Statutory trusts

Statutory trusts are:

created by law,

usually established to look after the affairs of a customer who is incapable, or legally unable to attend to their own affairs, and

exist if property is held by:

• public trustees,
• Workers Compensation Boards, and
• courts.

Explanation: Although the description of 'statutory trust' is applied, a trust in the strictest sense is not created. The Federal Court in Flannery v Secretary of the Department of Family and Community Services has recognised the public trustees and similar bodies are managers rather than trustees of property.