No real prospect

In an application for a blessing order by the trustees of the Palliser Family Trust (the Trust), the High Court dispensed with service on a wide group of beneficiaries and consented to the proposed settlement on behalf of these beneficiaries who were considered to have no real prospect of benefitting from the Trust. The Court:

• approved the proposed settlement on behalf of future, unborn and unknown beneficiaries pursuant to section 124 of the Trusts Act
• waived the requirement for consent pursuant to section 125 of the Trusts Act for a wide range of beneficiaries including the settlor’s siblings and parents; spouse of any beneficiaries; trusts from which any beneficiary can benefit and charities
• appointed counsel to represent the minor beneficiaries pursuant to section 144 of the Trusts Act, reflecting the ADR requirements under the Trusts Act.

The decision is subject to wide publication restrictions.

References:

• Re the Palliser Family Trust [2026] NZHC 1760
• Trusts Act 2019, ss 124, 125, 133 and 144