Breach

Question 1

Target Holdings v Redfern

Answer 1

Instructed the trustee to pay the beneficiary directly rather than the trust fund

Question 2

Nestle v National Westminster Bank

Answer 2

There was no guarantee that the trust fund would yield greater growth

Question 3

Bahin v Hughes

Answer 3

You have to monitor the trust thoroughly

Question 4

Ermitage v Nurse

Answer 4

Personal liability can be exempted

Question 5

Walker v Stones

Answer 5

Exemption clauses should not be used all the time

Question 6

s61 Trustees Act 1925

Answer 6

Where the Trustee has acted honestly and reasonably, then he can be relieved from the breach

Question 7

Keech v Sanford

Answer 7

No-conflict rule

Question 8

Boardman v Phipps

Answer 8

Leading case

Question 9

Royal Brunei Airlines v Tan

Answer 9

Sets out objective standard for DisAss - would a reasonable man act dishonestly in such circumstances

Question 10

Polly v Peck

Answer 10

Subjective test for DisAss

Question 11

Barlow Clowes v Eurotrust

Answer 11

Exposed the DisAss- prob in Twinsectra v Yardley which is that in most cases, when the sub Test is applied, then the D can get away. Therefore, this only used the objective test.

Question 12

Knowing receipt

Answer 12

What would the reasonable man do in this situation?