Lenette Janse De Wit & Others v Toerien De Wit N O & Others

The De Wit Family Trust, a discretionary trust established in 1995 by the late Elbert De Wit Snr, held all the shares in a family business group whose value largely lay in immovable property. After Elbert Snr’s death in 2019, disputes arose between family members who were beneficiaries and trustees. The appellants, aligned with one minority trustee, sought termination of the trust under section 13 of the Trust Property Control Act 57 of 1988, appointment of a receiver, and distribution of trust assets, contending that the majority trustees were using their wide discretionary powers to continue the trust indefinitely contrary to the founder’s wishes and to the detriment of beneficiaries. The majority trustees denied wrongdoing, relying on the trust deed which granted them discretion to postpone vesting and distribution in order to grow the trust assets and income.

The appeal was dismissed with costs, including the costs of senior counsel.

The case reaffirms the strict jurisdictional requirements for court intervention under section 13 of the Trust Property Control Act and emphasises that a founder’s intention is determined primarily from the trust deed itself. It underscores judicial reluctance to interfere with trustee discretion and the continuation of trusts absent clear statutory grounds.