Wills & Trusts Law Reports | Summer 2024 #195The settlor executed a trust deed dated 12 September 1960 (the trust), under the terms of which the trustees were given a power of appointment over capital and income for the benefit of the beneficiaries and their respective issue. The power was limited by a deed dated 28 March 1978 so that it could be exercised only in relation to the capital of the trust fund to which a beneficiary then enjoyed an interest in possession. In default of appointment, the capital and income of the trust fund was to be held for such of the beneficiaries living on the perpetuity day (which was to be calculat...
Wills & Trusts Law Reports | Autumn 2023 #192Mr Kudlick, a chartered accountant and the defendant, was a trustee of the Marian Miller Settlement from 1973 and was later an executor and trustee of the estates of Marian Miller’s late parents, Harold Miller, who died on 29 December 1984, and Ethel Miller, who died on 26 December 1987. With his co-executor Mr Levy, Mr Kudlick was responsible as executor for the administration of the estates of the late Harold and Ethel Miller. He and Mr Levy were trustees of three trusts, the property of which comprised one-quarter of Harold’s and one quarter of Ethel’s residuary estates, together with...
Mark Pawlowski takes a critical look at the rule in Clayton’s case and asks whether it still has application in the context of a tracing claim A rigid application of Clayton’s case, although providing a rule of convenience, can produce results of a highly arbitrary nature. Where a trustee (or other fiduciary) wrongfully purchases an …
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Wills & Trusts Law Reports | Autumn 2021 #184The testatrix (T), whose husband predeceased her, was survived by her four children, B1, B2, B3 and B4. T had appointed B3 and the partners of a solicitor firm as the executors of her will. She left the residue of her estate on trust to be divided into four equal shares: one for the benefit of each of B1, B2 and B3, and the fourth upon discretionary trusts, which included a wide power of appointment, for the benefit of B4 and his children and remoter issue. At the time of the hearing, B4 had three adult children and one minor grandchild. T died in 2010 and probate of her will was granted...
Wills & Trusts Law Reports | Autumn 2021 #184A testatrix (T) left the residue of her estate (the trust fund) on trust to be divided into four equal shares, directing that one of them (the share fund) be held upon discretionary trusts for the benefit of her son, B, and his children and remoter issue. The other three shares were given to her other three children absolutely. The will trustees (who were the executrix of T’s will and another person appointed by her as a co-trustee) sought the approval of the court for a proposed appointment of all of the liquid funds in the share fund to B absolutely. The judge refused to approve the pr...
Stephen Alexander asks when a trustee can charge fixed fees The reasonableness (and therefore recoverability) of the fixed fee will vary according to the size of the trust fund, the complexity of the situation, and the risks and responsibilities in relation to the trust. Individual trustees will usually charge by reference to time spent. Corporate …
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John Brennan discusses the implications of the fiduciary conflict rule on trustees The existence of friction or hostility between the trustees is not always sufficient to justify the removal of a trustee but is often relevant, especially if it arises from the way in which the trust has been administered. In Manton v Manton [2021], …
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Those taking on a trusteeship must be fully informed. Graeme Kleiner, Hugh Gunson and Thomas Watts discuss Mackay, which develops the grounds on which such appointments can be set aside The claimant’s acceptance of her appointment could be severed from the DORA without offending the rule against partial rescission and without operating unfairly on any …
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A Cayman court judgment has affirmed the expectations levelled upon a responsible trustee. Lisa Vizia explains A devout Muslim, it was the settlor’s express wish that on his death his assets should be dealt with in accordance with Islamic (shari’a) inheritance laws. A trustee’s work is seldom straightforward and perhaps never truly ends. The professional …
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