As seen in the previous post on Trusts in general, we saw the different roles played by the Settlor, the Trustee and the Beneficiary. We also saw that a Trust is governed by a fiduciary relationship between the Settlor and the Trustee wherein the Settlor relies on the good faith of the Trustee.
A further role that can come into play is an Appointor. An appointor is a person chosen by the maker of the Trust (the settlor) to have the power to appoint or remove the trustee of the Trust.
This role is crucial to consider when considering Testamentary Trust Wills. It is one of the most important roles as, effectively, the appointor controls the trustee and therefore controls the Trust.
You must carefully consider the various roles that exist. You should only appoint people that you have complete trust and confidence in as you need to be certain that they will do right by you and right by the beneficiary or beneficiaries.
If you have further questions, please contact us at frank@franklaw.com.au
This is not legal advice.