Equity and Trusts (LAWS301) exam notes

A full summary of Equity and Trusts which is great for open book exam. All the examinable points are included and important sections are highlighted.

Some of the covered topics are:

• What is Equity?
• Express trusts
  • Distinction between legal and equitable title
  • Fiduciary relationships
  • The consequences of property being recognised as trust property
  • Types of trust
  • The requirements for an express trust
  • The three certainties
  • Discretionary trusts
  • Formal requirements for creating an express trust
• Resulting and Constructive Trusts
• Resulting trusts
• Constructive trusts
  • The difference between a private express trust and a constructive trust:
  • The institutional (or orthodox) constructive trust:
  • The institutional constructive trust:
  • Assertion made of ownership of property to which another has contributed:
• The Powers and Duties of Trustees and Rights of Beneficiaries
• The Powers of Trustees
• Trustee’s powers:
• The Duties of Trustees
  • To make acquaintance with trust’s terms:
  • To adhere to the terms of the trust
  • To maintain impartiality between beneficiaries:
  • To act in the beneficiaries’ best interests
  • To avoid conflicts of interest (trustees owe a ‘duty of loyalty’ to the trust):
  • Not to profit from the trusteeship:
  • The rule against self-dealing:
  • To act gratuitously (although trustee may be reimbursed):
  • To invest the trust funds:
  • Not to delegate:
  • To be active
  • To act unanimously:
  • To pay the correct beneficiaries
  • To keep proper accounts and give information as required:
• Remedies for Breach of Trust
• Remedies for Breach of Trust
  • Personal claim against trustee to make good a financial loss:
  • Causation and remoteness:
  • Relief for the trustee:
  • Exclusion clauses in the trust deed
  • Doctrine of Laches (slackness)