British Airways Plc v Airways Pension Scheme Trustee
Limited1
In this recent case, a majority of the English Court of Appeal
held that an amendment made by the trustee of the Airways Pension
Scheme (the "Scheme"), which introduced
a trustee power to award discretionary post-retirement pension
increases, went beyond the proper purpose of the amendment power
and was invalid.
This has been seen as an important decision in the
UK. While the case turns on its own facts and is of
persuasive authority only in Ireland, it touches on points of
general application relating to the exercise of an amendment power,
the principle or proper purpose test and the role of trustees in
relation to the scheme for which they act.
