Declaration of invalid and unenforceable foundation

(1) The Court may declare a foundation to be invalid and unenforceable if it determines that– (a) the foundation was created or established under duress, mistake, undue influence or misrepresentation; (b) the foundation was created for a purpose that violates the laws of Belize, or the foundation purports to confer any right or power to impose any obligation the exercise of which is contrary to the laws of Belize; (c) the foundation is contrary to the public policy (d) the foundation endowment, or any part of it, has been determined by the Court to be the proceeds of a serious crime for which the founder has been convicted in any jurisdiction, if the offence is also a serious crime under the laws of Belize, but if the Court determines that a portion of the foundation endowment is the proceeds of a serious crime, the Court may International Foundations [CAP. 24:02 27 declare the foundation invalid only with respect to such property and the Court may declare what property is to be held subject to (e) the terms of the foundation charter are so uncertain that its performance is rendered impossible; or (f) the founder was, at the time of the establishment of the foundation, incapable under the laws of Belize of creating such a (2) Where a foundation is created for multiple purposes of which some are lawful and others are not or where some of the terms of the foundation charter are lawful and others are not– (a) if those purposes or terms cannot be separated, the foundation shall be declared invalid; and (b) if those purposes or terms can be separated, the Court may declare that the foundation is valid as to the purposes or terms which are lawful. (3) Property provided by a founder to a foundation that is declared invalid by the Court shall, subject to any order of the Court, be held by the foundation council, as nominee for the founder absolutely or, if the founder is deceased or no longer in existence, as if the property had formed part of his or her estate at death or part of the founder’s assets at the date of dissolution. (4) A foundation shall be invalid and unenforceable if it is not registered with the Registrar or if it has been struck off or otherwise cancelled from the Register.