Trustees can be held personally liable for breach of trust in circumstances involving failure to adhere to duties, with liability joint and several, subject to defenses.

• Unauthorized investments or disposals: Investing outside authorized scope or selling without power, causing loss (e.g., speculative stocks vs. prudent ones), liable for restitution.
• Negligence in management: Failing prudent care, e.g., not diversifying, as per Speight v Gaunt (1883). In Ghana, amplified by BoG’s risk guidelines for trust funds.
• Self-dealing or conflicts: Profiting personally (Keech v Sandford (1726)), liable to account for profits.
• Failure to protect trust property: Allowing waste or not suing debtors promptly.
• Co-trustee liability: Passive trustees liable if enabling breach (Bahin v Hughes (1886)), unless acting reasonably.
• Defenses: Acting honestly/reasonably (Trustee Act relief), beneficiary consent, or limitation (6 years).
• Practical: In Ghana’s post-2019 cleanup, trustees at failed banks were liable for breaches leading to insolvencies, emphasizing compliance for profitability.

(Marks allocation: 4 marks per circumstance with explanation and case; 4 for defenses/examples.)