Trusts

Question 1

Main points of a Resulting trust

Answer 1

Prove contributed towards purchase price - bricks and mortar

Does not give fair division of value between parties

Not suitable for domestic situations

Question 2

Define a Constructive trust

Answer 2

Determine whether someone who is not on the title should be awarded a beneficial interest

Unconscionable to deny

Suited to domestic situations

Question 3

Two types of Constructive trust

Answer 3

Express - express agreement or express common intention

Grant v Edwards - assurance joint names

Implied - infer common intention from conduct of parties.

Evidence of unspoken agreement.

Claimant prove detrimental reliance on inferred agreement.

Burns v Burns - give up work

Question 4

Explain case of Stack v Dowden [2007]

Answer 4

Clients did not indicate whether JT or TiC on registration. Purchased in unequal shares.

Court held constructive trust applies.

Presumption of equality rebutted.

Wider conduct count towards acquiring an interest

Question 5

Explain case of Jones v Kernott [2011]

Answer 5

When Mr Kernott moved out he was entitled to 50% share

Ceased making contributions - entitled to smaller share?

Court held intentions of parties changed

Quantify shares

Question 6

Explain case of Lloyds Bank v Rossett [1990]

Answer 6

Indirect contribution

Must show express or implied common intention

Mortgage payments or initial payment towards purchase price give rise to inferred agreement

Question 7

What does s6 TLATA 1996 provide?

Answer 7

General powers of trustees

Trustee has powers of an absolute owner

Power to sell

Question 8

What does s11 TLATA 1996 provide?

Answer 8

Consultation with beneficiaries

Can place restriction on proprietorship register to ensure proceeds paid to two trustees - Overreaching

Question 9

What does s12 TLATA 1996 provide?

Answer 9

The right to occupy

Question 10

What does s14 TLATA 1996 provide?

Answer 10

Applications for orders

Apply to court for directions over the dispute

Court determine nature and extent of interest under a resulting or constructive trust

Question 11

What does s15 TLATA 1996 provide?

Answer 11

Matters relevant in determining application

Welfare of any minor

Interest of secured creditor

Intention or purpose of trust

Question 12

Requirements of an express trust

Answer 12

Under s53 LPA 1925 must be in writing an signed by all parties.