Widowed and desperate, her comfortable life died with her husband. Their wealth, dissipated, debts, family fights and false claims. All she has left is grit, a tenacity to rebuild, to do it better than before.
The solution? TRUSTS. The quiet but powerful shield of Zimbabwean Law.
What is a Trust?
A hope for preservation, a gift to prosperity. In Zimbabwe it is the legal and fiduciary arrangement where a founder transfers assets to trustees, who manage them for beneficiaries for a lawful purpose. Trustees do not own the property for personal benefit. They hold it in fiduciary custody and, bound to act honestly, independently and in the best interests of the beneficiaries.
Think of trustees as guardians of your legacy. Guardians whose mandate is to ensure that the sweat from rural beginnings becomes the security for generations.
Zimbabwean trust law is rooted in Roman-Dutch common law principles, particularly the doctrine of stipulatio alteri (a contract for the benefit of a third party), while also being regulated by legislation such as the Administration of Estates Act [Chapter 6:01], the Wills Act [Chapter 6:06] and the Deeds Registries Act [Chapter 20:05].
Two Main Types of Trusts
Zimbabwean law generally recognises two principal forms of trusts: Testamentary trusts and Inter Vivos Trusts.
Testamentary Trusts
A testamentary trust only comes into existence upon the death of the founder through the provisions of a valid will. Perfect for minors or dependants who aren’t ready to manage inheritance. The Master of the High Court oversees them, ensuring protection through mechanisms like the Guardian’s Fund.
The Administration of Estates Act [Chapter 6:01] imposes considerable oversight over such trusts. Section 58(2) requires an executor to transfer property to the appointed administrator or trustee in accordance with the terms of the will. Sections 69(2) and 72 further provide that a curator nominate administering property on behalf of minors or mentally incapacitated persons may only assume office after obtaining letters of confirmation from the Master of the High Court.
The law also empowers the Master to intervene where minors require protection. Section 51(3) and Section 97 of the Administration of Estates Act [Chapter 6:01] permit certain monies to be paid into the Guardian’s Fund for preservation and administration on behalf of beneficiaries.
Inter Vivos Trusts
An inter vivos trust, by contrast, is established when the founder is alive. These trusts are frequently utilised for succession planning, business continuity, wealth preservation and asset protection.
A business owner, for example, may transfer family assets into a trust to ensure that the business survives beyond their lifetime without fragmentation or disruption.
Inter vivos trusts generally take two forms. A Vested Trust grants beneficiaries fixed rights to income or capital. A Discretionary Trust grants trustees authority to determine how and when beneficiaries should receive benefits. Flexibility here is golden for families with changing needs.
Requirements for a Valid Trust
For a trust to be legally valid and enforceable in Zimbabwe, the Law demands certain essential requirements must be satisfied. Here is the Checklist.
Clear Intention: The founder must show unmistakable intent to create a trust and hand control of assets to trustees. A vague promise or informal understanding is insufficient.
Binding Duties: Trustees must carry enforceable legal obligations fiduciary duties. They are the guardians of the wealth beyond moral expectations.
Lawful Purpose: A trust must pursue a legitimate objective. Anything unlawful and immoral is void.
Identifiable Property: The assets must be clear and defined. You trust cannot protect “Something”, the Law needs specifics.. The law cannot protect or administer assets that are uncertain or undefined.
Named Beneficiaries: Beneficiaries or purposes of the trust must also be ascertainable. The courts must know exactly who benefits.
Finally, Statutory Compliance : Trusts must follow formalities. Inter vivos trusts are generally constituted through a Notarial Deed of Trust and registered in terms of the Deeds Registries Act [Chapter 20:05], particularly where immovable property is involved. Testamentary trusts are supervised by the Master of the High Court in terms of Section 11 of the Administration of Estates Act [Chapter 6:01].
Why Trusts Matter
The appeal of trusts lies largely in the protection and continuity they offer.
Protection: Assets in a trust are shielded from personal creditors. Your sweat does not get swallowed by someone else’s debt. Once assets are properly transferred into a trust, they generally cease to form part of the founder’s personal estate. This may shield them from personal creditors and prevent the disruption that ordinarily follows death and estate administration.
Continuity: Unlike natural persons, a trust does not die. Businesses, farms, investments and family assets can therefore continue operating without interruption while deceased estates are being administered.
Legacy: Trusts prevent fragmentation. For many families, trusts are not merely legal structures. They are mechanisms for preserving legacies. A commercial farm, family business or investment portfolio can remain intact under centralised management rather than being fragmented among successive heirs.
Tax Planning. Trusts may also provide legitimate tax planning opportunities. Under the Estate Duty Act [Chapter 23:03], assets transferred into a valid inter vivos trust during the founder’s lifetime generally no longer form part of the deceased estate for estate duty purposes. Similarly, the Income Tax Act [Chapter 23:06] and the Capital Gains Tax Act [Chapter 23:01] may permit certain tax efficiencies depending on the wording and administration of the trust deed.
The Risks and Why You Need Professionals.
Despite their advantages, trusts demand proper governance and genuine separation between founder and trust ownership.
Sham Trusts: if founders treat their trust asset like personal property, the courts and Zimra can pierce the structure.
Trustee Duties: Trustees must act independently, avoid conflicts and keep proper records. Fail and the Master can remove them.
Translation? Do not DIY your legacy. Engage Professionals.
Zimbabwean courts are prepared to disregard sham or “alter ego” trusts where founders continue treating trust assets as personal property while pretending ownership has been transferred. Where a founder controls trust assets as though nothing has changed, courts and the Zimbabwe Revenue Authority (“ZIMRA”) may pierce the trust structure and deny its protections.
Trustees themselves carry serious legal responsibilities. They must act independently, avoid conflicts of interest, preserve trust property and maintain proper accounting records.
The Administration of Estates Act [Chapter 6:01] reinforces this oversight. Section 73 empowers the Master of the High Court to demand security from administrators, while Section 85 authorises the removal of administrators who fail to discharge their duties properly.
Bottom Line
A trust is ultimately about continuity, protection and responsible stewardship. It is the law’s way of saying: “Your wealth shouldn’t die with you.” The answer to a human concern: how to preserve wealth, businesses and family assets beyond a single lifetime.
From struggle to success, every sacrifice deserves protection. When properly structured and professionally administered, trusts become far more than legal instruments. They become vehicles which families preserve legacies, stabilize businesses and ensure future generations inherit security.
Love is leaving behind order not arguments. And as our mantra goes at MCM Legal: Love your family, but Trust the Law.