Henry Fea and Hannah Wall write for STEP Journal on navigating trusteeship

In an article for STEP Journal, Henry Fea TEP, Partner, and Hannah Wall, Associate, look at how trustees can protect themselves, manage relationships with beneficiaries and adapt to modern trust structures.

The expectations of trustees and the challenges they face have never been greater. Trustees, or those advising them, need to be aware of key issues both personally and professionally. The role of a trustee, who holds and manages assets on behalf of others, has always been demanding, but the challenges and risks associated with being a trustee today are unprecedented. Trusts now hold an increasingly wide variety of assets, and beneficiaries are more aware of their rights, which can make them more demanding. The costs of managing trust-owned businesses and estates are rising, and compliance with reporting requirements and ever-changing tax rules is a burdensome responsibility.

This article explores the evolving nature of a trustee’s role and offers tips on mitigating the more taxing aspects. It provides insight into key issues facing trustees regarding legal duties and responsibilities, potential liabilities and available protections, recruitment and succession, effective team dynamics, and handling disputes and beneficiary communication. Although based on English and Welsh law, the principles are applicable in many jurisdictions worldwide.

Read the full article in STEP Journal here.