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Questions and Answers
What is the primary reason for the distinction between equitable compensation and disgorgement?
What is the primary reason for the distinction between equitable compensation and disgorgement?
- Due to evidential difficulties in calculating losses (correct)
- To deter fiduciaries from engaging in fraudulent activities
- To punish fiduciaries for their dishonesty
- To protect the principal's rights and interests
What is the rationale behind the strict application of disgorgement in cases of secret profits?
What is the rationale behind the strict application of disgorgement in cases of secret profits?
- To punish fiduciaries for their dishonesty
- Because the principal's consent is irrelevant in such cases (correct)
- To deter fiduciaries from engaging in fraudulent activities
- Because human nature is prone to dishonesty
In the case of Lister v Stubbs (1890), what was the court's decision regarding the defendant's fiduciary duty?
In the case of Lister v Stubbs (1890), what was the court's decision regarding the defendant's fiduciary duty?
- The defendant was liable for disgorgement of profits
- The defendant was liable for equitable compensation
- The defendant was not liable for any breach of fiduciary duty
- The defendant was under a fiduciary duty in personam to pay over the money to the plaintiff (correct)
What is the purpose of constructive trusts as an equitable remedy?
What is the purpose of constructive trusts as an equitable remedy?
What is the significance of the 'but for' test in equitable compensation?
What is the significance of the 'but for' test in equitable compensation?
What is the remaining amount of money left after fraud proceedings, according to Barnes v Addy (1874)?
What is the remaining amount of money left after fraud proceedings, according to Barnes v Addy (1874)?
What is the key difference between a trustee and a non-trustee in terms of responsibility, according to Baden v Societe Generale (1983)?
What is the key difference between a trustee and a non-trustee in terms of responsibility, according to Baden v Societe Generale (1983)?
What is the term used to describe the situation where an individual willfully shuts their eyes to the obvious, according to the Baden Knowledge Scale?
What is the term used to describe the situation where an individual willfully shuts their eyes to the obvious, according to the Baden Knowledge Scale?
What is the condition that must be met for an agent to be held liable as a constructive trustee, according to Baden v Societe Generale (1983)?
What is the condition that must be met for an agent to be held liable as a constructive trustee, according to Baden v Societe Generale (1983)?
What is the level of knowledge required for an individual to be held liable as a third party, according to the Baden Knowledge Scale?
What is the level of knowledge required for an individual to be held liable as a third party, according to the Baden Knowledge Scale?
What is the main consideration in determining whether a constructive trust can be imposed over profits generated from misappropriated funds?
What is the main consideration in determining whether a constructive trust can be imposed over profits generated from misappropriated funds?
In what type of situation is a constructive trust typically used to address?
In what type of situation is a constructive trust typically used to address?
What is the effect of a constructive trust on the wrongdoer?
What is the effect of a constructive trust on the wrongdoer?
What is the significance of the Sinclair Investments case in the context of fiduciaries and constructive trusts?
What is the significance of the Sinclair Investments case in the context of fiduciaries and constructive trusts?
What is the relationship between a fiduciary and a constructive trust?
What is the relationship between a fiduciary and a constructive trust?
What is the primary principle of Equity in the Earl of Oxford's case?
What is the primary principle of Equity in the Earl of Oxford's case?
In the Insurance Society v Argyll Stores case, what was the remedy granted instead of Specific Performance?
In the Insurance Society v Argyll Stores case, what was the remedy granted instead of Specific Performance?
What is the principle that prevents a claimant from obtaining Equitable relief if their claim is tainted by illegality?
What is the principle that prevents a claimant from obtaining Equitable relief if their claim is tainted by illegality?
What is the test for granting Injunctive Relief in the American Cyanamid case?
What is the test for granting Injunctive Relief in the American Cyanamid case?
What is the purpose of the Mareva Injunction?
What is the purpose of the Mareva Injunction?
In which scenario is the concept of unconscionability most relevant?
In which scenario is the concept of unconscionability most relevant?
What is the primary characteristic shared by the five historical categories of unconscionability?
What is the primary characteristic shared by the five historical categories of unconscionability?
In the case of National Westminster v Morgan (1985), what was the court's finding regarding bank managers?
In the case of National Westminster v Morgan (1985), what was the court's finding regarding bank managers?
What is the role of a court in exercising its equitable jurisdiction, according to Lord Scarman?
What is the role of a court in exercising its equitable jurisdiction, according to Lord Scarman?
What is the result when a party enters into a contract without independent advice, and the terms are very unfair for a grossly inadequate consideration?
What is the result when a party enters into a contract without independent advice, and the terms are very unfair for a grossly inadequate consideration?
What is the essential element in determining whether a lender's reliance on a security given by a wife is unconscionable?
What is the essential element in determining whether a lender's reliance on a security given by a wife is unconscionable?
In what type of relationship is the bank presumed to have constructive notice of possible undue influence?
In what type of relationship is the bank presumed to have constructive notice of possible undue influence?
What is the consequence for a lender that fails to take reasonable steps to ensure it is not bound by the wrongdoing in a surety transaction?
What is the consequence for a lender that fails to take reasonable steps to ensure it is not bound by the wrongdoing in a surety transaction?
What is the significance of the 'put on inquiry' test in surety transactions?
What is the significance of the 'put on inquiry' test in surety transactions?
In what circumstances will a lender be able to enforce a security against a surety wife?
In what circumstances will a lender be able to enforce a security against a surety wife?
What is the primary reason for voiding an agreement due to misrepresentation and exploitation of a person's vulnerabilities?
What is the primary reason for voiding an agreement due to misrepresentation and exploitation of a person's vulnerabilities?
In the case of Credit Lyonnais v Burch (1997), what was the basis for avoiding the transaction?
In the case of Credit Lyonnais v Burch (1997), what was the basis for avoiding the transaction?
What is the definition of unconscionable dealing in Australia?
What is the definition of unconscionable dealing in Australia?
What is the requirement for unconscionable bargain in Canada?
What is the requirement for unconscionable bargain in Canada?
What is the effect of an unconscionable bargain on a contract?
What is the effect of an unconscionable bargain on a contract?
What is the significance of the case of Commercial Bank of Australia v Amadio (1982) in relation to unconscionable bargain?
What is the significance of the case of Commercial Bank of Australia v Amadio (1982) in relation to unconscionable bargain?
What is the main difference between unconscionable bargain in Australia and Canada?
What is the main difference between unconscionable bargain in Australia and Canada?
What is the remedy for an unconscionable bargain?
What is the remedy for an unconscionable bargain?
What is the significance of the case of Uber Technologies v Heller (2020) in relation to unconscionable bargain?
What is the significance of the case of Uber Technologies v Heller (2020) in relation to unconscionable bargain?
What is the effect of a party's vulnerability on the enforceability of a contract?
What is the effect of a party's vulnerability on the enforceability of a contract?
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