New South Wales Consolidated Acts

CONVEYANCING ACT 1919 - SECT 29A

29A Protection of purchasers claiming under certain void appointments

(1) An instrument purporting to exercise a legal or equitable power of appointment over property, which, in default of and subject to any appointment, is limited to or held in trust for a class or number of persons including the appointee, shall not be void on the ground of fraud on the power as against a purchaser in good faith--
Provided that, if the interest appointed exceeds in amount or value the interest in such property to which immediately before the execution of the instrument the appointee was presumptively entitled under the trust in default of appointment, having regard to any advances made in the appointee's favour and to any hotchpot provision, the protection afforded by this section to a purchaser shall not extend to such excess.

(2) In this section
"a purchaser in good faith" means a person dealing with an appointee for valuable consideration and without notice of the fraud, or of any circumstances from which, if reasonable inquiries had been made, the fraud might have been discovered.

(3) A successor in title to a purchaser entitled to the benefit of this section shall be entitled to the like benefit.

(4) This section applies only to dealings effected after the commencement of the Conveyancing (Amendment) Act 1930 , but applies to powers created or arising either before or after such commencement.

(5) This section as amended by the Minors (Property and Contracts) Act 1970 applies only to dealings effected after the commencement of that Act, but applies to powers created or arising either before or after such commencement.