Part 4: Charity Trustees Section 32: Trustee of charitable trust: status as trust corporation
If land (or indeed any other property) is to be held on charitable trust by a sole trustee, that sole trustee must have "trust corporation status" in order for (a) the outgoing trustees to be discharged from their responsibilities as trustees, and (b) the sole trustee to be able to deal with the land by giving a valid receipt to a purchaser. Section 32(1) inserts a new section 334A into the CA 2011 which confers trust corporation status (for the purposes of the provisions listed in section 334A(2)) on any trustee of a charitable trust that is a body corporate and itself a charity, in its capacity as trustee of a charitable trust. Bodies corporate that are charities include charitable companies, CIOs, charities established by statute or Royal Charter, and certain community benefit societies. The provisions listed in section 334A(2) are the five existing statutory provisions which define, in the same terms, trust corporation status. The effect of section 334A will be to expand each of these definitions to include a body corporate that is both a charity and the trustee of a charitable trust.
	Subsection (2) clarifies that trust corporation status will automatically be conferred on any trustee which meets the criteria under section 334A(1), even if that trustee became a trustee of the trust in question before the amendment came into force. This does not mean, however, that the trustee is treated as having had trust corporation status prior to the commencement of the section.
								Example (5): trust corporation status
								Trustees X and Y are the current trustees of charitable trust A. Charitable company Z is later appointed to be trustee of charitable trust A, replacing Trustees X and Y. Trustees X and Y are discharged from their responsibilities as there will be a trust corporation to act as trustee in their place.