Trusts/ wills

Question 1

What are the 2 main types of trust and their subtrusts

Answer 1

Express trusts
trusts that the settlor expressly intends to create- can be for person or for purpose.
sub categories: Individuals: fixed vested, contingent, successive or discretionary interest- (up to trustee)
Purpose : to do soemthing
sub-sub categories:
Personal: bare, contingent, life interest, discretionary

Implied trusts
Trusts that arrise with no express intention exists cause law says it should.
sub cats: Constructive trusts, resulting trusts.
Resulting- automatic (failure of express) or presumed (no evidence of intention to gift)
Constructive-

Question 2

What is a quistclose trust

Answer 2

Barclays v QUistclose: lend money for purpose, until that purpose is done the borrower holds the moeny on trust with lender as beneficiary.
if failure to use for purpose- lender can enforce to get the money back

eg money to build house, if not used on house can be enforced.

Question 3

Rule in Saunders v Vautier

Answer 3

applies if the beneficiaries are:

Absolutely entitled to the trust property (no other potential claimants exist).
In agreement, of full legal capacity, and ascertainable (basically its a postponed payment trust)

applies if the beneficiaries are:

Absolutely entitled to the trust property (no other potential claimants exist).
In agreement, of full legal capacity, and ascertainable

Question 4

Family trusts- Common intention trust

Answer 4

requires either a direct contribution to the purchase price or significant contribution to mortgage payments after purchase. not to the upkeep or extensions/ renovations

Question 5

family trust proprietary estoppel

Answer 5

similar to promissory estoppel-
promise made, rely on to detriment, unjust to go back on.
money for home/ property.

check fror presumtion of advancement- father to child etc

Question 6

family trust resulting trust

Answer 6

court will take a mathematical approach to determining the share on - financial contributions to the purchase at the time of the purchase

court does not consider contributions made after the purchase, such as household expenses and later mortgage payments

Question 7

Can trustee retire/ replaced

Answer 7

s39 can retire without being replace if 2 or mroe remain.
must be done by deed in writing
-if only 1 remains, person desig in trust or remaining trustee must appoint a replacement trustee.

conversely a replacement appointmetn or new appointment must also be done by deed

Question 8

rule against inalienability

Answer 8

trust must set time limit to end 21 years or life in being(must be human). must expressy state the time limit or wrds liek as long as the law allows

Question 9

Req for trust of land

Answer 9

can be orally made
but must make the trust decleration in writing ( paper or in will)