Do Not Break The Trust After A Trust Is Created - The Law On Concurrence Examined

Introduction

Dentons Rodyk acted for Mdm Harianty Wibawa, the settlor of an offshore discretionary trust which has a value exceeding US$45 million (taking into account distributions of some US$10 million). One of the beneficiaries and the named Protector of the trust (her eldest son) disputed that his elderly mother, Mdm Harianty Wibawa, was the beneficial owner of the funds settled into the offshore trust hence she was in breach of her duty as executrix of the estate of his deceased father, Mdm Harianty Wibawa's husband. Instead the eldest son alleged that he was entitled to a part of the trust assets as a beneficiary under the father's will. The High Court dismissed the eldest son's claims and ruled in favour of his mother.