- Recent court cases have highlighted the importance of the correct wording of binding death benefit nominations.
- You need to execute your binding death benefit nomination strictly in accordance with your trust deed’s requirements.
- You might want to consider recording your decisions as trustee but not explaining them in writing in case you are ever questioned in court.
Beware – binding death benefit nominations are not necessarily the cheap and easy solution you may have been led to believe they are.
This unfortunate lesson has been borne out by two recent court cases.