Introduction
The High Court’s ruling in the estate of Graham Cheslyn-Curtis, a veterinary tycoon who died in 2018 leaving an £8.2 million fortune, provides a striking example of how trustee hostility can undermine the administration of a trust. The case illustrates the tension between testator intent and trustee discretion and highlights the court’s willingness to intervene when fiduciary duties are compromised.
Facts of the case
- Cheslyn-Curtis left his estate, including Millpledge Veterinary Supplies, to be managed by trustees.
- His will expressed a clear wish that his stepchildren, Leah-Jane Styring and Nathan Smith, be mentored into leadership roles.
- Trustees Malcolm Taylor and Paddy Campbell instead excluded the stepchildren, describing them as “entitled, self-interested, complacent, acquisitive and greedy”.
- The siblings brought proceedings in the High Court, alleging breach of trust and failure to carry out Cheslyn-Curtis’s intentions.
Legal issues
- Trustee duties
- Trustees owe duties of loyalty, impartiality and good faith.
- Hostility toward beneficiaries can amount to a breach, particularly where it obstructs the testator’s wishes.
- Removal of trustees
- Courts have inherent jurisdiction to remove trustees under the Trustee Act 1925 where administration is at risk.
- The test is whether removal is necessary for the proper execution of the trust, not whether trustees acted unlawfully.
- Testator intent vs. trustee discretion
- While trustees have discretion, they must exercise it consistently with the settlor’s objectives.
- In this case, the court prioritised Cheslyn-Curtis’s intent to integrate his stepchildren into the business.
The judgment
- The High Court found that the trustees’ hostility made it impossible to administer the trust fairly.
- The Trustees were removed and professional trustees were appointed to work alongside Leah and Nathan.
- The ruling reinforced that trustee bias can justify removal even absent financial misconduct.
Implications for succession planning
- Blended families: This case underscores the importance of clarity in wills where stepchildren are involved.
- Business succession: Entrepreneurs should consider mechanisms beyond trustee discretion to ensure continuity.
- Trustee selection: Choosing trustees with both professional competence and personal neutrality is crucial.
Conclusion
The Cheslyn-Curtis case demonstrates that courts will act decisively to protect beneficiaries when trustees fail in their fiduciary duties. It serves as a cautionary tale for estate planning: trustee hostility can derail succession, but judicial oversight ensures testator intent will usually prevail.
How can we help?
Kirria Hearn is a Trainee Solicitor in our expert Dispute Resolution Team.
For more information regarding the subjects discussed in this article, please contact Kirria or another member of the team in Derby, Leicester, or Nottingham on 0800 024 1976 or via our online form.