Trustees—removal of trustees


Published by a ÑÇÖÞÉ«ÇéÍø Private Client expert
Practice notes

Trustees—removal of trustees


Published by a ÑÇÖÞÉ«ÇéÍø Private Client expert

Practice notes
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A trustee may be removed against their will in any of the following ways:

  1. •

    under an express power in the trust instrument

  2. •

    under section 36(1) of the Trustee act 1925 (TA 1925)

  3. •

    by court order under TA 1925, s 41

  4. •

    by direction of the beneficiaries under section 19 of the Trusts of Land and appointment of Trustees Act 1996 (TOLATA 1996)

Removal is not a step to be taken lightly. Misconduct is not necessary: friction between the trustees may be sufficient ground, although a dispute between the trustee and the beneficiaries over the manner in which the trustee exercises their discretion will not generally suffice but may be taken into account. The main consideration will always be the beneficiaries' welfare.

Express power in the trust instrument

Although TA 1925, s 36(2) expressly contemplates the existence of a power to remove trustees, in practice it is rare for a domestic trust instrument to incorporate an express power of removal (but they are common in offshore settlements). Most commonly, such a power will arise in the context

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United Kingdom
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Trust definition
What does Trust mean?

An equitable obligation (ie a duty imposed by the law of equity), binding the trustee to deal with property over which he has control (the trust property), for the benefit of persons (the beneficiaries), of whom the trustee may be one, and any one of whom may enforce the obligation.

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