2 - The relationship with the settlor

Summary

Of all the relationships a trustee sustained in the course of his office, the first in point of time was that with the creator of the trust, the settlor. When an individual was asked to act as trustee, the transmutation to that office from a personal capacity occurred only once he had accepted it and the trust had been executed. The initial personal approach by the settlor to his prospective or potential trustees was the moment of conception, if not of birth, of the office of trusteeship in the context of a particular trust. It was, however, the fruit of an antecedent relationship with the settlor, of a nature, intensity, degree or duration which varied according to circumstance. It was a step of considerable significance to the future of the trust. Being an office of confidence, the choice of trustee was probably one of the most important decisions a settlor had to make. The decisions the trustee would have to make would be important and difficult ones – not only for the preservation of the trust fund, which was his prime and absolute duty, but also possibly for the actual entitlement of the beneficiaries and the exercise of numerous other personal discretions directly affecting their enjoyment of their entitlement. So for example he might have to exercise powers of maintenance, advancement, leasing, sale and exchange, and might even have to conduct a business for the trust.