Co-Ownership & Trusts in Property Law

A series of flashcards covering essential vocabulary and concepts related to co-ownership, equitable interests, and trusts in property law.

Equitable Interest

An interest in property held by someone who does not hold legal title but has rights to benefit from the property.

Resulting Trust

A trust that arises when one person contributes to the purchase price but the property is held in the name of another.

Constructive Trust

A trust imposed by law to prevent unjust enrichment, arising from the conduct of the parties.

Section 53(2) LPA 1925

Allows implied trusts to give parties not on the legal title a share in the property.

Overreaching

A legal principle that allows a purchaser to acquire property free from equitable interests when purchasing from a sole legal owner.

Bull v Bull (1955)

Case establishing that a direct contribution to purchase price grants an equitable interest under resulting trust.

Equitable Title

The interest held by a party in a property, reflecting their beneficial ownership.

Common Intention

An agreement between parties, either express or implied, regarding shared ownership of property.

Detrimental Reliance

When a party relies on a common intention to their detriment, entitling them to a beneficial interest.

Contribution to Purchase Price

Payments made toward the purchase of property that may establish a beneficial interest.

Gissing v Gissing (1971)

Case affirming that conduct indicating common intention can establish equitable interests.

Express Common Intention

A clear agreement or understanding between parties regarding the beneficial ownership of property.

Implied Common Intention

Common intention inferred from the circumstances or conduct of the parties over time.

Lloyds Bank v Rosset (1990)

Case laying down the test for establishing a constructive trust based on common intention and detrimental reliance.

Stack v Dowden (2007)

Case demonstrating that joint legal ownership implies joint beneficial ownership unless proven otherwise.

Jones v Kernott (2011)

Case allowing for imputation of intentions to determine shares based on fairness in property ownership.

Murless v Franklin (1818)

Established the presumption that parental contributions are intended as gifts to children.

Halifax Bank of Scotland v Brown (1995)

Case clarifying that loans from parents for property purchases do not create resulting trusts for the parents.

Equitable Interest under Constructive Trust

Interests developed due to unjust enrichment or common intention, based on behavior of the parties.

Quantification of Interest

Determining the extent of beneficial interest based on contributions or circumstances.

Contributions to Mortgage Installments

Payments towards mortgage that may establish an equitable interest.

Eves v Eves (1975)

Case where discussions led to the awarding of a constructive trust interest to a non-legal owner.

Pettit v Pettit (1970)

Case stating contributions must be strictly referable to payments towards the purchase price.

Midland Bank plc v Cooke (2008)

Case emphasizing a holistic approach to determining beneficial interests in property.

Oxley v Hiscock (2008)

Case affirming that contributions can establish beneficial interests and shares are determined by fairness.

Geary v Rankine (2012)

Case limiting imputations to quantification issues rather than acquisition of property.

Family Home

Property owned by a couple sharing their lives together, often leading to complex equitable interests.

Law Commission Report No.307

Proposed guidelines for cohabitation financial consequences that have not yet been enacted.

Fluctuations in Legal Interpretation

The evolving nature of case law regarding property rights and equitable interests among cohabitants.

Legal Title vs. Beneficial Interest

Distinction between who holds the title of a property legally versus who benefits from it.

Intention to Share Ownership

A commitment made by parties that shapes their property rights and interests.

Demonstrating Ownership Intent

The need for clear evidence of discussions, contributions, or behavior to establish property shares.