Restrictions On Purpose Of Trust

Question 1

Hardie v Morrison

Answer 1

Where the purpose is to promote something that has no meaning the trust will be void from vagueness. In this case it was ‘free thought’

Question 2

Overly wide purposes

Answer 2

Trust purposes can not be so wide that they cinder on the trustees such a wide discretion that it becomes the trustees purposes rather than the truster

Question 3

Sutherland’s Trs v Sutherland

Answer 3

Overly wide purposes

The instruction to the trustees to dispose of the residue of an estate ‘in such a manner they think proper’ was void as was overly wide

Question 4

Warren v Anderson

Answer 4

Discretion to benefit those whom you know respect me was held to be valid as it was a workable trust purpose

Question 5

Angus Exx v Batchans Trs

Answer 5

Public trusts

Charitable purposes and educational purposes held as being valid

Question 6

Blair v Duncan

Answer 6

Public trusts

Public purposes failed

Question 7

Rintoul v Rintoul

Answer 7

Religious purposes not held as valid

Question 8

Bowman v secular society limited

Answer 8

Contrary to morality

A trust purpose will be held void if it is held to be immoral or in other words contra bonas mores - in bad faith

Question 9

Fraser v Rose

Answer 9

Condition in a trust that a daughter had to estranged herself from the mother was not acceptable but trust was given without condition

Contrary to morality

Question 10

Innes v innes

Answer 10

Changing of religion would be contrary to morality

Question 11

Sturrock v rankins trs

Answer 11

Marriage

Question 12

Sutherland’s Trs v verschoyle and ors

Answer 12

Extravagant and wasteful purposes are not allowed, funeral arrangements and memorials

Question 13

McGaig v Glasgow uni

Answer 13

Seen to be wasteful as you cannot set up a trust if it is seen to be a complete waste of money it will be struck down