Controlling the Trustees - How much information can the beneficiaries demand?

6 important questions on Controlling the Trustees - How much information can the beneficiaries demand?

Under Schmidt v Rosewood Trust, what kind of documents are beneficiaries allowed to see?

Trust documents because the beneficiaries might need to disclose the documents to the court for protection from the court.

What can the beneficiaries do if the trust documents are confidential in Schmidt v Rosewood Trust?

The courts have the discretion to order disclosure of confidential documents. When exercising its discretion, the court will consider all interests (beneficiaries, trustees, and settlor).

What documents are beneficiaries not allowed to demand Re Londonberry's Settlement?

Documents that contain the trustees' deliberations on discretion or power as the trustees are not bound to disclose their reasons (Re Londonberry's Settlement).
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Can the beneficiaries insist on seeing a letter of wishes from the settlor/testator to the trustee in Breakspear v Ackland?

The beneficiaries cannot insist on seeing a letter of wishes from the settlor/testator to the trustee as it is connected to the trustees' decision making which is therefore protected by confidentiality (Breakspear v Ackland).

Explain why the trustees were obliged to give reasons for their decision in Scott v National Trust?

Beneficiaries who have a legitimate expectation that discretion will be exercised in their favour should be warned if a trustee changes that discretion. For example, X received a certain amount from the trust every year and this is suddenly discontinued without warning.

Why are trustees of pension schemes obliges to disclose their reasons to the beneficiaries?

The beneficiaries of the pension scheme are paying for the benefits and deserve to know the trustees' reasons.

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