Jersey foundations

Produced in partnership with Mr David Dorgan
Practice notes

Jersey foundations

Produced in partnership with Mr David Dorgan

Practice notes
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For general information about Jersey, see Spitz & Clarke Offshore Service: Jersey [JER.1].

What is a Jersey foundation?

The foundation is a civil law concept and is a creature of statute under Jersey law introduced by the Foundations (Jersey) Law 2009 (Law).

A foundation can best be described as a hybrid having the characteristics of a company, but operating for a similar purpose to that of a trust. It is similar to a company in that it has separate legal personality and has a council to administer its business, just like a board of directors. However, unlike a company, a foundation does not have shareholders and, unlike a trust, there are no beneficiaries who have an interest in the foundation’s assets or who are owed a fiduciary duty. Consequently, a foundation does not have any owners and is regarded as an ‘orphan entity’.

Use of foundations

A Jersey foundation can be utilised for virtually any legal purpose, save for two which are specific to Jersey’s public policy and jurisprudence. Typical uses of foundations include:

Asset protection/succession planning

Families

David Dorgan
Mr David Dorgan


David Dorgan has over twenty years of legal experience and has established himself as one of the leading lawyers in Jersey uniquely combining strengths in private client and trusts, corporate and finance work. He has a significant specialism in private and commercial trusts and foundations, focusing on providing technical advice on their establishment and on-going administration which is tailored for the practical and commercial requirements of clients. He has extensive experience of drafting bespoke and complex trust instruments and foundation regulations for high and ultra-high net worth individuals and families, preparing bespoke will trusts and providing documentation for SPV, philanthropy, charitable and non-charitable purposes. He is a regular contributor of articles on trusts and foundations issues in the professional press and is the co-author of the ICSA Guide to Jersey Foundations. David also has considerable experience in corporate and finance matters, in particular transactions involving trustees refinancing or selling and/or purchasing trust fund property and/or high net worth individuals or families entering into entrepreneurial ventures. David also provides opinions to foreign courts, foreign revenue authorities and institutional lenders on complex issues relating to trust and corporate issues. David graduated with a Master of Laws degree, trained with a major offshore firm in Jersey and qualified as a Jersey Solicitor in 2006, as a Jersey Advocate in 2008 and as a Jersey Notary Public in 2011. He is a full member of STEP and holds the Islamic Finance Qualification from CISI.

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Jurisdiction(s):
United Kingdom
Key definition:
Directors definition
What does Directors mean?

A director of a company is responsible for the day-to-day management of that company. The directors make decisions on behalf of the company in order that it can carry on its business.

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