Re Macadam [1946]

Trust had shares in company – trustees appointed
themselves directors.
Could trustees retain the director’s fees as their
own?
Cohen J in Divisional court held they were
accountable.
Cited Lord Herschell’s principle in Bray v Ford.
If trustees were to receive the remuneration, their
obvious interest is to chose themselves for the job.
But duty of trustees is to give estate benefit of
their unfettered advice in choosing persons to act as directors.
Hence had put themselves in position where their
interest and duty conflicted.
Yet goes on to say ‘If I can be satisfied (and this is
the point I have not considered) that they were the best persons to be
directors, I do not think it would be right … to expect them to do the extra
work for nothing’