Vanderbilt Journal of Transnational Law


Adair Dyere


The process of bringing English-style trusts into systems that do not have a similar device is fraught with difficulties. This is especially true with respect to efforts directed towards the creation of a domestic trust law within such a system, but it is also true about the adaptation of legal institutions that is necessary in order to recognize trusts created under foreign law, in accordance with Article 11 of the Hague Trusts Convention. Thus far, it can be said that no country that did not have trusts before the Hague Trusts Convention has reacted to the Convention by adopting a brand new domestic form of trust. Panama and Japan had already introduced trusts into domestic law in the 1920s--as had Mexico and Liechtenstein--while the Venezuelan trust law dates from the 1950s. In France, the failure of the proposal to create a domestic form of trust had the unfortunate effect of setting back the ratification of the Hague Convention. This, in turn, may have slowed the process in the United States and certain provinces of Canada, where the perceptions as to certain problems of implementation might have been outweighed by the advantages if more large civil law countries had ratified in the early, break-in period.