By Simon Barnett
Course Notes is designed that can assist you reach your legislation examinations and tests. each one advisor helps revision of an undergraduate and conversion GDL/CPE legislations measure module by way of demonstrating stable perform in developing and preserving excellent notes. Course Notes will aid you in actively and successfully studying the fabric by means of guiding you thru the calls for of compiling the knowledge you need.
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Extra info for Course Notes: Equity and Trusts
S X being a ‘ﬁduciary’ has a mere power to appoint but he still has ﬁduciary responsibilities. A, B and C cannot terminate the power under Saunders v Vautier as they are not beneﬁciaries nor are they collectively entitled to the property. As this is a mere power with the donee (X) being a ﬁduciary being, can the objects of the power compel the trustee to exercise it? Case: Re Hay’s Settlement Trusts (1982) The only rights of the objects under a mere power where the donee is a ﬁduciary is that they can compel the ﬁduciary to periodically consider: s whether to exercise it or not.
Distinguishing a failure of appointment from a mere substitutional gift (known as a failure of appointees (beneﬁciaries)) s If a beneﬁciary of a testamentary gift predeceases the donor the gift is lost and goes into residue. 2 THE TRUST AND OTHER CONCEPTS Remember: do not confuse this with a discretionary trust – the discretion must be exercised. THE TRUST AND OTHER CONCEPTS 24 s It is common to put substitutional gifts in wills so if the beneﬁciary predeceases the testator the gift does not go into the residue but goes to whomever the testator directs.
1 Express trusts Express trusts tend to be divided into the ﬁxed trust and the discretionary trust; however, there is a hybrid category called the ‘protective trust’. 1 Fixed trusts It is the share that is ﬁxed. Each beneﬁciary has an identiﬁable ‘ﬁxed’ share and the trustees have no discretion to alter this share. ’ Are the above gifts held on a ﬁxed trust? s The ﬁrst gift is a ﬁxed trust as it is to be divided equally. If it is now in operation the shares are said to be vested; they are complete as the children need not do anything or fulﬁl an obligation or condition.