for more information visit us at Small Charities Coalition Duties of a trustee Catherine Rustomji Head of Third Sector North, Hempsons 12 June 2012

Today’s Session Legal structure & terminology Duties and responsibilities Decision-making Conflicts of interest Delegation

Structure & Terminology Charitable Trust Unincorporated Association Charitable company Charity trustees Directors Council of Management/Executive Committee

Duties & Responsibilities Primary duty Skill and care Safeguard property Investment Not to profit personally Conflicts of interest Act personally Statutory duties

Duties (1) Primary duty Duty of skill and care

Standard of Skill A degree of competence which could reasonably be expected of someone with your degree of knowledge and experience

Standard of Care The degree of care a reasonable person would exercise on his own behalf

Duties (2) Duty to safeguard property Duty to invest

Duty to Safeguard Property Maximise assets Best interests of charity Solvency Continued effectiveness

Duty to Invest Standard of care:- that which a prudent business person would observe in making investment decisions on behalf of people for whom they feel morally obliged to provide

Duties (3) Not to profit personally Conflicts of interest Act personally Statutory duties

Decision-making Trustees Collective responsibility Binding decisions Record-keeping

Conflicts of interest What does it mean? Trustees Connected Person Managing the conflict

Delegation Authority not responsibility Staff Committees Scope of delegation Reporting

Catherine Rustomji

Disclaimer This presentation and any accompanying notes are made available on the basis that no liability is accepted for any errors of fact or opinion they may contain. Professional advice should be obtained before applying the information in particular circumstances.