null
US
Sign In
Sign Up for Free
Sign Up
We have detected that Javascript is not enabled in your browser. The dynamic nature of our site means that Javascript must be enabled to function properly. Please read our
terms and conditions
for more information.
Next up
Copy and Edit
You need to log in to complete this action!
Register for Free
65553
CONSTRUCTIVE TRUSTS
Description
Degree Equity and Trusts Mind Map on CONSTRUCTIVE TRUSTS, created by costafortune on 01/05/2013.
No tags specified
equity and trusts
equity and trusts
degree
Mind Map by
costafortune
, updated more than 1 year ago
More
Less
Created by
costafortune
over 11 years ago
119
1
0
Resource summary
CONSTRUCTIVE TRUSTS
Arise by operation of law, irrespective of parties express or presumed intentions
Court decides when property should be held for benefit of someone whom equity and good conscience demand it to be held for!
HUSSEY V PALMER Paid money, moved into SIL's house, extension not built
CT imposed wherever justice and good conscience require it!
No formal written requirements excluded from s53(1)(b) & (c) does not have to be evidenced in writing
PROFITS BY PERSON IN FIDUCIARY RELATIONSHIP
BRAY v FORD
Person as a FR is not allowed or entitled to make a profit unless expressly provided for
Cannot put himself in position where interests and duty conflict
TITO v WARDELL
Tree analogy While fruit is on the tree, have a FR, once fruit on ground FR is gone.
READING v AG - FR exists when one person entrusts another with a job to perform
Sergeant helping to move contraband
He'd been entrusted to perform a job, the contraband was not part of that job, bribe money recovered
FID liable in 3 circumstances
1) receiving remuneration to which he is not entitled
ie making unauthorised payments to himself - SUGDEN v CROSSLAND £75 inducement to retire
2) Entering into transaction on own behalf instead of principals
KEECH v SANDFORD - market lease for minor, trustee could not keep lease for himself.
C/F RE BISS Widow applying for lease, refused so son took it on, could keep as not a trustee, no FR just one of the next of kin
3) Using confidential information for own ends
KEECH v SANDFORD takeover assisted by confidential information gained whilst working for the trust
IDC v COOLEY C was MD, left job saying ill but really to perform other contract, had to pay back money
C/F QUEENSLAND MINES v HUDSON QM interested in mining operation. H obtained the licences for QM to do job
QM couldn't afford to proceed, H resigned as MD& with QM's knowledge undertook the work. Did not have to pay the profit back.
BRIBES
LISTER & CO v STUBBS
AC held that when fiduciary accepts a bribe, not held as CT
Overturned in AG of HK v REID public prosecutor taking bribes, bought property in NZ with money. Right in rem imposed could claim all the property
followed in CROWN RESOURCES AG v VINOGRADSKY
BUT - SINCLAIR INVESTMENTS UK v VERSAILLES TRADE FINANCE said that AC should follow own decisions unless 'per incuriam or of doubtful reliability
Beneficiary cannot claim proprietary relief unless:
Asset or money was or had been beneficially property of beneficiary
OR, trustee had acquired the asset by taking advantage of opportunity or right which was the beneficiaries
So, personally liable in equity but no proprietary interest!!
Existence of FR question of fact not law from ENGLISH v DEDHAM VALE PROPERTIES LTD
Only arises when a FID uses trust property to make an unauthorised profit
No need to prove fraud
Distinction between
Being held personally liable/in personam
Held as CT - right in rem so rights over property
Show full summary
Hide full summary
Want to create your own
Mind Maps
for
free
with GoConqr?
Learn more
.
Similar
Equity and Trusts, Express Trusts
scott.james.smit
Express Trusts- constitution and formalities
scott.james.smit
Equitable Maxims
ladyamaya86
3 CERTAINTIES
costafortune
HALF SECRET TRUSTS
costafortune
DUTIES OF TRUSTEES
costafortune
Certainty of Objects
scott.james.smit
SECRET TRUSTS
costafortune
Equitable Remedies
scott.james.smit
TRUSTS & POWERS
costafortune
Express Trusts
scott.james.smit
Browse Library