What rights do you have as a beneficiary of a trust?

As a beneficiary, property is held on trust for you pursuant to the terms of trust deed or at law. The law provides beneficiaries with ways to monitor the trust and the trustee.

You have a right to be considered by the trustee.

Other rights include:

  • A Right to Information; you have a right to know and access trust records; (subject to what the terms of the Trust Deed allow)
  • A Right to Compel Performance: you may commence proceedings compelling the performance of a trustee’s duties. If the trustee of your trust fails to carry out their duties, this can amount to a breach of trust which gives rise to a right of action;
  • A Right to Restrain a Breach: In circumstances where a trustee intends to carry out an act that would amount to a breach of the trust, you can apply to the Court for an injunction to stet a breach;
  • A Right to request a new Trustee: if the Trustee is being difficult, uncooperative or refusing to do their job you can apply to the court for the removal of a trustee;
  • A Right to Accounting: As a beneficiary you have a right to request an accounting of the trust assets; (Subject to what the terms of the Trust Deed allow)
  • A Right to Wind up the Trust: If an individual is legally capable and entitled to a vested interest, they have the power to order a trustee to transfer the trust property;

If you are a beneficiary of any kind of trust and you believe that the trustee is acting improperly in any way, or you wish to terminate a trust that is not productive it is advisable that you contact us as soon as possible.

We can assist you in:

  • Identifying your rights as a beneficiary as prescribed by the trust deed;
  • Inform you of your rights under the relevant Australian law;
  • Advise you on how best to exercise your rights under the trust deed and the law;
  • When exercising your rights we make sure you are complying with all your legal obligations and trust deed obligations;
  • Drafting documents and negotiating with other parties should legal proceedings commence;
  • Obtaining the relevant consents that will be required, such as an appointer and/or the other beneficiaries;
  • Mediation and alternative dispute resolution relating to disputes with trustees;
  • Consideration of all potential creditors in relation to the trust; and
  • Consideration and compliance of all potential tax obligations;

If you require assistance in determining your rights as a beneficiary, or are currently involved in a dispute with your trustee, please do not hesitate to have a confidential discussion with our friendly and experienced trust lawyers.

Talk to one of our expert lawyers today.