NRBDT - trying to understand who the trustees are

najan49

My father has died and I am trying to sort out what to do with his estate.

He had few assets other than the house he owned as tenant in common with my mother, and a life assurance policy that will pay out into his estate.

The house is probably worth about £550k and the life policy is maybe £35-40k.

We assume he owned 50% of the house as there doesn’t appear to be anything to suggest otherwise.

The will, written in September 2000, creates a nil rate band discretionary trust, and I am wondering whether the trustees should just appoint all the assets to my mother. It would certainly be a lot simpler that way I think.

However, I’m struggling to work out who the trustees of the NRBDT are.

In his will he states:

1. I APPOINT my wife Xxxx of xxxx along with my daughter xxxxx and my son xxxxx [me] to be the Executors and Trustees of this my Will

2.1 Trust definitions

IN this part of my Will where the context so admits

…

2.1.2 “the Trustees” shall mean
or other the Trustees for the time being of the Trust Fund


Does this mean that the trustees of the Trust Fund are the same as the “Executors and Trustees” named in section 1 ie my mother, sister and me?

I cannot see anywhere else in the will where trustees are listed but the reading of para 2.1.2 is totally lost to me - it’s as if there was supposed to be something added between “shall mean” and “or other” but nothing was.

Perhaps this is just totally normal legalese?

Keep_pedalling

I think it would be wise to override the NRBDT with a deed of variation, these type of trusts mere made redundant well before 2000 with the introduction of spousal exemption. 

As he had no assets other than the house this seems to be a rather odd clause to be included in the will.

najan49

Thanks for replying.

As I understand it these types of trusts were used up until transferable nil rate bands were introduced in 2007.

He had some other assets previously but has pretty well managed to spend everything on holidays etc until the time came for him to go into a care home. The remaining liquid assets will cover the funeral costs with about £50 left over. Amazing planning!

I was under the impression that we could not use a deed of variation in this situation, but a deed of appointment would be necessary. If a deed of variation will work then that simplifies matters.

Thanks again

Keep_pedalling

Yes sorry I was mixing up TNRB and spousal exemption.