Fiduciary Duties Flashcards
1
Q
When can a trustee keep profits made as part of their role?
A
If it is either authorised by the trust instrument or the trustee obtains fully informed consent of all beneficiaries.
2
Q
When can a trustee purchase an asset from a trust or sell an asset to the trust?
A
Only if it is authorised in the trust instrument or the trustee obtains the fully informed consent of all beneficiaries.
3
Q
When can a trustee transact with the beneficiary to buy their beneficial interest in the trust?
A
Must be able to show that the transaction was conducted fairly.
4
Q
What is self dealing?
A
Trustee purchases assets from the trust or sells assets to the trust.
5
Q
What is fair dealing?
A
Trustee transacts with beneficiary to buy their beneficial interest.
