Source: http://www.inhouselawyer.co.uk/wgd_question/to-what-extent-can-trusts-private-foundations-etc-be-used-to-shelter-assets-from-the-creditors-of-a-settlor-or-beneficiary-of-the-structure/
Timestamp: 2018-07-18 02:59:08
Document Index: 29972765

Matched Legal Cases: ['§19', '§19', '§19', '§19', '§19', '§19', '§19']

To what extent can trusts, private foundations, etc be used to shelter assets from the creditors of a settlor or beneficiary of the structure? | The In-House Lawyer
Given that the Greek legal framework is currently going through its early stages in understanding, recognizing and analyzing foreign trusts and private foundations -with limited legislative material and even lesser case law available- it would be a highly risky exercise to predict the outcome of such judicial proceedings in Greece.
Nevertheless, interested parties [settlors, beneficiaries etc] may expect to utilize a few international practice tools in Greece when attempting to facilitate efficient asset protection schemes.
23.1	If a beneficiary (§19.1) has a fixed entitlement under a trust (§19.1), an English court generally has power to make an order for the payment of the income from the trust to be directed to a creditor of the beneficiary.
23.2	However, where a potential beneficiary (§19.1) of a discretionary trust (§19.2) has no legal right to the trust assets, an English court will not, generally, order payment of trust funds to a creditor of that beneficiary. However, the English court has power to set aside a transaction by which assets were transferred into trust with the intention of defeating the claims of potential creditors.
23.3	However, the assets of any trust (§19.1) may be regarded by an English court as a financial resource of a beneficiary (§19.1) or potential beneficiary in reckoning his liability to make payments in divorce or child maintenance proceedings, and to satisfy claims in such proceedings the English court has wide powers to make orders against the trustees (§19.1) of, in relation to the assets of, such a trust.