Trust disputes—claims in negligence against trustees for their administration of the trust


Produced in partnership with David Schmitz of Ten Old Square, Lincoln’s Inn
Practice notes

Trust disputes—claims in negligence against trustees for their administration of the trust


Produced in partnership with David Schmitz of Ten Old Square, Lincoln’s Inn

Practice notes
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This Practice Note is concerned with those breaches of duty by a trustee which consist solely of negligent acts or omissions, and which do not involve either the misapplication of trust funds or the breach of fiduciary duties, for example the duty which trustees have, to prefer the beneficiaries’ interests to their own interests. Liability for the misapplication of trust funds and for breaches of fiduciary duties are treated differently from liability for negligent breach of trust, and are considered in other Practice Notes.

Before turning to negligent breach, however, it is necessary to touch on the distinctions between this and other types of breach.

In brief, a trustee’s liability for negligent breach of trust is a liability to make equitable compensation, which is akin to a professional’s liability in negligence. It is therefore to be distinguished from trustees’ liability to reimburse a trust where they have misapplied the assets by, for example, paying them to the wrong persons or paying them in circumstances

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United Kingdom
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Disputes definition
What does Disputes mean?

There is a tPR code of practice on dispute management and regulation.

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