This article by Vicki Ammundsden from her Blog Matters of Trust is interesting.
"Trustees act personally. Where a trustee enters into a transaction the trustee is personally liable unless that liability can be limited. Sometimes this is possible by way of a contract term, in some instances standard from agreements can include a limitation of liability.
However, in other instances, for example where liability is imposed by statute for policy reasons, it may not be possible to contract out of, or limit liability. Cox v Green Gecko Limited provides a sobering example.
In this case, Mr Cox, a solicitor, acted personally as a trustee for a trust settled by a client. The trust owned shares that were issued in circumstances where a prospectus should have been registered and provided. As a consequence of this failure, the subscriber was entitled under the [then] Securities Act 1978 to seek a refund of the subscription price of $700,000 from the offeror."... see the full article here.
"Trustees act personally. Where a trustee enters into a transaction the trustee is personally liable unless that liability can be limited. Sometimes this is possible by way of a contract term, in some instances standard from agreements can include a limitation of liability.
However, in other instances, for example where liability is imposed by statute for policy reasons, it may not be possible to contract out of, or limit liability. Cox v Green Gecko Limited provides a sobering example.
In this case, Mr Cox, a solicitor, acted personally as a trustee for a trust settled by a client. The trust owned shares that were issued in circumstances where a prospectus should have been registered and provided. As a consequence of this failure, the subscriber was entitled under the [then] Securities Act 1978 to seek a refund of the subscription price of $700,000 from the offeror."... see the full article here.
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