Settlor resides and is domiciled in, and is a citizen of, State A, a typical onshore jurisdiction. He is an entrepreneur, having made his considerable wealth in business as a property developer. He is married to Spouse and has two children, Son aged 25 years and Daughter aged 22 years.

Settlor transfers $10 million to Trustee (a Trust Company located in the jurisdiction where you work and sit this examination) to hold upon the terms of the XYZ Trust.

The dispositive provisions of the XYZ Trust instrument state:

'(1) Trustee shall hold the income and capital of the Trust Fund for or for the benefit of such of Settlor, Settlor's spouse, children and remoter issue at such times and in such shares and on such terms and in such manner as Settlor may, during his lifetime, by deed, appoint;

(2) Upon the death of Settlor until the end of the Trust Period, Trustee shall hold the income and capital of the Trust Fund for or for the benefit of such of Settlor's spouse, children and remoter issue at such times and in such shares and on such terms and in such manner as Trustee, in its absolute discretion, by deed, appoint;

(3) Subject thereto, the Trust Fund shall be held for the Red Cross absolutely.'

1.1 Analyse the validity of the XYZ Trust according to: (a) the common law principles known as the 'three certainties', and (b) statutory provisions enacted in the jurisdiction where you sit this examination.

1.2 Describe Trustee's dispositive duties and/or powers (if any) in the period during Settlor's lifetime

1.3 Describe Trustee's dispositive duties and/or powers (if any) in the period after Settlor's death. How may Trustee comply with its fiduciary duty of impartiality while, at the same time, making distributions?

1.4 When and in what circumstances is the XYZ Trust brought to an end?