Charitable trusts Flashcards
Chain of analogy approach by tax bodies
Scottish Burial Reform v Glasgow (crematorium, burial, church)
Vancouver Regional FreeNet Association (internet highway)
Bodies who decide on this
Attorney General
Charity Commission
Tax bodies
Definition of charity
Preamble (Morice v Bishop)
4 heads of charity (Pemsel)
Within the spirit of the Preamble (National Anti-Vivisection Society v IRC)
Requirement of Charities Act 2011 for definition of charity
S.2(1) of Charities Act 2011 Fall within s.3(1) (list of 13 charitable purposes) Public benefit (s.4)
Public benefit under S.4
No presumption
Identifiable benefit + section of the public + number of factors to be considered
Changed after R (Independent School Council) v Charity Commission case
Identifiable benefit (question of fact)
Benefit that can be recognise or described, but need not be measured
Balanced against any harm that arises at the same time (National Anti-Vivisection Society v IRC)
Must relate to the charitable purpose
Incidental benefit may be relevant
Section of the public requirement
Class of actual and potential beneficiaries must be a “public class” (if not, as good as private purpose trust)
Opportunity to benefit should not be unreasonably restricted
e.g. geographical area ok, charges for receipt of benefits ok but cannot be unreasonable
Section of the public requirement
Class of actual and potential beneficiaries must be a “public class” (if not, as good as private purpose trust)
Opportunity to benefit should not be unreasonably restricted
e.g. geographical area ok, charges for receipt of benefits ok but cannot be unreasonable
Application for political objectives
Incidental political objectives can be accepted e.g. children’s charity for awareness of domestic abuse
Hard to draw in real life
Argument for political charitable trust
Other jurisdictions: AidWatch in Aus (public debate = benefit already), Greenpeace in NZ (court can make policy assessment)
Garton: scant authority for the rule, neglects benefits of politically active and organised civil society
Argument for political charitable trust
Other jurisdictions: AidWatch in Aus (public debate = benefit already), Greenpeace in NZ (court can make policy assessment)
Garton: scant authority for the rule, neglects benefits of politically active and organised civil society
Definition of poverty
Relative term (R Independent Schools Council v Charity Commission)
Moderate means or temporary financial hardship
Re Coulthurst - bank
AITC Foundation - investors
iRC v Oldham Training - unemployed in trade/business
Re de Carteret - annual allowance to widows/spinsters
Subtle distinctions for the purpose for the poor
Re Sanders ('dwellings' for 'working class')
Re Niyazi's ('hostels' for 'workers')Public benefit for poverty
Liberal, can be smaller class of potential beneficiaries (Re Scarisbrick - son and daughter)
Poor relation in poor employee cases
Dingle v Turner (pensions for poor employee)
Confirmed in Attorney v Charity Commission
- relationship of potential objects to one or more individuals
- their or family member’s employment or former employment
- members of unincorporated association or families
Poor relation in poor employee cases
Dingle v Turner (pensions for poor employee)
Confirmed in Attorney v Charity Commission
- relationship of potential objects to one or more individuals
- their or family member’s employment or former employment
- members of unincorporated association or families
Definition of education
Preamble: maintenance of schools of learning, free schools, scholars in universities, education and preferment of orphans
IRC v McMullen: provision of school facilities
Research if it involves dissemination of the results
Incorporated Council of Law Reporting for England and Wales - law reports for legal research, public legal awareness
Re South Place Ethical Society - ethical principles
Re Koeppler - public and international issues
Living in Radiance - no contribution to factual knowledge or skill base (mediation and peace)
Re Hopkin’s - Shakespeare research
Public benefit for advancement of education
Stricter than for poverty
Definition of public for education
Strict approach: no personal nexus
(Oppenheim v Tobacco Securities Trust)
Suggested in Dingle OBITER that Oppenheim was wrongly decided
Definition of public schools
More than minimum benefits to people who would not be able to afford fees (R(Independent Schools Council) v Charity Commission)
Political purposes in education
Campaigning for change in law is not education, since it does not show both sides (McGovern v AG, Southwood v AG)
Education about government policy without partisan stance may be charitable (Re Koeppler’s)
Advancement of religion
S.3(1)(c) of Charities Act 2011
Definition of religion
Wide (Thornton v Howe)
Required faith in a god and worship of that god (Re South Place; problematic)
R (Williamson): seriousness/importance, coherent, typically involves belief in the supernatural, may not always be cogently expressed
Expanded in S.3(2)91): belief in god or no god
Line of cases for Church of Scientology
1999 application:
- supreme being ok
- core practices do not involve reverence or veneration
Hodkin
Current approach to religion
a. supreme being/entity/spiritual principle
b. relationship - worship, reverence, veneration
c. cogency, cohesion, seriousness, importance
d. identifiable positive, beneficial, moral or ethical framework
Gnostic Centre X
Druid Network Y
Jedi Order X
Definition of advancement for religion
Taking positive steps to promote or spread the belief (United Grand Lodge of Ancient Free and Accepted Masons of England)
Definition of public benefit for religion
Intercessory prayers not counted, must be legally capable of proof, edification confined to private space (Gilmour v Coats)
Celebration of religious rite in public space (Re Hetherington)
Spend lives in the word (Neville Estates v Madden)
Private practices not counted e.g. auditing, training (Scientology 1999)
Purposes must be exclusively charitable
Chichester Diocesan Fund v Simpson
