Trust Arbitration in Guernsey

Abstract In 2008, Guernsey adopted the Trusts (Guernsey) Law 2007, which provides in section 63(1) for a binding alternative dispute resolution (ADR) process for claims ‘founded on breach of trust’. Whilst this legislation is in many ways positive, it has been rarely if ever used. The reason seems to be that the legislation is still not regarded as a workable way of achieving finality due to perceived difficulties in securing proper representation of minor and unborn beneficiaries and achieving a binding resolution of trust disputes. Indeed, there appears to be a fundamental incompatibility between trusts and commercial arbitration that has not yet been overcome. This chapter considers why and what more might be done to improve on what is still surely a very promising legislative start.