and set up a trust that meets your needs. They can guide you through the legal requirements, help you choose the right type of trust, and ensure that everything is set up correctly according to New Zealand law.
Conclusion
In summary, the Trusts specialisation within the Business practice area is about helping people manage and protect their assets for the benefit of others. Whether you are looking to secure your family's future or support a charitable cause, understanding trusts can be a valuable part of your financial planning.