(1) Where a disposition to an international trust is set aside by a Court, then if the Court is satisfied that the transferee of such property has not acted in bad faith—
(a) the transferee shall have a first and paramount charge over the property in an amount equal to the entire costs properly incurred by the transferee in the defense of the action or proceedings to set aside, (and not merely such cost as might otherwise be allowed by the Court); and
(b) the relevant disposition, shall be set aside subject to the payment by the creditor of the proper fees, costs, pre-existing rights, claims and interest of the transferee, and of any predecessor transferee who has not acted in bad faith.
(2) Where a disposition to an international trust is set aside by a Court, then if the Court is satisfied that a beneficiary of an international trust has not acted in bad faith, the disposition shall only be set aside subject to the right of such beneficiary to retain any distribution made consequent upon the prior exercise of an international trust, power or discretion vested in the trustee of such trust or any other person and otherwise properly exercised.
(Amended by Act 21 of 2003)