Formalities

Question 1

Mascall v Mascall

Answer 1

Father wished to transfer land to his son, gave him deed of transfer and land certificate, but then changed his mind. Held the title hadn’t passed in equity.

Question 2

Richards v Delbridge

Answer 2

Failed gifts aren’t always trusts. Intention of A to give leasehold to grandson wasn’t effective as there was no deed.

Question 3

Inwards v Baker

Answer 3

Father permitted son to build bungalow on his land instead of buying a smaller bungalow elsewhere. Held that the son’s reliance had given rise to proprietary estoppel.

Question 4

Re Cole

Answer 4

Mr Cole bought a house, told wife “look, it’s all yours”, later went bankrupt. Held that a gift cannot be perfected by showing an object to a donee, must be (1) intention, (2) delivery and (3) acceptance.

Question 5

Rochefoucald v Boustead

Answer 5

Land was transferred to the defendant on the understanding that it would be held on trust for CR, but there was no written agreement. D mortgaged the property. Held: equity will not allow a statute to be an instrument of fraud, to deny the existence of a trust would amount to a fraud.

Question 6

Grey v IRC

Answer 6

Mr Hunter was the sole beneficiary of a trust, his trustees were also the trustees of 6 other trusts in favour of his grandchildren. He gave oral direction for the trust benefitting him to be held for his grandchildren. Held - could be disposition of his equitable interest.

Question 7

Oughtred v IRC

Answer 7

Taxpayer and son owned through a trust the entire beneficial share in a company. She agreed to transfer other shares to him in return for his interest in the shares subject to the trust. House of Lords held that the transfer was only effective once in writing.

Question 8

Vandervell v IRC

Answer 8

V set up a trust to make gift of shares. He included an option for himself to repurchase the shares once a certain level of dividends had been received by the donee. Held: he retained an interest in the shares, hadn’t divested himself absolutely.

Question 9

Grainge v Wilberforce

Answer 9

If V continues to have active duties in respect to the trust then there is no need for writing, if he doesn’t then formalities must be complied with.

Question 10

Thynn v Thynn

Answer 10

Father made wife executrix of will, son persuaded mother to make him executor, and he would hold the estate on trust for her. Held that the trust was valid even in absence of writing because of the son’s fraud.

Question 11

Ottoway v Norman

Answer 11

Testator left property to housekeeper with the agreement that she would leave the bungalow to the testator’s son in her will. Held that she was bound to leave the bungalow to the son. Son also argued that any residuary property should be left to him, but this hadn’t been intended.

Question 12

Re Keen

Answer 12

Giving a sealed envelope to one trustee was sufficient communication of a half-secret trust.

Question 13

Re Snowden

Answer 13

In absence of actual fraud the standard of proof is the ordinary civil standard, on the balance of probabilities.

Question 14

Milroy v Lord

Answer 14

Three ways to make lifetime gift:
Outright transfer of the legal title,
Transfer of the legal title to trustees to hold on given trusts,
And declaring oneself trustee.

Question 15

Re Rose

Answer 15

Transfer of shares was intended, the transfer form had been posted, directors had to approve the transfer. Held that there was not a completed transaction, but the shares passed in equity once everything possible had been done to transfer them.

Question 16

Pennington v Wayne

Answer 16

Extension of the Re Rose principle. Transfer form had been sent to accountant but not company Held that unconscionability prevented the transferor from retaining the shares, they had passed in equity.

Question 17

Fletcher v Fletcher

Answer 17

Where a person has covenanted with a trustee to settle an after acquired sum of money there will be a valid trust.