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

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

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

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

5. Duties (1) Primary duty Duty of skill and care

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

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

8. Duties (2) Duty to safeguard property Duty to invest

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

10. 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

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

12. Decision-making Trustees Collective responsibility Binding decisions Record-keeping

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

14. Delegation Authority not responsibility Staff Committees Scope of delegation Reporting

15. Catherine Rustomji c.rustomji@hempsons.co.uk 0191 230 6052

16. 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.