EXECUTION OF TRUSTS (EMER GENCY PROVISIONS) BILL. [H.L.] (Hansard, 3 October 1939)

§ THE LORD CHANCELLOR

My Lords, I beg to move that this Bill be read a second time. The purpose of the Bill is to enable trustees who are engaged on war service to delegate the exercise of their functions to another person. In the last war it was found convenient that this power should be given to trustees and two Acts of Parliament were passed in 1914 and 1915 giving effect to that purpose. This Bill corresponds to that legislation, but there are some modifications which in part are due to changes that have been made in the meantime in the general law. In some respects the powers conferred by this Bill are less restricted than those that were given by the war legislation to which I have referred. Clause 1 of the Bill, which is the main clause, gives effect to the main intention of the Bill. Subsection (5) of Clause 1 is a provision similar to one contained in the 1914 legislation by which persons absent from the United Kingdom and unable to return owing to the war were given the like powers as are given to trustees on war service.

Clause 2 provides for the protection of the delegating trustee as long as he acts without negligence and in good faith, and without negligence in choosing his attorney, while the attorney himself has precisely the same duties and responsibilities as if he were himself a trustee. Clause 3 of the Bill is a machinery clause relating to the powers of attorney by which the delegation of functions takes place. Clause 4 is required to regularise transfers of stock by an attorney. Clause 5 provides for cases where an infant engaged on war service dies and the trustees of a settlement have done some act in exercise of their powers. In such cases when you are dealing with trustees the trustees themselves are completely protected if the act was done without actual notice of the death. The other clauses are the interpretation clause and 1219 the clause which provides that the measure shall not extend to Scotland. I have had the great advantage of a discussion on the terms of this Bill and its objects with my noble and learned friend Viscount Maugham, and I have his permission to say that the Bill meets with his approval.