Destinations

Question 1

Fleming’s Trustee v Fleming and Machin’s Tr v Machin

Answer 1

1. The pursuers attempted to argue that the property carried by the special destination should not be liable to debts as it was not part of the testamentary estate (it was not part of the will)
2. The court held that it was still in the deceased’s patrimony, so it could be liable to debts

Question 2

Steele v Caldwell

Answer 2

1. There had been an argument that a survivor destination meant it was joint ownership
2. The court held that both have a distinct interest (share)
3. When one of them dies, the other inherits their distinct share
4. Co-owners subject to survivorship destinations are entitled to transfer their pro indiviso share inter vivos

Question 3

Forrest-Hamilton’s Tr v Forrest-Hamilton

Answer 3

1. This was an English case
2. Looking at the bank account terms, there was nothing to suggest it was set up as a special destination
3. This was based on the facts of this case