Private purpose trusts

Question 1

Morice v Bishop of Durham

Answer 1

Three reasons why private purpose trusts are generally invalid:

1. Unenforceable (lack of beneficiaries)
2. Uncertain
3. Perpetuity

Question 2

Re Elliott

Answer 2

Example of failure of a trust by perpetuity, was for permanent maintenance of a tomb

Question 3

Re Endacott

Answer 3

There are a set of exceptions to the general rule of private purpose trusts which have not been overrule but these are “troublesome” and cannot be extended any further

Question 4

Re Hooper

Answer 4

Exception to general rule - upkeep of grave but perpetuity rule meant imposition of 21 year maximum

Question 5

Re Dean

Answer 5

Exception to general rule - upkeep of specific animal for 50 years but perpetuity rule imposed 21 year maximum

Question 6

Re Hetherington / Gilmour v Coates

Answer 6

Exception to general rule - saying of masses (if public, could be charitable)

Question 7

Re Denleys Trust Deed

Answer 7

A trust was left to maintain a recreational piece of land mainly (but not solely) for the benefit of a group of employees of a certain company. Narrowing of general rule of private purpose trusts as court decided that beneficiaries were discernable (employees) and therefore in fact was not a private purpose trust, so was valid in its own right