A Recent Judgment.

Star (Christchurch), Volume XLIV, Issue 78, 1 April 1931, Page 8

A Recent Judgment.

To the Better. Dear Sir,—ln reference to Mr Just. w Blair's recent judgment criticising the action of the Public Trustee, the plain facts of the case are as follows: The testator died leaving an estate of approximately £9OOO, of which he appointed his widow sole trustee and left the whole of his property to her. It is clear, therefore, that had the widow taken out probate in the ordinary way the cost would have been very small ’ and no commission would have been payable, as she was both aole trustee and sole beneficiary. Instead of following this course, however, the widow decided to appoint the Public Trustee as sole trustee of the will. This was of course entirely unnecessary, and involved her in the obligation of paying the Public Trustee commission at a rate which might vary between £97 and £192. The learned Judge arranged for an interview with the widow and she told him that she had not had explained to her by any representative of the Public Trust Office that she was involving herself in this liability to pay commission. The learned Judge further held that under such circumstances it was the obvious duty of the Public Trustee before taking out administration to advise the widow that she was rendering herself liable for a large sum by way ©f commission for entirely unnecessary work. In a nutshell the case amounted to this, that if the widow took out administration in the ordinary way her costs would be small. If it was done the way the Public Trustee recommended the commission might be as much as £192. When these facts were placed by the learned Judge before the widow she conferred with the Public Trustee, and as a result the Public Trustee intimated that he was prepared to complete the whole administration at a cost of £2O and disbursements. The result of the learned Judge’s action was therefore to render the widow liable only to a charge of £2O, as against a possibility of commission amounting to £192. The real gravamen of the charge against the Public Trustee is that the learned Judge found that although acting in a fiduciary capacity he had not explained to the widow that the result of the course proposed would have been to involve her in the possibility of an entirely unnecessary claim to commission amounting possibly to £192 —J am, etc., H. C. D. van A9CH, President Caifcjterbury Law Society. March 31. 1931.