What is the significance of Henson trusts as outlined in SA v Metro Vancouver Housing Corp?

The significance of Henson trusts, particularly as discussed in the case SA v Metro Vancouver Housing Corp, lies in the understanding of how benefits from discretionary trusts can impact a beneficiary's eligibility for government assistance programs. Henson trusts are specifically designed to allow individuals with disabilities to receive financial support while ensuring that these funds do not disqualify them from receiving essential government benefits.

When a trust is discretionary, the trustee has the authority to decide when and how much to distribute to the beneficiaries. This means that if a beneficiary receives income or resources from the trust that are deemed to be income in the context of public benefits, it could potentially affect their eligibility for those benefits.

Therefore, recognizing the relationship between discretionary trust benefits and program eligibility is crucial for ensuring that beneficiaries receive the maximum amount of support without jeopardizing their access to necessary government services. This understanding is also important for practitioners when advising clients about the creation and management of Henson trusts, allowing them to navigate the intersection of private trust law and public benefits effectively.