Cyprus International Trusts – Can Trustees Be Removed Or Replaced?

Yes, in Cyprus International Trusts (CITs), the removal or replacement of trustees is not only possible but also governed by a structured legal framework.

Whether due to a breach of duties, loss of capacity, or a need for new expertise, trustees may be removed or replaced under conditions outlined in the trust deed or relevant legislation.

Here below are the key reasons and processes behind trustee changes in a CIT.

Removal by the Settlor

In many cases, the settlor (the person who establishes the trust) may retain the power to remove or replace trustees as part of the trust deed. This allows the settlors to intervene if they believe that the trustee is not managing the trust in accordance with their wishes or if the settlor has lost confidence in the trustee's abilities.