Trusts often build in delays and conditions — money held until someone turns 25, a life interest followed by a gift over. But a trust exists for its beneficiaries, not the wishes of the person who set it up. Where the right people are fully entitled and all agree, they can override those directions and call for the property, however the settlor intended it to play out. As a solicitor advising beneficiaries or trustees, you need to know precisely when this power exists, when it doesn't, and what trustees must do when it's exercised.
What this lesson covers:
- The Rule and Who May Invoke It — what the rule allows, why the settlor's directions fall away, and the option to resettle on new terms.
- Core Conditions — the three requirements: capacity, absolute entitlement, and unanimous agreement.
- Vested and Contingent Interests — why a contingent beneficiary cannot act alone.
- Severable and Non-Severable Interests — when one beneficiary can act independently and when everyone must join in.
- Effect and Operation — what trustees must do once given a valid direction, and the remedy if they refuse.
- Where the Rule Cannot Be Used — why unborn or unascertained beneficiaries block it, and the statutory route that can supply the missing consent.