Trust Law: Overreaching and Oral Agreements p2

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Questions and Answers

What is the issue that arises when a trustee conveys property to a beneficiary without their knowledge?

Erosion of trust

What type of agreement is made between the trustee and the beneficiary in a trust?

Mundum agreements

What is overreaching in the context of trusts?

When a beneficiary's interest is detached from the land, and the trustee sells the property

In the case of Burgess v Rawnsley, what was the outcome regarding oral agreements?

<p>The court accepted the oral agreement to sell the property</p> Signup and view all the answers

What is the result of overreaching in a trust?

<p>The beneficiary's interest is detached from the land, and they only receive the proceeds of the sale</p> Signup and view all the answers

What is the issue that arises when a trustee conveys property to a beneficiary without their trust?

<p>Erosion of trust</p> Signup and view all the answers

What happens to the beneficiary's interest in the land when a third party purchases it from the trustee?

<p>It is detached from the land</p> Signup and view all the answers

What is the significance of the case of Burgess v Rawnsley in the context of trusts?

<p>It is okay to accept oral agreements between the trustee and beneficiary</p> Signup and view all the answers

What is the result of the trustee selling the property to a third party without the beneficiary's knowledge?

<p>The proceeds of the sale are received</p> Signup and view all the answers

What is the name for the process where the beneficiary's interest in the land is severed when a third party purchases it from the trustee?

<p>Overreaching</p> Signup and view all the answers

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