Rectification CASES

Question 1

Robb v James FACTS

Answer 1

Facts: After the Agreement for Sale and Purchase (ASP) became unconditional, Robb discovered “lost land” and transferred it to his son Gary, who intended to build on it.
Claim: The purchasers argued that there was a common understanding that all land would belong to them and sought rectification of the contract to reflect this intention.

Question 2

Robb v James discussion

Answer 2

Ruling on Rectification: Yes, rectification is applicable.
Key Reasoning:
Equity will prevent rectification if it causes prejudice to a bona fide purchaser for value without notice.
Gary was not a bona fide purchaser because he was aware that the land had already been sold and was involved in discussions with the purchasers.

Question 3

Robb v James held

Answer 3

Outcome: The court imposed a constructive trust because the land was transferred to Gary, who was not privy to the ASP.