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Declaration Of Trust Nominee Shareholder Template for Hong Kong

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Key Requirements PROMPT example:

Declaration Of Trust Nominee Shareholder

"I need a Declaration of Trust Nominee Shareholder agreement for our Hong Kong company where ABC Corporate Services Limited will act as nominee shareholder for 10,000 ordinary shares, with specific provisions for quarterly reporting and automatic termination if not renewed by January 2025."

Document background
The Declaration Of Trust Nominee Shareholder is essential in situations where legal and beneficial ownership of shares need to be separated for legitimate business or personal reasons. This arrangement is common in Hong Kong's business environment, particularly in corporate structuring, family business arrangements, and international investment scenarios. The document serves as crucial evidence of the trust relationship, protecting both the nominee shareholder and beneficial owner by clearly defining their respective rights and obligations. It ensures compliance with Hong Kong's regulatory requirements regarding transparency of beneficial ownership and proper documentation of nominee arrangements. The declaration typically includes detailed provisions about share ownership, voting rights, dividend distributions, and termination procedures, while adhering to Hong Kong's trust and company laws.
Suggested Sections

1. Parties: Identification of the Trustee (Nominee Shareholder) and the Beneficiary (Beneficial Owner), including full names, addresses, and identification details

2. Background: Context of the arrangement, including details of the company whose shares are subject to the trust, and the circumstances leading to the nominee arrangement

3. Definitions: Key terms used throughout the document, including 'Shares', 'Company', 'Trust Property', 'Trust Period', etc.

4. Declaration of Trust: Clear statement that the Trustee holds the shares on trust for the Beneficiary

5. Trust Property: Detailed description of the shares held in trust, including number, class, and nominal value

6. Trustee Powers and Duties: Specific powers and obligations of the Trustee regarding the shares, including voting rights, dividend handling, and corporate actions

7. Beneficiary Rights: Rights of the Beneficiary including economic benefits, directing the Trustee, and information rights

8. Duration and Termination: Term of the trust arrangement and circumstances under which it can be terminated

9. Transfer and Disposition: Procedures for transferring shares or beneficial interest, and requirements for any disposition of the trust property

10. Notices: Process for formal communications between parties

11. Governing Law and Jurisdiction: Specification of Hong Kong law as governing law and jurisdiction for disputes

Optional Sections

1. Remuneration: Terms of payment for the Trustee's services, if applicable - include when the nominee arrangement is not gratuitous

2. Confidentiality: Provisions regarding confidentiality of the arrangement - include when dealing with sensitive commercial matters

3. Indemnification: Provisions for trustee indemnification - include when requested by professional trustees

4. Successor Trustees: Provisions for appointment of replacement trustees - include when long-term arrangement is contemplated

5. Anti-Money Laundering Compliance: Specific provisions regarding AML compliance - include when dealing with corporate or professional trustees

6. Power of Attorney: Grant of power of attorney to the Beneficiary - include when direct action by beneficiary may be needed

Suggested Schedules

1. Share Certificate Details: Copy or details of share certificates held by the Nominee

2. Company Information: Details of the company whose shares are held in trust, including registration number and registered office

3. Specimen Signatures: Authenticated signatures of all parties

4. Form of Transfer: Pre-signed but undated share transfer form for use upon termination

5. Beneficial Ownership Declaration: Standard form declaration of beneficial ownership for regulatory compliance

6. Fee Schedule: Schedule of trustee fees and charges (if applicable)

Authors

Alex Denne

Head of Growth (Open Source Law) @ tiktok³ÉÈ˰æ | 3 x UCL-Certified in Contract Law & Drafting | 4+ Years Managing 1M+ Legal Documents | Serial Founder & Legal AI Author

Relevant legal definitions

























Clauses



























Relevant Industries

Financial Services

Investment Management

Corporate Services

Legal Services

Banking

Real Estate

Private Equity

Family Office

International Trade

Professional Services

Relevant Teams

Legal

Corporate Secretarial

Compliance

Corporate Services

Trust Administration

Investment

Corporate Governance

Risk Management

Relevant Roles

Corporate Lawyer

Company Secretary

Trust Administrator

Compliance Officer

Legal Counsel

Corporate Services Manager

Investment Director

Trust Manager

Corporate Governance Officer

Legal Director

Company Director

Investment Manager

Industries






Teams

Employer, Employee, Start Date, Job Title, Department, Location, Probationary Period, Notice Period, Salary, Overtime, Vacation Pay, Statutory Holidays, Benefits, Bonus, Expenses, Working Hours, Rest Breaks,  Leaves of Absence, Confidentiality, Intellectual Property, Non-Solicitation, Non-Competition, Code of Conduct, Termination,  Severance Pay, Governing Law, Entire Agreemen

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