recht
LORENZ  NESENSOHN  RABANSER
RECHTSANWÄLTE
LNR
Status of Beneficiaries of Trusts and Foundations in Liechtenstein
Dr. Bernhard Lorenz, LL.M.

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
2
Introductory Remarks
•
•Foundations and Trusts
•Key difference: form
•Similarities: equivalent function; beneficiaries as objects of the structure
•Individual rights of beneficiaries of foundations inspired by trust law

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
3
Foundations: Beneficiaries
•Four categories specified by law:
–Strict beneficiaries
–Strict contingent beneficiaries
–Discrectionary beneficiaries
•But: prospective discretionary beneficiaries are not beneficiaries
–Liquidation beneficiaries

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
4
Foundations: Beneficiaries standing
•Debts
•Policing
–Information
–Court oversight

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
5
Foundations: Beneficiaries / Information (1/2)
•Who:
–not prospective beneficiary
–liquidation beneficiary later
•What
–Inspection
•Governing documents
•Books and papers
–Organized information
•Explanations

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
6
Foundations: Beneficiaries / Information (2/2)
•Restrictions at law
–Information interest
–Abuse
–Competing interests
•Disclosure v confidentiality
–Liquidation beneficiary
•Restrictions from articles
–Revocation
–Special controlling body
–Public Supervision
–
•

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
7
Foundations: Enforcement by Beneficiaries
•Litigation and supervisory proceedings
•Litigation for strict claims
•Supervisory proceedings for policing rights

LNR Rechtsanwälte, Landstrasse 33, FL-9490 Vaduz
Dr. Bernhard Lorenz, LL.M.
8
Trusts / Treuhänderschaft
•Common law trust but no split ownership
•Legal personality?
–No, but right to sue and be sued under trust name debatable
•right to information, not for the discretionary beneficiaries
•standing to bring supervisory proceedings, by recent court cases restricted to strict
beneficiaries/excluded for discretionary beneficiaries
•notify court of important reasons for discharging a trustee
•Derivative action/tracing/enforcement of liability claims/protect trust assets in the event of
insolvency of the trustee
–Cf actio pro socio in partnership law