Sam is a solicitor and is trustee of both the Pearson Trust and the Winsome Trust. The Pearson Family Trust instrument specifies the trustee is to release $200,000 of the funds settled on trust to purchase secure government bonds. The balance of $200,000 is to pay MoneyMarkets Pty Inc, to invest in speculative international money markets in the hope of making a significant return on the investments. The purchase of government bonds would allow the Trust to recover the initial capital sum in ten years' time. Sam was in the middle of a complex conveyancing matter and neglected to purchase the government bonds. Rather, she paid the whole $400,000 to MoneyMarkets Pty Ltd. MoneyMarkets Pty Ltd have just announced that a liquidator has been appointed and all the money is lost. In January 2021 Sam withdrew $100,000 from the Winsome Trust. Sam had one son, who was in his final year of studying law, and who incidentally achieved very high marks in equity and trusts. The first thing Sam did was deposit $20,000 into Callum's savings account with BankNorth which had a zero balance. Callum thought this was rather odd behaviour on the part of his mother; he knew his mother was intending to wind down the practice as she wanted to retire, and only had a few clients. Nonetheless, he was hardly going to say no to his mother's apparent burst of generosity. He immediately threw a fabulous party on a yacht on Sydney harbour, spending the entire $20,000. The following day Sam bought vintage car for $60,000, which she thought would be a good investment. She then donated $15,000 to Sydney Hospital, where her late husband had received treatment. The hospital used the donation to landscape a special garden for the children's ward, and to purchase a sculpture of Peter Pan for the garden, valued at $5,000. Finally, she bought $5000 worth of tickets in the Sydney Lottery. The lottery was drawn last week, and one of the tickets won a prize of $200,000. Explain what actions and remedies might be available to the beneficiaries of the Pearson Trust and the Winsome Trust.

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