TRUSTS-RIGHT OF TRUSTEE TO PURCHASE TRUST PROPERTY

Authors

Abstract

The trustees under a will filed a petition in the district court asking for an order of court authorizing them to sell and convey to two of the trustees a portion of the real estate held by them in trust, and for authority to sell and convey the remainder of the real estate to the husband of one of the trustees. Three of the beneficiaries were not sui juris, and the remaining beneficiaries refused to give their consent. Held, that a trustee can not purchase trust property from himself when the beneficiary is not sui juris or when he withholds his consent; that the same doctrine which prohibits the trustee from selling to himself likewise prohibits the trustee from selling to his or her spouse; and that the force and effect of the general rule can not be destroyed by a preliminary order granting the trustee permission to become a purchaser, nor by approving a sale to him. In re Holley's Estate (Iowa 1930) 232 N.W. 807.

Recommended Citation

TRUSTS-RIGHT OF TRUSTEE TO PURCHASE TRUST PROPERTY, 29 Mich. L. Rev. 952 (1931).
Available at: https://repository.law.umich.edu/mlr/vol29/iss7/39