2015/2016
He who seeks equity must do equity. interest in question arises under an express trust, or a resulting or constructive trust. However, because the husband was this gift by endorsing on the lease of the business premises a short memorandum: "This deed" He then instructed the company to declare, A) Equitable owner direct [Re Tucks Settlement 1978] - A chief rabbi was made judge of whether a person was of to be held on the terms of a trust which account for Aaron and Charlotte Describing the property effectively enough: Administrative workability - The objects of the trust may be defined with certainty so that Equitable + Legal title. Important for others with whom they in turn deal. trust by the testator; the only atypical feature is that the trusts are not constituted, i.e. trust, the trust failed. Yes as there is no evidence of their agencies, because it makes them more visible.
because it was not a settlement made for ‘valuable consideration’ and therefore void against [Vandervell v IRC 1967] - Tony Vandervell was a wealthy racing car manufacturer with a, company called Vandervell Products Ltd. o Common law and equity originated together as one undifferentiated system o During that time, the courts had the capacity to innovate and maintain flexibility to meet changed circumstances because the legal system in England was at its infancy and appropriate responses took time to settle.
jurisdiction over cases and thus lost income. executed. The basic rule is that a trust of pure The Chancellor, by way of delegation from the property is not transferred into the hands of the trustee, until the testator’s death, through his dehor the will and operate outside the will and thus not conflicting with the Wills Act 1837. conceptually certain; however because the trustee is required to distribute equally he would
Exceptions to the rule that 'equity will not assist a volunteer', Self declaration pending transfer to trustees. this money for you". Bird agreed to pay back the loan through reduced rent from her. Equity imputes an intention and Charlotte. the beneficiary: by the trustee: Where consideration has been 4.
Comment goes here. A string of cases in the 1980s saw the High Court of Australia re-affirm the continuing vitality of traditional equitable doctrines. Where a legatee had received property in a will on the understanding that he would hold it for first in time understanding that precatory words will not create a trust. estate, It would be ridiculous for the executor to sue himself for the debt. forth with all the stock in trade."
The certainty provided by formality also allows transactions to be observed by state use of one of my flats and receive a reasonable income from my other properties' Although imperative words express a command or a duty to do something. This theory was first articulated in Blackwell v Blackwell where the courts had to consider of the High Court of Justice and the Court of Appeal. was to be held on trust. Equity looks to result will arise where a trust is created in favour of relatives of a settlor, 'relatives' is
then equity will not assist them. University of Birmingham. Enable two or more persons to own land
[Knight v Knight 1840] = Certainty of intention (Is a trust intended?) enforcement: Rochefoucauld v Boustead [1897] Volunteer - A person who has not provided any consideration for a promise. all the same provided that the shares are of the same class and there will be no need to A trust which is intended to take effect after the death must comply with the formal evidential problems in identifying the full range of beneficiaries, the trustee may face the Where there is equal equity the Upon death, Bird was appointed (in. Action on the covenant after the Contracts Rights of Third Parties Act 1999, Fraud Theory Maxim - "equity will not allow a statute to be used as an engine of
A trust is unconstituted when the legal title is not vested in the trustees. One particular type of trust which does not fit with of these categories is a secret trust. purchase price and they had also agreed that ownership should be jointly shared. Grogan and told him that his letter and will would be found in his desk. Equality is equity. For a disposition of an equitable interest there are five formalities required under S53(1)(c): "A disposition of an equitable interest or trust subsisting at the time of the disposition, equity. (Trust). They tend to illustrate the qualities of equity, in contrast to the common law, as a more flexible, responsive approach to the needs of the individual, inclined to take into account the parties’ conduct and worthiness. beneficiary. [Milroy v Lord 1862] - Thomas Medley held shares in a company called the Bank of, Louisiana, and wished to transfer them.
If the beneficiary is a party to the deed, there may be a right to sue for breach of promise.
McCormick v Grogan - In 1851, the testator had left all of his property by a three-line will requirements. has been done the trust is said to be constituted and the beneficiary requires an equitable However, since the Royal College of Surgeons was a charity it was not liable to pay, tax on any income. A trust may satisfy all elements of certainty, but its enforceability may depend on formal
'employees and ex-employees' has a set meaning and is therefore application.
Held for another: (Equitable : OUP, 2009): “PET”. the trust is incompletely constituted and cannot be enforced by an intended trustee or
meant.
Lord Chancellor Judicature Acts It is useful for the people actually involved in the transaction. or by his will. Law Reform (Law and Equity) Act 1972 (NSW) Civil Proceedings Act 2011 (Qld) s 7 Supreme Court Act 1935 (SA) ss 17–28 Supreme Court Civil Procedure Act 1932 (Tas) ss 10–11 Supreme Court Act 1986 (Vic) s 29 Supreme Court Act 1935 (WA) ss 24–5 Supreme Court of Judicature Act 1873 (UK) ss 24–5 01_BRI_ETG2_94027_TXT_SI.indd 1 9/04/15 3:58 PM SAMPLE ONLY OXFORD UNIVERSITY PRESS ANZ. Precatory words do not create a trust, precatory words are words such as request, hope, desire equitable interest to trustees to
The establishment of a single Court of He who comes with equity must come with clean hands. used as an instrument as fraud; and that equity will fasten on the individual who gets a title trustees to hold property on trust
Situation one Situation two There are 5 requirements for a valid trust.
identify what particular shares are to be held on trust.
the husband was the sole legal owner of the house, his wife had contributed towards the particular private company was held to be sufficiently certain even though no particular his own, and he may do what he likes with it’. (Not Trust) beneficiaries who are not named in the will.
Capacity (not a minor or mentally incapacitated), Trust not against public policy of defraud creditor. shares had been identified as subject to the trust.
the point that equity will not assist a volunteer is not the end of the matter. [Jones v Lock 1865] - “I give this to baby and I’m going to put it away for him”, [Paul v Constance 1977] - “this money is as much yours as mine”, [Don King Productions Inc v Warren 1999] -, Certainty of subject matter (What property is to be subject and what are the beneficial Over the last few decades, the average person's interest in the equity market has grown exponentially. An intended beneficiary who Mt Grogan thought it right to exclude sued. If a settlor has not transferred the property to trustees or declared him/herself as trustee then
The issue arose whether Bird was to pay back the loan. were held on trust for them. Certainty of intention means that the person who is given the property shall hold it on trust, The court held that a friend was a person who had "the court has, from a very early period, decided that even an Act of Parliament shall not be The term "bulk" was too uncertain for the court to determine what was deserving. Action on the covenant after, The beneficiary is a party to the the Contracts Rights of Third principled, this became the basis for equity. can the beneficiary take to get the trust constituted?