Editing Subrogation (section)

===Subrogation rights against trustees===
A [[trustee]] of who enters into transactions for the benefit of the [[beneficiary (trust)|beneficiaries]] of the trust is generally entitled to be indemnified out of the trust assets; this is secured by way of an equitable [[lien]] or first charge over the trust assets. This is a proprietary security interest.

Trust creditors (that is, persons who have become creditors of the trustee ''qua'' trustee) may be entitled to be subrogated to the trustee's lien. This is a particularly precarious 'right' of trust creditors: a trustee may not have a right of indemnity (for example, because the trustee has committed a breach of trust in incurring the liability to the creditor in question) or it may be limited (for example, where the trustee has committed an unrelated breach of trust and the clear accounts rule operates). In some jurisdictions it is possible for the trustee's right of indemnity to be excluded altogether. In these cases, subrogation may be rendered worthless or impossible.