The Trustee has serious and onerous obligations and is subject to the following rules:
No private advantage
A Trustee is not permitted to use or deal with trust property for direct or indirect private advantage. If necessary, the court will hold the Trustee personally liable to account for any profits made in breach of this obligation.
Best Interests of Beneficiaries
Trustees must exercise all their powers in the best interests of the beneficiaries of the trust. They must disregard the interests of others – including the Settlor.
Trustees must act prudently in the management of trust property. If, by failing to exercise proper care, the trust fund suffers loss, the trustee will be liable for breach of trust. Professional Trustees are expected by the courts to exercise a high standard of skill and failure to do this will constitute a breach of trust for which the Trustees will be liable to compensate the beneficiaries.