Y v Church Street Trustees Limited and Ors (Royal Court : Hearing (Civil) : Bailhache, W : Costs) [2025] JRC 121 (7 May 2025)

Y v Church Street Trustees Limited and Ors (Royal Court : Hearing (Civil) : Bailhache, W : Costs) [2025] JRC 121 (7 May 2025)

The proceedings were administrative trust proceedings, not hostile litigation; therefore, costs should be paid from the Trust fund on an indemnity basis to the Trustee and beneficiaries, with specific provisions for interim payments and reimbursement mechanisms.

Citation
[2025] JRC 121
Parties
Applicant: Y; Respondent: W; Respondent: V; Interested Party: Trustee; Interested Party: Company D
Jurisdiction
Jersey
Judgment Date
07 May 2025
Procedural Posture
Trust Administration Proceedings / Post Judgment Costs Determination
Outcome
Costs awarded to Trustee and beneficiaries from Trust fund on indemnity basis; interim payments ordered; reimbursement mechanism for Y's costs paid by Company D.
Legal Topics
Breach of Trust, Trustee Decision, Costs, Indemnity, Hostile Litigation
Trusts Private Law Breach of Trust Trustee Decision Costs Indemnity Hostile Litigation

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Parties

Y

Applicant

W

Respondent

V

Respondent

Trustee

Interested Party

Company D

Interested Party

Procedural Posture

Trust Administration Proceedings / Post Judgment Costs Determination

Legal Issues

  1. 1 Whether the Trustee's consent to the sale of the hotel constituted a breach of trust
  2. 2 Whether the proceedings were hostile litigation for costs purposes
  3. 3 Entitlement of beneficiaries and Trustee to costs from the Trust fund

Ratio Decidendi

The proceedings were administrative trust proceedings, not hostile litigation; therefore, costs should be paid from the Trust fund on an indemnity basis to the Trustee and beneficiaries, with specific provisions for interim payments and reimbursement mechanisms.

Court Disposition

Costs awarded to Trustee and beneficiaries from Trust fund on indemnity basis; interim payments ordered; reimbursement mechanism for Y's costs paid by Company D.

Orders

  • Trustee to have its costs of and incidental to the proceedings on the Alhamrani basis.
  • Beneficiaries Y, W, and V to have their costs of and incidental to the proceedings out of the Trust to be taxed on an indemnity basis if not agreed.