Rawson v Prescott, which relates to an unsuccessful application for summary judgment on a claim for vacant possession of trust property raises more questions than it answers. The key issue relates to whether trustees are bound to an agreement for the purposes of section 21 of the Property (Relationships) Act 1976, that the trustees were not party to, and that one trustee had no knowledge of.
As noted at [3]:
On this basis it was successfully argued that the trustee may be estopped from requiring Lucinda to vacate the property.
Lawyers involved in drafting section 21 agreements that contemplate steps being taken by trustees may find the decision of some interest.
For an up-date on drafting memoranda of wishes see Trust Series 2024 – Drafting Guidelines for Memoranda of Wishes
References
- Rawson v Prescott [2024] NZHC1919
Matters of Trust 
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