With effect from 1 December 2013, Trustees in Hong Kong are now required to observe a statutory duty of care unless the Trust document provides otherwise. This includes the utilisation of any special knowledge or experience as would be expected of a Trustee with that experience.
Previously Trustees in Hong Kong could be protected from liability for all breaches of trust by exemption clauses in the trust instruments. Except, of course, in the cases of fraud. In any event, if the Trustees do receive a remuneration, they cannot rely on the exemption clauses in any event.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
