Proprietary Estoppel (The Family Home - Implied Trusts and Trusts of the Family Home)- FS Flashcards
(11 cards)
What is the core function of proprietary estoppel in English law?
It prevents a party from denying another’s interest in property where they previously gave an assurance upon which the other detrimentally relied, making it unconscionable to go back on the assurance.
What are the two core elements required to establish proprietary estoppel?
(1) An assurance (active or passive) that an interest would be granted,
and (2) detrimental reliance on that assurance by the claimant
What is the role of unconscionability in proprietary estoppel claims?
The court must find that it would be unconscionable for the party who made the assurance to deny the claimant’s interest in the property.
How can an assurance be made under proprietary estoppel?
Assurances can be either active (explicit verbal/written statements) or passive (inferred from conduct).
Can detrimental reliance consist only of financial contributions?
No. Detriment can include unpaid care, domestic work, or sacrificing career opportunities, provided it goes beyond typical familial obligations.
What is required for detrimental reliance to be sufficient in familial contexts?
The claimant’s actions must go well beyond normal family duties, such as full-time care or relocating and sacrificing significant personal benefits.
What test did the court apply in Re Basham concerning familial care and estoppel?
The court held that only conduct going beyond what is morally expected in a family context would constitute detrimental reliance.
What remedies can a court award for proprietary estoppel?
Remedies are flexible and aim to do the minimum equity to do justice. These include transfer of ownership, financial compensation, equitable interest, or rights of occupation.
How does the court determine the remedy for a successful proprietary estoppel claim?
The remedy is based on proportionality between the claimant’s expectations, their detriment, and the assurance given, considering fairness and the parties’ circumstances.
What distinguishes proprietary estoppel from a constructive trust?
Proprietary estoppel is based on assurance and detrimental reliance, with flexible remedies. Constructive trusts are based on common intention and only grant a beneficial interest.
Can a claim of proprietary estoppel be barred by delay or misconduct?
Yes. Relief may be denied if the claimant delayed unreasonably or behaved inequitably.
