Podcast Beta
Questions and Answers
What principle does equity primarily serve in the legal system?
What does the doctrine of unconscionability primarily prevent?
In the Earl of Oxford's case, what was a key legal motivation behind the judgment?
Which term best describes the ethical responsibilities imposed by equity?
Signup and view all the answers
What societal issue does equity aim to address through its doctrines?
Signup and view all the answers
What outcome does equity provide when common law leads to injustice?
Signup and view all the answers
How did the political landscape impact equity during the 17th century?
Signup and view all the answers
Why is the ruling in favor of equity significant?
Signup and view all the answers
What does equity typically apply to according to its foundational principles?
Signup and view all the answers
What is meant by equity acting in personam?
Signup and view all the answers
Which of the following maxims of equity emphasizes that equity treats something as completed when it ought to have been done?
Signup and view all the answers
In the case of Chellaram v Chellaram, what legal area was primarily involved?
Signup and view all the answers
Equity prevents individuals from using what as an instrument of fraud?
Signup and view all the answers
How are the maxims of equity characterized in terms of their legal authority?
Signup and view all the answers
What aspect do equity judgments influence as opposed to traditional law?
Signup and view all the answers
Why is it pertinent to study recent case law involving maxims of equity?
Signup and view all the answers
What distinguishes mandatory injunctions from prohibitory injunctions?
Signup and view all the answers
Which of the following best summarizes the role of equitable maxims?
Signup and view all the answers
What does the maxim 'He who seeks equity must do equity' imply?
Signup and view all the answers
Which situation reflects the principle that 'Equity assists the diligent, not the tardy'?
Signup and view all the answers
What does 'Equity will not assist a volunteer' mean?
Signup and view all the answers
What is the primary responsibility of trustees regarding property in a trust?
Signup and view all the answers
What is meant by the maxim 'Equity looks to the intent, rather than to the form'?
Signup and view all the answers
Why is it important for trustees to understand the conditions of a trust?
Signup and view all the answers
In what situation might 'Equity not perfect an imperfect gift' apply?
Signup and view all the answers
What does the maxim 'Equity imputes an intention to fulfil an obligation' suggest?
Signup and view all the answers
What does a power of appointment allow the donee to do?
Signup and view all the answers
What distinguishes a general power of appointment from a specific power of appointment?
Signup and view all the answers
What is a common consequence of lacking certainty in trusts?
Signup and view all the answers
Why do trustees require a precise understanding of beneficiaries?
Signup and view all the answers
What role do dispute resolution mechanisms play in trust management?
Signup and view all the answers
What must the trustee do to uphold the trust in line with the settlor's desires?
Signup and view all the answers
What might Coral's ability to resolve doubts contribute to regarding the trust's validity?
Signup and view all the answers
What does the clause regarding 'ageing hippies' suggest about its enforceability?
Signup and view all the answers
What does the phrase 'in absolute certainty' indicate about Sonia's gift to Julian?
Signup and view all the answers
Which of the following best describes the gift to Julian?
Signup and view all the answers
What is the primary issue with the phrase 'loyal Manchester United fans' in the trust?
Signup and view all the answers
How does the manager of Manchester United play a role in resolving disputes related to the trust?
Signup and view all the answers
What key characteristic distinguishes the clause about Autumn's nephews and nieces?
Signup and view all the answers
What might be a consequence of using precatory language in the will provisions?
Signup and view all the answers
Study Notes
Equity's Role and Maxims
- Equity intervenes to correct unjust common law outcomes.
- The Earl of Oxford's case highlights equity's vulnerability to political influence in the 17th century, being dependent on the King's prerogative. The judgment aimed to resolve the conflict between common law and equity courts.
- Equity's moral underpinnings are enforced through fiduciary duties and protection of vulnerable parties. It prevents unconscionable behavior, especially with unequal bargaining power. This is reflected in doctrines like undue influence and duress.
- Equitable remedies include injunctions (mandatory and prohibitory), constructive trusts, subrogation, equitable tracing, rectification, and equitable compensation/accounts of profits.
- Equitable maxims guide how equity operates; they are not rigid rules but flexible principles.
Key Equitable Maxims and Their Applications
- He who seeks equity must do equity: One seeking fairness must also act fairly.
- He who comes to equity must come with clean hands: Equitable relief requires honest behavior.
- Equity assists the diligent, not the tardy: Prompt action is crucial for equitable relief.
- Equity is equality: Similar situations should be treated fairly and equally.
- Equity will not assist a volunteer: Equity doesn't help those acting without obligation.
- Equity will not perfect an imperfect gift: Equity won't validate incomplete legal gifts.
- Equity looks to the intent, rather than to the form: Focus is on the parties' intentions, not just legal formalities.
- Equity imputes an intention to fulfil an obligation: Assumes intention to fulfill obligations.
- Equity looks on that as done which ought to be done: Treats something as complete if it should have been, even if not formally done.
- Equity acts in personam: Judgments target individuals, impacting conduct or rights rather than property directly.
- Equity will not allow a statute to be used as an instrument of fraud: Prevents unfair use of law to deceive.
Case Law and Application of Maxims
- Chellaram v Chellaram: Illustrates "Equity acts in personam," affecting individuals regardless of property location. The case involved a trust with assets and beneficiaries in multiple jurisdictions.
Trusts and Powers of Appointment
- A power of appointment grants authority to distribute property; it's different from a trust, which imposes a legal duty.
- Types of powers of appointment: general (donee can distribute to themselves) and special (specific beneficiaries).
- Trust validity requires certainty of intention, subject matter (property), and objects (beneficiaries). Ambiguous terms might invalidate a trust unless clarified (e.g., by a third party). A gift over in a default clause strengthens enforceability.
- Precatory words (expressing a wish but not obligation) don't create a trust. Subjective terms in trust descriptions may cause issues but can sometimes be remedied.
Examples of Trust Validity
- A will leaving £5,000 with a non-binding wish for its use is a valid absolute gift, not a trust.
- A will leaving £100,000 to be distributed among "loyal Manchester United fans," with the manager resolving disputes, may be a valid trust despite the subjective term "loyal fans," due to the dispute resolution mechanism.
Studying That Suits You
Use AI to generate personalized quizzes and flashcards to suit your learning preferences.
Related Documents
Description
Explore the essential principles of equity, focusing on its role in correcting common law injustices and the key equitable maxims that guide its application. This quiz delves into historical cases such as the Earl of Oxford's case and examines the importance of equitable remedies and moral responsibilities. Test your knowledge of how equity operates and the implications of fiduciary duties.
