Key Themes
- How to choose the right fiduciary — trustees, executors, and guardians
- Key parameters: age, health, competence, independence, alignment with the estate
- Whether to appoint family members or outsiders
- Case law examples of fiduciary failures and how to prevent them
The Challenge
Who is the right person to ensure your wishes are fulfilled after your lifetime? The fiduciary — whether an executor (for a will), guardian, or trustee — is entrusted with significant powers to deal with the deceased estate. Unfortunately, jurisprudence across the globe includes numerous instances of fiduciary mismanagement, self-dealing, and inaction that damaged estates.
Key Parameters for Selection
Age and health: The fiduciary should not be too advanced in age. Health conditions matter for practical continuity.
Financial competence: The fiduciary should have commercial/financial acumen to manage the estate effectively — including compliance, property registration, investment decisions.
Independence: A fiduciary dependent on one of the beneficiaries is likely to be biased. Independence from beneficiary influence is crucial for fair and impartial estate management.
Alignment: The fiduciary should understand and respect the Settlor’s values and intentions for the estate.