Guide

My trust, your rules? The English Court's reach over Guernsey family trusts

Every so often, trustees based in Guernsey find themselves caught in the middle of a divorce dispute between one or more of the beneficiaries of the trust. A plethora of articles is available on the various issues that arise for a trustee in such circumstances, including on whether the trustee should submit to the jurisdiction of the foreign court where the divorcing beneficiaries live abroad. This article focuses on the effective variation of Guernsey trust instruments by the English Family Court and what steps a local trustee can consider taking to minimise the English's Court's reach over the trust.