The trustees of any charity have personal duties and responsibilities in the administration of the charity which have been laid down by law. Any breach of duty on their part may result in them being held personally liable, jointly and severally, for any loss falling upon the charity (and therefore upon those who are intended to benefit from it) as a result of their own errors or omissions, or those of their co-trustees, employees or agents.

The Charities Acts 1992 and 1993 have imposed important obligations upon charity trustees, highlighting the trend towards greater responsibility and accountability for those who hold such an office.

A charity may be structured as a trust, as an unincorporated association or as a company. The trustees, committee, directors or officers of that organisation will (regardless of their actual titles) have management responsibility within the organisation for which further personal legal liability can arise quite aside from the charitable function. Frequently, a charity will conduct some of its activity through a separate company, or a trustee may itself be a company; in either instance, the company’s management is at risk.

No-one (however honest and competent) who is concerned in the management or administration of any part of the overall charitable activity can be complacent - mistakes are made and they may prove personally very expensive in terms of the costs of an adequate liability to make restitution.