Section 11: Avoidance of trust

11. Avoidance of trust (1) Unless a trust contains an express power of revocation, it shall be deemed to be irrevocable by the settlor and his legal representative. (2) Notwithstanding— (a) article 1167 of the Code, any provision of the Bankruptcy Act, or any other law of Mauritius or any rule of law of any other jurisdiction; (b) the fact that the trust is voluntary, and is effected without consideration, or is made on or for the benefit of the settlor, the spouse or children of the settlor, or any of them, a trust shall not be void or voidable or otherwise invalidated in the event of or by reason of the settlor’s bankruptcy or liquidation of his property or in any action or proceedings against the settlor at the suit of his creditors. (3) Notwithstanding subsection (2), the Court may declare a trust void, where it is established that the trust was made with the intent to defraud persons who were creditors of the settlor at the time when the trust property was vested in the trustee. (4) No action under subsection (3) shall lie against the trustee of a trust after more than 2 years from the date of the transfer or disposal of the assets to the trust. (5) Notwithstanding any rule of law relating to enforcement of judgments given by the Court of another jurisdiction, where the law of Mauritius is the proper law of a trust, the Court shall not vary it or set it aside or recognise the validity of any claim against the trust property pursuant to the law of another jurisdiction or the order of a Court of another jurisdiction in respect of— (a) the personal and proprietary consequences of marriage or the dissolution of marriage; (b) succession rights (whether testate or intestate) including the fixed shares of spouses, ascendants and descendants or relatives; or (c) the claim of creditors in an insolvency. T22 – 7 [Issue 1] Trusts Act (6) For the purposes of subsections (2), (3) and (4), “trust” does not include a trust set up by a Mauritian national or a person domiciled in Mauritius.