People Power: Guardians

People Power: Guardians

Over the past few blogs we've identified that there is a lot of People Power involved in trusts - the settlor, the trustee, beneficiaries, the appointor. The settlor, particularly if creating a discretionary trust, may also want to appoint a guardian to have power in certain situations.


What is a guardian? What does a guardian do?

A guardian is a person empowered to supervise the trustee and whose consent is required in order for the trustee to exercise certain powers. Examples of powers the trustee may require consent of the guardian for include:

  • trust distributions, particularly if discretionary;
  • vesting trust assets;
  • changes to who is a beneficiary; and
  • amending the trust deed.

A guardian can be beneficial as a check and balance on the mighty power of the trustee. Allawdocs discretionary trust deeds provide the option to appoint a guardian if appropriate for your circumstances. For instance, in "blended" families there may be a benefit in separating the roles of guardian and appointor between families.


Who can be a guardian?

Any person that is 18 years or older, is solvent and is of sound mind, may be appointed to the role of guardian.


That's all for People Power

That concludes this info-series on the People Power involved in trusts. Stay sharp for our upcoming series - Money Matters!



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