Express Trusts: Constitution of Trusts

Question 1

By what 2 methods is a validly enforceable express lifetime / inter vivos trust constituted?

Answer 1

1. Settlor appoints themselves trustee
2. Settlor appoints someone else trustee - must also transfer legal title in trust property to trustee

Question 2

If a settlor has created a valid express lifetime trust in land, how is this validly constituted when a third party is appointed trustee?

Answer 2

By execution of a TR1 deed of transfer which is passed to the Land Registry

Question 3

What are the requirements for the creation of a valid deed?

Answer 3

A document stated to be a deed/ signed as a deed

Signed in presence of witness, who also signs

Question 4

When does legal title pass for money or chattels?

Answer 4

With delivery

Question 5

What is the rule in Strong v Bird?

Answer 5

If settlor intended to create a trust with someone else acting as trustee but did not transfer legal title in their lifetime, then if same person is appointed PR upon death, that is sufficient to constitute the trust

Question 6

What must a settlor do if they declare themselves and a third party to be trustee?

Answer 6

Transfer legal title from their sole name into joint names