Boyd's Trustees v. Boyd and Others [1908] ScotLR 835 (11 July 1908)

Boyd's Trustees v. Boyd and Others [1908] ScotLR 835 (11 July 1908)

Trustees are not entitled to retain shares with uncalled liability indefinitely at their pleasure, but may do so as long as they prudently consider it beneficial to the trust. The donation of income to Mrs Boyd was not revoked; however, arrears are only due from Whitsunday 1889 (the date up to which she acknowledged receipt), not before.

Citation
[1908] ScotLR 835
Parties
First Parties (testamentary Trustees): Boyd's Trustees; Second Party: James Lawrence Boyd (grand-nephew); Third Parties: Trustees under deed of trust in favour of Mrs Anne Mouat Hannay or Boyd
Jurisdiction
Scotland
Judgment Date
11 July 1908
Procedural Posture
Special Case (court of Session, Inner House, Second Division) / Judgment on Questions of Law Regarding Administration of Estate
Outcome
Partly in favour of third parties (trustees for Mrs Boyd) on entitlement to arrears from Whitsunday 1889; trustees' power to retain shares limited to prudent exercise, not indefinite retention at pleasure.
Legal Topics
Trustee Powers, Investment of Trust Funds, Revocation of Donation, Husband and Wife Property Rights, Implied Waiver
Trusts and Estates Family Law Trustee Powers Investment of Trust Funds Revocation of Donation Husband and Wife Property Rights Implied Waiver

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 13 Party arguments 2 Amounts and remedies 4
Sign in to unlock

Parties

Boyd's Trustees

First Parties (testamentary Trustees)

James Lawrence Boyd (grand-nephew)

Second Party

Trustees under deed of trust in favour of Mrs Anne Mouat Hannay or Boyd

Third Parties

Procedural Posture

Special Case (court of Session, Inner House, Second Division) / Judgment on Questions of Law Regarding Administration of Estate

Legal Issues

  1. 1 Whether trustees may retain shares with uncalled liability indefinitely under testamentary power
  2. 2 Whether Mrs Boyd (via her trustees) is entitled to arrears of income from trust fund, and from what date
  3. 3 Whether the donation to Mrs Boyd was revoked or waived

Ratio Decidendi

Trustees are not entitled to retain shares with uncalled liability indefinitely at their pleasure, but may do so as long as they prudently consider it beneficial to the trust. The donation of income to Mrs Boyd was not revoked; however, arrears are only due from Whitsunday 1889 (the date up to which she acknowledged receipt), not before.

Court Disposition

Partly in favour of third parties (trustees for Mrs Boyd) on entitlement to arrears from Whitsunday 1889; trustees' power to retain shares limited to prudent exercise, not indefinite retention at pleasure.

Orders

  • First branch of first question answered in affirmative, deleting 'indefinitely at their pleasure'; second branch in negative.
  • Branch (b) of question 2 answered in affirmative (arrears from Whitsunday 1889), deleting 'or any part thereof'; branches (a) and (c) in negative.