Trust disputes
A trust dispute is any dispute relating to the administration of a trust, or some sort of dispute between the involved parties, notably the beneficiaries and trustees.
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A trust dispute arises whenever there is disagreement about how a trust is being run, interpreted or managed. These issues can develop between trustees, beneficiaries, family members or anyone with an interest in the trust. Trusts can often involve significant assets and long-term planning and so disagreements can quickly become complex and emotionally charged.
Common situations that lead to trust disputes include disagreements about how trustees are exercising their powers, questions over the meaning of certain trust provisions, or concerns about whether trustees are acting fairly and in the best interests of the beneficiaries.
Our Private Wealth Disputes team specialises in resolving these issues sensitively, strategically and efficiently. We act for trustees, beneficiaries and other interested parties, providing clear guidance on rights, duties and the most effective way forward.
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FAQs
Trustees must act in the best interests of the beneficiaries, follow the terms of the trust, avoid conflicts of interest, act impartially between the beneficiaries and keep proper accounts and records. Breaching these duties can result in personal liability.
Yes, a trustee can be removed by:
- The terms of the trust deed
- Agreement between all relevant parties or
- A court order, usually where the trustee is unfit, unwilling, or acting in a way that undermines the trust.
We can advise on both voluntary and contested removal.
Disagreement between trustees can prevent the trust from functioning properly. We can help mediate disputes, provide independent advice, or assist with a court application for directions to resolve the deadlock.
Yes. Beneficiaries have the right to raise concerns about how trustees are exercising their powers or whether they are acting in compliance with their duties. This may involve requesting information, negotiation or making a formal claim.
This depends on the nature of the dispute. In some cases, trustees may recover their costs from the trust. In others, a party may be ordered to pay another’s costs. We will discuss likely costs and funding options at the outset.
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If you need clear, expert advice on a trust dispute, our Private Wealth Disputes team is here to help. Call us on 020 8290 0333 or email [email protected]
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