As the oldest international sporting trophy in the world, it is timely to reflect on what the Cup, affectionately called the “Auld Mug”, is and how it is governed.

The Cup, an ornate sterling silver bottomless ewer, was originally awarded on 22 August 1851 by the Royal Yacht Squadron for a race around the Isle of Wight in England. That race was won by the U.S. schooner “America” and the trophy was promptly renamed “America’s Cup”. On 8 July 1857 George L. Schuyler, as sole surviving owner of the Cup, donated it under a Deed of Gift to the New York Yacht Club to hold on trust ‘upon the condition that it shall be preserved as a perpetual challenge Cup for friendly competition between foreign countries’.

The Deed of Gift is essentially a trust. The current version of the trust deed is the third revision of the original deed as amended in 1887.

The deed provides for successive trustees. It requires the current trustee or Cup holder to ‘deliver the said Cup to the foreign yacht Club whose representative yacht shall have won’ following a successful challenge. The new trustee must covenant to hold the Cup on the terms and conditions of the trust so that it is available for perpetual international competition. If the trustee is dissolved, the Cup is to be ‘transferred to some Club of the same nationality, eligible to challenge under the deed of gift, in trust and subject to its provisions’.

Read More

Type

Insight

Locations

Bermuda

Share
Twitter LinkedIn Email Save as PDF
More Publications
5 Dec 2022

Business Crime and Investigations in Bermuda: Overview

A Q&A guide to business crime and investigations in Bermuda.

24 Nov 2022

Information Technology, Outsourcing, Privacy & Data Protection

All aspects of Bermuda's economy rely on information technology and data processing - an essential i...

Contributors: Duncan Card
22 Nov 2022

A Look Back on 2022 and What to Expect for 2023

As we approach the end of 2022, we are able to look back and say with certainty that the arena of la...

14 Nov 2022

When will the court enforce a promise?

As we all know, promises are made and broken all the time. What, if anything, can the law do to assi...

4 Nov 2022

Legally speaking: what not to do when outsourcing operations

In the course of my career, I have drafted, negotiated or otherwise provided commercial and legal ad...

1 Nov 2022

The Insolvency Review – Edition 10

The Insolvency Review offers an in-depth review of the most consequential features of the insolvenc...

25 Oct 2022

Bermuda: Mergers & Acquisitions Comparative Guide 2022

This country-specific Q&A provides an overview to Mergers & Acquisitions laws and regulati...

Contributors: Katie Blundy
24 Oct 2022

Directors’ duties on the eve of insolvency

It is common knowledge that directors of companies owe a duty to the company to act in its best inte...

Contributors: James Batten
13 Oct 2022

Employee probation periods: an update

The Employment Act 2000 is the island’s key piece of employment legislation, applicable to employe...

Contributors: Kiara Wilkinson
6 Oct 2022

Centre Stage: Bermuda’s Role In An Insurtech Revolution

Bermuda is rapidly becoming a focus for insurtechs seeking the island’s expertise, the accessibili...