Māori Appellate Court confirms right of beneficiary to have access to information from Post-Settlement Governance Entity…

A recent hearing before the Māori Appellate Court considered whether a post-settlement governance trust could refuse to provide a beneficiary of the Trust with information he had requested.

Relevant sections of the trust deed and the Trusts Act require trustees to provide necessary information to beneficiaries.

The beneficiary had requested specific financial information related to the Trust's operations and investments. This requested information included budgets, trustee minutes, and financial information about the assets the Trust held. The trustees refused to provide the beneficiary with the information.

The Appellate Court found that the information sought was relevant, and potentially necessary, for the beneficiary to enforce the obligations of the Trust, and directed the Māori Land Court to rehear the application and determine whether the trustees’ decision to refuse to provide the information was reasonable.

The decision emphasised the right of beneficiaries to have access to trust information, while noting that the level of detail requested may not be necessary for a beneficiary to enforce the obligations of the trust. The Appellate Court further concluded that the trustees must provide valid reasons for withholding the information if they seek to do so.

The decision reinforces the accountability of trustees to their beneficiaries.

If you are unsure about your obligations as a trustee, or your rights as a beneficiary, it can be helpful to get legal advice from a lawyer with experience in the area.