Registration of trusts
Trust is a special form of contractual relations, involving the transfer of property, originally owned by the founder, at the disposal of the trustee (manager) and receipt of profit from it by the beneficiaries. The object of beneficial ownership can be any movable and immovable property, except for the institution of the trust prohibited by the legislation of the country. The services of the trustee are paid by the beneficiaries or the founder (which can be also a beneficiary).
This concept, which emerged within the framework of the Anglo-Saxon legal system, is based on splitting of the absolute right of ownership over the legal property right and the beneficial property right i.e the right to receive benefits. This phenomenon is unusual for the continental system of law, and even the trust system of relations has not taken the root yet sufficiently in our country and it is used unfairly rarely here. This explains rather common misconception that trust is seen as a kind of enterprise (hence the expressions âtrust companyâ, âoffshore trustâ, etc.). In fact, the trust is not a legal entity and is not subject to state registration. That is, the concept of âregistration of trustâ should be understood not as the establishment of an organization, but the development of a structure and the signing of an agreement between the participants in this system of relations. The company Finance Business Service provides consultation and qualified legal assistance in these matters. Usually people participating in a certain event and willing to receive additional guarantees come to the decision to order such a service - for example, for successful transactions in purchasing/selling or joint investment in a project. We particularly recommend creating a trust when it comes to a high-risk business abroad, large amounts and lack of confidence in partners. This form of relations has successfully established itself as an effective tool for tax planning, asset protection and inheritance.