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According to the beneficiary principle, a trust must be for the benefit of
Which of the following is NOT a non-human beneficiary mentioned in the text?
What is the reason behind the beneficiary principle?
Which case held that a trust for the provision of a recreation or sports ground, for the benefit of an ascertainable class, is generally outside the beneficiary principle?
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In which circumstances may it be held that there is no trust and the matter is one of contract?
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What are the exceptions to the beneficiary principle known as?
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Which group of exceptions to the beneficiary principle includes trusts for the erection or maintenance of monuments or graves?
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Which type of trust is generally thought to have been unaffected by the Perpetuities and Accumulations Act 1964?
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Which of the following is true about trusts for the saying of masses?
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Which type of trust is considered charitable?
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What did Clauson J do in the case of Re Thompson?
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What is the principle applied in Re Denley’s Trust Deed?
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What did Vinelott J stress in Re Grant’s Will Trusts?
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According to Lewison J in Hanchett-Stamford v A-G, what is the thread running through the cases?
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In what situation must an association cease to exist according to the text?
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What is the purpose of providing a receipt by the treasurer or other proper officer of the recipient society for a legacy to the society?
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Which construction of a gift to an unincorporated association would fail for the want of a beneficiary?
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What happens to the share of an individual member who is beneficially entitled to a gift but cannot claim to be paid out?
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What construction of a gift to an association would be valid if the society is still in existence?
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Study Notes
Exceptions to the Beneficiary Principle in Trust Law
- The beneficiary principle states that a trust must be for the benefit of individuals, except for charitable trusts.
- The beneficiary principle is based on the idea that a trust should be enforceable and controllable by the court.
- There are situations where the beneficiary principle does not apply, such as when the trust is for the benefit of an ascertainable class.
- In Re Denley's Trust Deed, the court held that a trust for the provision of a recreation or sports ground, benefiting an ascertainable class, was valid.
- Some situations may be considered contractual rather than trust arrangements, such as when funds are contributed to a treasurer with a mandate to use them in a particular way.
- There are exceptions to the beneficiary principle, known as unenforceable trusts or trusts of imperfect obligation, which arise under wills.
- Trusts for the erection or maintenance of monuments or graves can be valid if they are part of a church or limited within the perpetuity period.
- Trusts for the saying of masses, if not charitable, may be valid unenforceable trusts if restricted to the perpetuity period.
- Trusts for the maintenance or benefit of animals in general or a class of animals are charitable, but trusts for specific animals may be valid unenforceable trusts if limited to the perpetuity period.
- Trusts for the benefit of unincorporated associations are valid if the purposes are charitable, but recent decisions suggest that non-charitable associations may no longer be considered an exception.
- Miscellaneous cases include trusts for specific purposes, such as the promotion and furtherance of fox hunting, which may be indirectly enforced by obtaining an undertaking from the trustee.
- Unenforceable trusts cannot be considered as valid powers, but a provision drafted as a power to appoint for a specific non-charitable purpose within the perpetuity period may be valid.
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Description
Test your knowledge on the enforceability of trusts and the rule against perpetuities with this quiz. Explore the concept of trust enforcement and understand the implications for residuary legatees.
