Topic: Claim by former trustee to retention of trust assets otherwise vesting in new trustee by statute

Meritus Trust Company v Butterfield Trust Ltd [2018] WTLR 545

Wills & Trusts Law Reports | Summer 2018 #172

The Plaintiff (Meritus) was removed as the trustee of two trusts and replaced by 
the Defendant (Butterfield). Meritus applied by Originating Summons for an order 
that Butterfield transfer immediately all the assets of those trusts (the E Trust and the 
M Trust). Butterfield asserted, first, that it was entitled to retain sufficient trust 
assets against which to enforce its indemnity in relation to its contingent cost liability (estimated at $5 million) in relation to a threatened claim in respect of Butterfield’s management of the trust assets; second, that it was entitled to a contra...