1. Advancement
   1. Definition
      1. Releasing entitlement before beneficiary is strictly entitled to it
         1. S32 TA 1925
      2. Advancement is of capital
      3. Trustees cannot be forced to exercise
         1. Dispositive power
         2. but must consider
   2. Eligibility
      1. Only applies to beneficiaries who have an interest in trust capital
         1. i.e not life tenants
      2. Applies to contingent interests and remaindermen
      3. Doesn't apply to beneficiaries of discretionary trusts
   3. Purpose
      1. Advancement and benefit
         1. Purchase of home and furniture
         2. Discharge of debts
         3. Apprenticeship
         4. Education
      2. Young beneficiaries
         1. must be caution when approached by parents of young beneficiaries
            1. Re Pauling
            2. Systematic looting of interest
      3. Pilkington v IRC
         1. "Any use of money which will improve the material situation of the beneficiary
   4. Provisos
      1. Contained in S32
      2. Limited to 1/2 entitlement
         1. Cannot have further advancement if trust fund increases
            1. Re Marquess of Abergavveny
         2. However
            1. If trust created after 1st October 2014
            2. S9 Inheritence and Trustee's Powers Act 2014
            3. Can remove one-half limitation
      3. Beneficiary must bring any advancement into account on becoming absolutely entitled
      4. Anyone with prior interest must be adult and consent in writing
   5. Alternatives
      1. Loan could be authorised investment
         1. If secured by mortgage
      2. Variation of trust
         1. Saunders v Vautier
2. Maintenance
   1. Concerned with trust income
      1. S31 Trustee Act 1925
   2. Infant's maintenance, education or benefit
   3. Vested interests
      1. While under 18
         1. May apply reasonable part of income for maintenance, education or benefit
            1. For trusts created on/after 1st October 2014
            2. S8 Inheritance and Trustee's Act 2014
            3. May pay or apply whole part of trust income if see fit
            4. For earlier trusts
            5. Original wording of S31
         2. Rest of income is accumulated
            1. S31(2)
         3. Trustees cannot be forced
            1. Must consider from time to time
         4. Would be liable if blindly followed parent's wishes
            1. Turner v Turner
      2. If dies before 18
         1. Will pass to estate
      3. Expressly subject to prior interests
         1. Won't apply while life tenant is alive
            1. S31(1)
   4. Contingent interests
      1. While under 18
         1. May apply reasonable part of income for maintenance, education or benefit
         2. Rest of income accumulated
      2. From age of 18
         1. Entitled to all trust income
            1. trustees must pay
            2. S31(1)(ii)
      3. At age 21
         1. Receives trust capital and accumulated income
      4. If dies before 21
         1. Passes according to testator's will or intestacy rules
3. NB
   1. Look to trust instrument first for powers. Statute in absence
   2. Beneficiaries can authorise acts
      1. Must be sui juris
      2. Given all relevant information
      3. Cannot obtain consent by undue infleunce
   3. If no specific power, can apply to courts under S57 TA 1925
   4. Advancement and maintenance are dispositive powers
      1. Cannot be delegated
4. Delegation
   1. Collective delegation
      1. Governed by
         1. Trustee Act 2000
      2. TA 2000 applied retrospectively
         1. Unless excluded by trust instrument
      3. Can delegate
         1. administrative decisions
            1. S11(1)
            2. Receipt of dividends
            3. tax returns
            4. investment decisions
      4. Cannot delegate
         1. Dispositive power to distribute funds to beneficiaries
         2. Discretions
         3. Powers of maintenance and advancement
            1. S11(2)(A)
         4. Power to appoint new trustees
            1. S11(2)(C)
         5. See S11(2)
      5. Can pay agent reasonable remuneration from trust funds
         1. S32
      6. Safeguards
         1. Usual duty of care in selecting agents
            1. S1 TA 2000
         2. When delegating asset management
            1. Written agreement
            2. S15(1)
            3. Written policy statement
            4. S15(2) and (4)
            5. Trustees must keep under review
            6. S22
      7. Liability
         1. May be able to sue agent for negligence or breach of contract
            1. Damages held on trust for beneficiaries
         2. Beneficiaries can sue trustees
            1. If have breached one of duties
            2. And this has caused a loss
   2. Individual delegation
      1. Governed by
         1. TA 1925
      2. Trustee Act 1925
         1. Appointment of attorney
         2. Can delegate any powers, trusts or discretions
            1. S25(5)- grant general power
            2. Must be expressed as deed
         3. Or specific powers or duties
            1. Must be expressed as deed
         4. Up to maximum of 12 months
         5. Must give written notice to other trustees
         6. Remains vicariously liable for attorney's act
         7. Appointment of agent
      3. Trustee Act 2000
         1. Doesn't permit functins relating to distribution of assets
5. e.g If attains 21...