Certainties Of Trust

Question 1

How many certainty are there?

Answer 1

Three

Question 2

1.

Answer 2

Certainty of words( intention)

Question 3

2.

Answer 3

Certainty of subject matter

Question 4

3.

Answer 4

Certainty of object

Question 5

CERTAINTY OF WORDS( INTENTION)

Are technical expression necessary for the creation of a trust?

Answer 5

No

Question 6

What must the testator shoo?

Answer 6

The settlor or testator must have shown an intention to create a binding dirty to carry out his wishes and his words must show it

Question 7

Will the use of precatory words create a trust?

Answer 7

No it won’t

Question 8

Examples of precatory words?

Answer 8

Hope, wish, recommend, in full confidence

Question 9

In earlier times do the court the courts of equity infer a trust a trust from precatory words?

Answer 9

Yes

Question 10

Modern approach

Answer 10

Against it

Question 11

Case?

Answer 11

Re Steele’s will Trust

Question 12

What was held inter case?

Answer 12

Held that if a particular form of words creates a terabyte, then the use of the identical words today will also create a trust

Question 13

Case?

Answer 13

Re Adams and Kensington vestry

Question 14

What happened in the case?

Answer 14

The testator gave property to his wife ‘in full confidence that she will do what is right as to the disposal there of between my children’

Question 15

What was held?

Answer 15

There was no trust in Favour of the children, and the wife took beneficially

Question 16

CERTAINTY OF SUBJECT MATTER

This is considered two heads namely?

Answer 16

Certainty as to property

Certainty as to beneficial interest

Question 17

Certainty as a property

The instrument creating the trust ?

Answer 17

Make it clear what property is to be bound by the trust

Question 18

What happens where the property is not defined?

Answer 18

No trust is established

Question 19

Case? Judge?

Answer 19

Mussoorie Bank v Raynor

Sir A Hobhouse

Question 20

What happened ?

Answer 20

The testator gave property to his wife and directs that ‘such part of it as may not be required by her’ shall after her death, be held on trust for his children

Question 21

What did the court hold?

Answer 21

Held that the trust for the children was void for uncertainty

Question 22

Where the testator, after making an absolute gift to his wife, directed that at her death ‘such parts of my estate as she should have sold or disposed of’ should be held on trust for certain other persons?

Answer 22

There is uncertainty of property

Question 23

Case?

Answer 23

Re Jones

Question 24

Case?

Answer 24

Palmer v Simmonds

Question 25

What was held in the case?

Answer 25

Held that a declaration of trust as to ‘the bull of my residual you estate’ failed to create a trust

Question 26

Certainty as to beneficial interests | Must the beneficial interest to be taken by each beneficiary be certain?

Answer 26

Yes

Question 27

Case?

Answer 27

Boyce v Boyce

Question 28

What are the facts of the case?

Answer 28

A testator devised all his houses to trustees in trust for his wife for life and after her death in trust to convey one of them to his daughter Maria whichever she might choose, and to convey the others to his daughter Charlotte. Maria died in the testator’s lifetime and therefore was not able to choose any particular house

Question 29

What did the court hold?

Answer 29

The court held that Charlotte couldn’t claim since the beneficial interests were uncertain

Question 30

Exception?

Answer 30

Where the trustees are given a discretion as to the precise amount that each beneficiary is to receive

Question 31

Known as?

Answer 31

Discretionary trust

Question 32

The principle of certainty of beneficial interest is in which case?

Answer 32

Lassence v Tierney

Question 33

What is the principle?

Answer 33

Where property is given on trust for a principal beneficiary , subject to the rights of other beneficiaries to an uncertain part of the property, the uncertain trust will fail and the principle beneficiary will be entitled

Question 34

What will the court apply as to uncertainty ?

Answer 34

The maxim ‘ Equality is Equity’ and divide the property equally btw the beneficiaries

Question 35

CERTAINTY OF OBJECTS | What does this requirement mean?

Answer 35

Means that the identity of the beneficiaries must be described and indicated with certainty

Question 36

Will trust for vague purposes fail?

Answer 36

Yes

Question 37

Exception?

Answer 37

If the purpose are charitable

Question 38

Case?

Answer 38

Re Astor’s Settlement Trusts

Question 39

What was held?

Answer 39

A trust of a large fund for the purpose of ‘the maintenance of good understanding between nations’ and ‘the preservation of the integrity of newspapers’ was held void

Question 40

Is there a valid trust where property is given to a vague class of beneficiary such as ‘dependent’

Answer 40

No

Question 41

Why?

Answer 41

Because it isn’t possible to ascertain precisely which person would come within the definition of ‘dependent’

Question 42

Cases?

Answer 42

Re Ball | Sase v Moore

Question 43

What was held to be held on trust for?

Answer 43

Me

Question 44

What was necessary where the trustee is required to be able to ascertain all the members of a class of beneficiaries?

Answer 44

To be able to ascertain all the members of the class at the time the settlement came into effect

Question 45

Case?

Answer 45

I.R.C v Broadway Cottages Tfust

Question 46

Is this an old law?

Answer 46

Yes

Question 47

What is the new law?

Answer 47

Trust is valid if it can be said with certainty that any given individual is or is not a member of the class

Question 48

Case?

Answer 48

Mcphail v Doutton