Page 23 - Nexia SAB&T Trust Guide 2022

RIGHTS AND POWERS OF TRUSTEES

Rights of Trustees
Right to Remuneration
A trustee is entitled to remuneration as provided for in the trust deed. If no
remuneration is provided for in the trust deed, the trustee will still be entitled to
reasonable remuneration for the services to be rendered by the trustee. In the
event of a dispute, the Master of the High Court may fix the trustee’s remuneration.
Right to Make Representation
A trustee who is affected by his proposed removal of office by the other trustees,
has the right to make representations with regard to his removal from office.
The trustee is entitled to have his representations heard at the meeting which
is convened for the purposes of proposing a resolution for the trustee’s removal.
Powers of Trustees
The trust deed normally awards wide powers to the trustees in order to ensure
proper administration of the trust.
Some examples of powers awarded to trustees include:
■ Buying and selling trust property.
■ Determining distributions to beneficiaries.
■ Hiring and firing professional advisors, tradesmen and contractors.
■ Opening/operating bank or building society accounts or facilities.
Trustees are required to exercise their powers independently and objectively.
Trustees hold a fiduciary position and therefore must always exercise their powers
to the advantage of the beneficiaries and act within these powers. When trustees
act contrary to the provisions of the trust deed, their acts are ultra vires (“beyond
their powers”) and are therefore invalid.

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