Article Archives >> Lead Stories >> March 1-16, 2004
Preview of Article:
Beneficiaries of CRUT Have No Standing to Sue For Breach of Fiduciary Duty by Investment Manager
The Trustee alone has standing to pursue claim since the Trustee represents the interests of all
Excerpt
Life income beneficiaries of a charitable remainder unitrust do not have standing to sue a former trustee and investment manager for breach of fiduciary duty when the current trustee adequately represents their interests, the Court of Appeals of North Carolina has ruled.
State rules of civil procedure require that every claim be prosecuted by "the real party in interest," the Court said. Since the trustee has title to the property in the trust, only the trustee has the right to pursue the claim. (Slaughter v. Swicegood , No. COA03-171, 2/3/04.)
Article Archives >> Lead Stories >> March 1-16, 2004
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