Voting; Election of Trustees & Remuneration

Section 56

Appointment of trustee. Security for his administration

(1) If a trustee was elected at a meeting of creditors at which a person other than the Master presided, the election shall not be valid unless it has been confirmed by the Master.

(2) Subject to the provisions of section fifty-seven, the Master shall, when a person so elected has given security to his satisfaction for the proper performance of his duties as trustee, confirm his election and appoint him as trustee by delivering to him a certificate of appointment, which shall be valid throughout the Republic.

[Sub-s. (2) amended by s. 18 of Act No. 16 of 1943 and substituted by s. 16 (a) of Act No. 99 of 1965.]

(3) On receipt of his certificate of appointment the trustee shall notify his appointment and address in the Gazette.

(4) When two trustees have been appointed or when the Master has appointed a co-trustee in terms of subsection (5) of section fifty-seven, both or all three trustees shall act jointly in performing their functions as trustees and each of them shall be jointly and severally liable for every act performed by them jointly.

(5) Whenever the trustees in the estate disagree on any matter relating to the estate of which they are trustees, the matter shall be referred to the Master who shall determine the question in issue or give directions as to the procedure to be followed for the determination thereof.

[Sub-s. (5) substituted by s. 16 (b) of Act No. 99 of 1965.]

(6) Subject to the provisions of subsection (1) of section eighty-nine the cost of giving the security mentioned in subsection (2), to an amount which the Master considers reasonable, shall be paid out of the estate in question as part of the costs of sequestration.

(7) When a trustee has, in the course of liquidating an insolvent estate accounted to the Master, to his satisfaction, for any property in the estate, the Master may consent to a reduction of the security mentioned in subsection (2) if he is satisfied that the reduced security will suffice to indemnify the estate or the creditors thereof against any maladministration by the trustee of the remaining property in the estate.