, CLA2601 Assignment 2 Semester 1 2025 (Unique Number:
770920) - DUE 16 April 2025 ;100 % TRUSTED ;Complete,
trusted solutions and explanations..WE WISH YOU A
GOOD LUCK.
Question 1 Lesego and Phumudzo are the trustees of the Build
Your Own Home Trust, which carries on its business in the
construction industry. Even though the trust deed of Build Your
Own Home Trust does not explicitly authorise the trustee/s to
purchase a back actor to excavate and prepare building sites for
construction, Lesego and Phumudzo purchase a back actor for
the Trust. Considering the requirement that trustees must
preserve trust assets, discuss whether Lesego and Phumudzo
have acted lawfully. 5 marks
Introduction:
A trust is a legal arrangement in which a trustee holds and
manages assets for the benefit of the beneficiaries, as stipulated
in the trust deed. Trustees have a fiduciary duty to act in the best
interest of the trust and its beneficiaries. The case presented
involves Lesego and Phumudzo, the trustees of the Build Your
Own Home Trust, who have purchased a back actor (a type of
heavy construction equipment) for the trust without explicit
authorization in the trust deed. The question arises as to whether
this purchase is lawful considering the requirement that trustees
preserve the trust assets.
This essay will discuss the general principles governing the
powers of trustees, the fiduciary duties they owe to the trust, and
whether the trustees, Lesego and Phumudzo, have acted within
770920) - DUE 16 April 2025 ;100 % TRUSTED ;Complete,
trusted solutions and explanations..WE WISH YOU A
GOOD LUCK.
Question 1 Lesego and Phumudzo are the trustees of the Build
Your Own Home Trust, which carries on its business in the
construction industry. Even though the trust deed of Build Your
Own Home Trust does not explicitly authorise the trustee/s to
purchase a back actor to excavate and prepare building sites for
construction, Lesego and Phumudzo purchase a back actor for
the Trust. Considering the requirement that trustees must
preserve trust assets, discuss whether Lesego and Phumudzo
have acted lawfully. 5 marks
Introduction:
A trust is a legal arrangement in which a trustee holds and
manages assets for the benefit of the beneficiaries, as stipulated
in the trust deed. Trustees have a fiduciary duty to act in the best
interest of the trust and its beneficiaries. The case presented
involves Lesego and Phumudzo, the trustees of the Build Your
Own Home Trust, who have purchased a back actor (a type of
heavy construction equipment) for the trust without explicit
authorization in the trust deed. The question arises as to whether
this purchase is lawful considering the requirement that trustees
preserve the trust assets.
This essay will discuss the general principles governing the
powers of trustees, the fiduciary duties they owe to the trust, and
whether the trustees, Lesego and Phumudzo, have acted within
