Fairness and the maxims Flashcards
what is the purpose of equity
to prevent d from acting unconscionably in circumstances where the common law might otherwise allow d to do so
to prevent a fraudster/wrongdoes from taking advantage of the rights of other people
who is a wrongdoer?
someone who may be:
deliberately committing fraud
not acting entirely honestly but not fraud
acting so careless that they should realise would harm others
3 scenarios equity intervenes:
becaus of a contract with d
because d has some conrol over property which is rightfully the victims
because the actions of may affect the victim in the future
what are the maxims of equity
maxims allow equity to operate flexibily on a case-by-case basis (guiding principles on the application of equity)
a. equity will not suffer a wrong to be without a remedy
if common law does not have a remedy, equity will intervene (e.g injunction)
sanders v sanders 1881
b. equity follows the law
equity will usually come to the same conlusion as common law, unless there is a good reason
jones v kernott & stack and dowden- the courts followed equity rather than common law
c. where there is equal equity, the law shall prevail
d. where the equities are equal, the first in time shall prevail
c. if both parties have equal equitable claims, the common law principles will be applied
d. both equally straing cases, the first will be favoured
(equity will chose the most appropriate maxim out of the 2)
e. equity assits the diligent
f. whose who seek equity must do equity
e. too much delay before a person brings a claim limits acess to remedy
f. c must have acted fairly to receive an equitable remedy
g. those who come to equity must come with clean hands
c must not have acted unconsciousably/improperly (principle of fairness)
coatsworth v johnson
h. equity is equality
if you cant find another way to solve a problem, the courts should aim for equality by equal division of the property (counter c and d) depends on the courts discretion
i. equity looks to substance rather than form
the courts try and give effect to the intention of the transaction rather than its superficial appearance
j. equity treats as done that which ought to be done
when a legal formality is missing, equity will step in and accept the transaction
walsh v lonsdale- both parties trying to produce a written legal leese, but not produced in a deed, equity suggested eveything but the last part was right so treated as a lees
k. equity imputes an intention to fulfil an obligation
assumes the individual had an intention to fulfill obligations previously made (such as debt)
l. equity acts in personam
m. equity will not permit a statute to be used as an instrument of fraud
l. can only be inforced against the one defendant
m. d can not rely on the common law for fraud in relation to someone else
n. equity will not permit a person who is a trustee to take benefit from the property as though a beneficiary
o. equity will not assist a volunteer
n. the trustee only holds the property on trust, and cannot take all the rights of the property as though they were a beneficiary
o. equity will not assist a person where they make a claim when no consideration is given (giving something without wanting in return, and then claiming)
