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About Product
The Hybrid Trust is a special trust that combines the elements of fixed trusts and discretionary trusts allowing for more flexibility and control over the distribution of trust assets, while also providing a degree of predictability and security for certain beneficiaries.
The LightYear Docs Hybrid trust gives discretion to the Trustee over how to distribute income and capital to the beneficiaries while specifying fixed entitlements for certain beneficiaries making it an extremely effective vehicle for estate planning and tax optimisation.
► $129.00 (inc GST) - OR provided under your unlimited membership
► The master document has been signed off by Abbott & Mourly and is congruent with Australian law.
General Information
The LightYear Docs Hybrid trust brings the best of both worlds from a fixed Unit Trust and a Discretionary trust into one by giving discretion to the Trustee over how to distribute income and capital to the beneficiaries while specifying fixed entitlements for certain beneficiaries making it extremely effective for estate planning and tax optimisation.
Prepared by Abbott and Mourly Lawyers, the LightYear Docs Hybrid Trust has all clauses that ensures all the benefits of a Hybrid Trust can be utilised.
Benefits
- Hybrid trusts allow for more flexibility in the distribution of trust assets, as the trustees have discretion over how to distribute income and capital to the beneficiaries.
- These Trusts can be used for tax optimization as the trustee can decide which beneficiaries to distribute income to, thus allowing the trust to take advantage of different tax rates for different beneficiaries.
- They are useful in estate planning as they allow for the separation of assets among different beneficiaries and provide a way to manage assets for the benefit of future generations.
- Hybrid trusts can also provide asset protection in certain situations, as the assets held in the trust are generally not considered to be assets of the beneficiaries, and therefore are not subject to creditors' claims or family provisions claims.
- They can be used to hold business assets and conduct business activities, while providing limited liability protection for the shareholders.
- Hybrid trusts can be used to hold and manage investments, such as property, shares or other securities.
Frequently Asked Legal Questions
Can my existing Trust be upgraded to a LightYear Hybrid Trust?
The issue is resettlement. As there is possibly a significant change in terms of the trust it may result in a resettlement. However, if you would like legal advice to that effect contact our legal team: info@abbottmourly.com.au.
How long does this document take to assemble?
Depending on the complexity of the data, this document should take approximately 30-50 secs to assemble. If you experience timing outside of this please contact Support via the Surge app, alternatively please read this article for troubleshooting tips https://info.lightyeardocs.com.au/supportcentre/troubleshooting-longer-assembly-times-timeouts .
Is this document a legal document?
All master documents have been signed off by Abbott & Mourly lawyers. Tony Anamourlis of Abbott & Mourly advises that “at no time, due to inbuilt legal protection and security measures can a user change or amend a document on the LightYear Docs platform that has been signed off by a practicing solicitor. To do so would result in the user drafting a document of a legal nature and engaging in the provision of legal services. In addition, it would be a breach of copyright. In our opinion when completing the form fields through the LightYear Docs platform, users and their employees are merely carrying out an administrative task which is not the provision of legal advice.”
However in some complex areas such as the insertion of a varied range of client instructions into a Will or other such documents the user must be mindful of the extent to which a document is being drafted by the user rather than merely the administrative task of completing a form where the relevant fields are inserted into the reviewed and signed legal document provided by Abbott & Mourly.
The above advice is born out of numerous cases dating back to Re Sanderson, Ex parte Law Institute of Victoria [1927] VLR 394, 397 where the Court held:
“if a person does a thing usually done by a solicitor, and does it in such a way as to lead to the reasonable inference that he is a solicitor – if he combines professing to be a solicitor with action usually taken by a solicitor – I think he then does act as a solicitor.”
Likewise in ACCC v Murray (2002) 121 FCR 428, 448 where Murray was building a franchise business that involved the legal writing and drafting of Wills from scratch based on the client’s personal circumstances. The Court held that this process was legal work.
Is the document easy to read?
All LightYear Docs products are written in plain English and assessed for readability. If at any time you come across any errors, please contact support@lightyeardocs.com.au.
What lawyers sign off on the LightYear Docs documents?
All LightYear documents are prepared and signed off by Abbott & Mourly from Melbourne, Sydney and Brisbane.
Are the LightYear Docs documents reviewed regularly?
All LightYear Docs documents form part of the LightYear Docs internal review process. We review all documents at least annually or when required to do so due to changes in legislation. Further details of this process and a review schedule is included on this website.
Can I get a sample of this document?
Yes, please email support@lightyeardocs.com.au to request a sample document for you to review.
Stamping and Lodgement of Trusts
The fees and stamping requirements for establishing a trust deed vary throughout Australia, and the duty payable also varies depending on the type of property that is held by the trust. Please contact our partners at Eventum Optimum (EO) on info@eventumoptimum.com.au for more information on when stamping is required (in what jurisdictions) and the fees/duties payable. EO is able to provide this service to you.