Exemption From Registration Under The Security Interests (Jersey) Law 2012 For Trusts

The Security Interests (Jersey) Law 2012 (the Law) will come fully into force from 2 January 2014 and provides for registration as a means of perfecting security over intangible moveable property.  The register of security interests will be maintained by the registrar of companies and will be a matter of public record.

There was concern expressed in the trust industry in Jersey as to what the new registration requirement meant for trustees and in particular as to whether trusts would need to be reflected on the register.  Trusts are usually a private matter between the settlor and the trustee and not a matter of public record.  However, a requirement to reflect trusts on the register of security interests would mean that their existence was made public.  Might competitor jurisdictions argue that Jersey had introduced a form of Trusts Register?