In short: In Hartmann and Others v Hacker NO and Others (opens in a new tab) ([2026] ZASCA 46), decided on 8 April 2026, the Supreme Court of Appeal held that trustees who miss a deadline in the trust deed lose the power that deadline protected. The trust deed gave the trustees six months after the last founder's death to postpone distributing the trust capital. No valid decision was made in time, and a resolution 15 months later couldn't fix it. The court declared that the capital became distributable on 22 January 2022.
Why this case matters
Most trust deeds contain powers that must be used within a set period, or by particular trustees only. Trustees often treat these clauses as formalities and sort out the paperwork later. This judgment shows that "later" can be too late, and that the cost is paid from the trust, and so from the family's inheritance.
The facts
• Faith and Johan Hartmann created the Hartmann Family Trust in 1983.
• Clause 12.1 of the trust deed said the trust capital would be distributed six months after the death of the surviving founder. The trustees could choose a later date, up to 50 years, but only if they decided this before those six months ran out.
• Faith, the surviving founder, died on 22 July 2021. The six months ended on 22 January 2022.
• There were three trustees: Inge, her husband Timothy, and Wendy. Clause 6.1 stopped a trustee who was a beneficiary, or that trustee's spouse, from deciding on distributions to that beneficiary. That left Wendy as the only trustee entitled to take the decision.
• In September 2022, the grandchildren asked when they would receive their share. Inge said "the trustees" had decided to postpone the distribution.
• In October 2022, about 15 months after Faith's death, the trustees signed a resolution to ratify a decision they said had been taken collectively in July 2021. Their own affidavit later said Wendy alone had decided. In June 2023, they announced a distribution date of 29 February 2024.
• The grandchildren applied to court. The Free State High Court dismissed their application, finding they had no standing to bring it. They appealed.
What the Supreme Court of Appeal decided
1. The beneficiaries could sue. Beneficiaries who have accepted benefits under a trust have enforceable rights, even if their benefits are contingent or discretionary. Trustees owe their duties to all beneficiaries.
2. The deadline was strict. Read in context, clause 12.1 required both the decision to postpone and the new date to be fixed before the six months expired. Once the window closed, the power lapsed.
3. Ratification couldn't fix it. A resolution 15 months later couldn't bring back a power that had already lapsed. The court said this was not a case of a majority decision of the trustees. It was a decision taken by the wrong people, too late and without a proper record.
4. Good reasons weren't enough. The trustees had real commercial concerns, including a beneficiary's finances and a company in liquidation. But section 9(1) of the Trust Property Control Act required them to act with care and diligence, which meant getting the authorised trustee to decide within the six months.
The court declared that the distribution event occurred on 22 January 2022. It refused to make the trustees pay the costs personally, because they hadn't acted in bad faith or unreasonably enough to justify that. Both sides' costs were paid from the trust.
Practical lessons for trustees
• Diarise every deadline in your trust deed now. Don't wait for a death or other trigger. List each time-limited power, what triggers it, and when it expires.
• Know who may decide. Check the deed for clauses that disqualify trustees who are beneficiaries, or their spouses. Confirm who is authorised before the decision is needed.
• Decide and minute in time. Record the authorised trustee's decision and reasons in signed minutes before the deadline. A decision that isn't recorded is hard to prove, and a later ratification may be worthless.
• Don't let advice delay the decision. If you need legal or tax advice, get it early enough to act inside the window.
• Remember who pays. When trustees get it wrong, the litigation is usually paid from the trust, which reduces what the beneficiaries receive.
Frequently asked questions
Can trustees fix a missed deadline by passing a resolution afterwards? Not where the deed gives a power that must be used within a period. Once that period ends, the power lapses, and a later resolution can't revive it.
Can grandchildren or other contingent beneficiaries take trustees to court? Yes. The court confirmed that beneficiaries who have accepted benefits can enforce proper administration of the trust, even if their benefits are discretionary or contingent.
Do all trustees have to agree? It depends on the trust deed. Some decisions require all trustees, some a majority, and some exclude conflicted trustees altogether. In Hartmann, only one of the three trustees was allowed to decide.
How Lawvero can help
Most trust disputes start with an administrative slip: a missed date, a missing minute, or the wrong trustee signing. Lawvero's annual trust administration, from R495 per month, keeps your trust's deadlines, resolutions and Master's records up to date. To have your trust deed reviewed and its key dates diarised, WhatsApp us on 065 764 3430 or email office@lawvero.co.za.
Related reading: Can you pull a family trust into your divorce? (S v S and Others [2026] ZANCHC 86)
Lawvero provides document preparation services and does not provide legal advice. This article is a general summary of a court judgment and is not advice on your specific situation.