§ 3327 — Removal of an officeholder

Delaware § 3327

• Jurisdiction: Delaware
• Title: 12
• Part: Fiduciary Relations
• Ch. 33: ADMINISTRATIVE PROVISIONS

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If a governing instrument expressly permits an officeholder (as defined in § 3326 of this title) to be removed, the officeholder may be removed in accordance with the terms of the governing instrument. In addition, the Court of Chancery may remove an officeholder on the Court’s own initiative or on petition of a trustor, another officeholder, or beneficiary if:

(1) The officeholder has committed a breach of trust; or

(2) The continued service of the officeholder substantially impairs the administration of the trust; or

(3) The court, having due regard for the expressed intention of the trustor and the best interests of the beneficiaries, determines that notwithstanding the absence of a breach of trust, there exists:

a. A substantial change in circumstances;

b. Unfitness, unwillingness or inability of the officeholder to administer the trust or perform its duties properly; or

c. Hostility between the officeholder and beneficiaries or other officeholders that threatens the efficient administration of the trust.

Legislative History

72 Del. Laws, c. 388, § 6 ; 74 Del. Laws, c. 82, § 7 ; 83 Del. Laws, c. 69, § 2