Trustee Accountability And Transparency In Indigenous Settlement Trusts

Many First Nations have recently settled their agricultural benefits claim or are in the process of negotiating a settlement right now. How can they protect their settlement monies and ensure they benefit their communities for generations to come? One of the ways they can do this is to create a trust.

What is a trustee? What are their duties?

In connection with the creation of an Indigenous settlement trust, the First Nation can appoint one or more trustees to manage and administer the trust. Many First Nations are now choosing to appoint a regulated and insured corporate trustee.

Importantly, a trustee has a fiduciary duty – this is one of the highest duties imposed at law. As part of its fiduciary duty, the trustee must manage, administer and invest the monies in the trust in accordance with the trust agreement and applicable law. The trust agreement sets out the rules for the trust and is typically voted on by the First Nation’s members in connection with the settlement. For