PUBLIC TRUSTEE.

Timaru Herald, Volume CXXXIV, Issue 18831, 20 March 1931, Page 11

PUBLIC TRUSTEE.

JUDGE CRITICISES ADVERTISEMENT. NO GRATUITOUS SERVICE. By Telegraph—Presa AasoelationWELLINGTON, March 19. “The Public Trustee advertises that he is prepared to make a will gratuitously where he is appointed executor. Such an advertisement can create a false' impression in the minds of ignorant people, because the advertisement does not make it plain that the Public Trustee obtains his remuneration for such so-called gratuitous service from the commission he is paid for administration of the estate,” said Mr Justice Blair, when delivering a reserved judgment in the Supreme Court to-day. “I have little doubt that solicitors would undertake to prepare wills gratuitously upon the same conditions, and rely for the remuneration for preparing the will upon the commission to which executors are entitled under Section 20 of the Administration Act,” said His Honour. “Once the Public Trustee is appointed executor, he alone, within the wide limits provided by the regulations, is judge as to the amount he is entitled to charge an estate for commission. In the case of an ordinary executor, the only commission he can obtain is what the Court allows him for his pains and trouble. I have been informed by a solicitor for the Public Trust Office that in all cases the Public Trustee, in fixing the commission to be charged in any estate, takes into considertion the extent of the work involved in administration, and does not always charge the full scale rates authorised by the regulations to the Public Trust Office Act. It is satisfactory to know that this is so, but nevertheless the fact that the Public Trust Office, for the purpose of attracting business, advertises that it will gratuitously advise persons as to the making of wills, places the office in the position that it has substantially a financial interest in giving such advice and obtaining the execution of such wills. This financial interest conflicts with its fiduciary duty to testators asking advice.”