South Australian Current Acts South Australian Current Acts26A—Power to surrender leases with onerous covenants
(1) Where a lease is
vested in a trustee or in a trustee with others and the lease or the property
comprised in the lease is subject to onerous covenants or obligations of such
a nature that it would not be in the interests of the beneficiaries to retain
the property, the trustee may surrender or concur in surrendering the lease.
(2) A trustee may, in
respect of any lease, exercise any power conferred on trustees by this
section, notwithstanding that the reversion of the lease is vested in him or
in him with others as trustee or trustees under a different trust.
(3) Where the trustee
has acted in good faith and on the advice of a person whom he reasonably
believed to be a competent valuer instructed and employed independently of the
lessor whether the valuer carried on business in the locality where the
property is situate or elsewhere, the trustee shall not be chargeable with
breach of trust nor shall the surrender be impeached by any beneficiary upon
the ground only that the covenants or obligations were not of the nature
mentioned in subsection (1) of this section.
(4) Any person who
acquires bona fide for value any estate or interest in the property previously
subject to such lease shall not be concerned to inquire whether the surrender
was authorised by this section.
(5) This section
applies whether the leasehold vested in the trustee before or after the
commencement of the Trustee Act Amendment Act 1941 .