Which of the Following Statements Is the Most Appropriate for Describing

question 9

Multiple Choice

Which of the following statements is the most appropriate for describing the duties of trustees in relation to the beneficiaries of a discretionary trust of personal property in which the principal class of beneficiaries are the five children of the settlor

• A) The trustees must always give effect to the wishes of the beneficiaries.
• B) The trustees must always consult the beneficiaries, although they are not obliged to give effect to the wishes which the beneficiaries express.
• C) The trustees must act in the best interests of the beneficiaries, even if this may not be what the beneficiaries want.
• D) The nature of a discretion is that the trustees can do whatever they want without regard to the views or best interests of the beneficiaries.