Equity & Trusts

DKLR Holding v. Commissioner of Stamp Duties

The trustee has all the legal rights of full ownership but they can’t use them for themselves while the trust exists.

Royal Brunei Airlines v. Tan ; Henry v. Hammond

The requirement of keeping money separate indicates a creation of a trust.

Quitclose Trust

money loaned for a specific purpose is held on trusts for the that purpose till it is utilised for said purpose. After which it becomes a normal debtor/creditor relationship

Express Trusts

A trust created intentionally by the settlor through a clear declaration or agreement, specifying terms and beneficiaries.

Fixed Trust

A trust where the beneficiaries and their entitlements are clearly defined and specified by the settlor, providing no discretion to the trustee.

Discretionary Trust

Trustees have discretion in distributing trust property, this involves distributing amongst a class of beneficiaries decided by the trustee but the amount can vary and be unequal and some may get no benefit at all.

Mixed Trusts

A trust containing both discretionary and fixed elements.

Contingent Interest

An interest that arises contingent on a specific event occurring

Defeasible Interest

An interest that is defeated on a specific event occurring

Successive Interest

A trust may have interest arising one after another, such that one carries it for their life time and other who has the benefit after the demise of the life tenant.

Bare Trusts

The only term in such trusts is that the trust property is held to the order of the beneficiary.They can be set up, arise by operation of law, or when someone falls into property.

Testamentary Trust

A trust that becomes active on the death of testator

Inter vivos trust

A trust that becomes active during the life time of the settlor.

Purpose Trust

A trust made to fulfil an objective. does not have beneficiaries, typically void if they are not charitable.

Statutory Trust

A trust arising through legislative provisions.

Constructive Trust

A trust made by law as opposed to a declaration. Can be through; breach of fiduciary duty, unjust enrichment, contract for sale of land, family home acquisition.

FHR European Ventures v. Cedar Capital Partners

constructive trust arising through breach of a fiduciary duty.

Chase Manhattan v. Israel-British Bank

constructive trust arising through unjust enrichment.

Stack v. Dowden

Constructive trust arising through family home acquisition.