ACT 125
COMPANIES ACT 1965 (REVISED - 1973)
PART IV - SHARES, DEBENTURES AND CHARGES
DIVISION 5 - INTERESTS OTHER THAN SHARES, DEBENTURES, ETC.

 
Section 97. Liability of trustees.
 
Section 97. Liability of trustees. (COMPANIES ACT 1965 (REVISED - 1973) - ACT 125) (1) Subject to this section, any provision contained in a deed that is or at any time has been an approved deed, or in any contract with the holders of interests to which such a deed relates, shall be void so far as it would have the effect of exempting a trustee or representative under the deed from, or indemnifying a trustee or representative against, liability for breach of trust where the trustee or representative fails to show the degree of care and diligence required of a trustee or representative.

(2) Subsection (1) shall not invalidate—

    (a) any release otherwise validly given in respect of anything done or omitted to be done by a trustee or representative before the giving of the release; or

    (b) any provision enabling such a release to be given—

      (i) on the agreement thereto of a majority of not less than three-fourths of the holders of interests as vote in person or by proxy at a meeting summoned for the purpose; and

      (ii) either with respect to specific acts or omissions or on the trustee or representative ceasing to act.