Trustees—appointment of trustees

The following Private Client practice note provides comprehensive and up to date legal information covering:

  • Trustees—appointment of trustees
  • Original trustees
  • No trustee available
  • Acceptance
  • Who may be a trustee
  • Subsequent trustees
  • Role of the settlor
  • Appointment of trustees under section 36 of the Trustee Act 1925
  • Role of the beneficiaries
  • Appointment of trustees under section 41 of the Trustee Act 1925

Trustees—appointment of trustees

Original trustees

Trustees will usually be appointed by the instrument that brings the trust into existence. The trust instrument should also make provision for any additional appointments that may be necessary during the continuance of the trust.

The Trustee Act 1925 (TA 1925) makes provision for any additional appointments that may be necessary but it may be expressly excluded.

The settlor will usually name those whom they wish to act as trustees and where the settlement is inter vivos, the trustees will normally be parties to the trust deed.

Where the settlor simply declares an intention to henceforth hold some of their property on trust, they will themselves be the sole trustee. Alternatively, they may decide to appoint other trustees as well and take steps to vest the property in themselves and their co-trustees jointly.

Where trusts are created by Will, it is usual to appoint the same persons to be both executors and trustees. The fiduciary duties of executors are very similar to those of trustees but they are not identical and it may be important to know at what point an executor has ceased to act as such and become a trustee. Generally, this will occur when the executors assent to the vesting of property in themselves as trustees, although in the case of personalty, this assent may be implied since no formalities are necessary.

Popular documents