An Introduction To Jersey Foundations

In 2009 Jersey will unveil its draft Foundations (Jersey) Law 200[ ] (the "Draft Law") and, although the introduction of the civil law concept of private foundations into a jurisdiction that has built its name and reputation around the common law trust will undoubtedly raise a few eyebrows, there is no doubt that Jersey's finance industry relishes the prospect of adding the private foundation to its repertoire.

Key Features

A foundation incorporated under Jersey law will have some of the features of a body corporate and some of the features of a trust. Like a Jersey company, Article 30 of the Draft Law provides that a Jersey foundation will be a body corporate capable of exercising all the functions of a body corporate. In contrast to a company however it will have no directors, shareholders or shares but will instead act through a foundation council which will administer the assets of the foundation and carry out its objects. Once assets are settled by a founder