is an

English trusts law English trust law concerns the protection of assets, usually when they are held by one party for another's benefit. Trust law, Trusts were a creation of the English law of English property law, property and English contract law, obligations, a ...

case, concerning resulting trusts, the

presumption of advancement The presumption of advancement is a presumption, legal presumption which arises in various List of national legal systems#Common law, common law jurisdictions in relation to the transfers of money or other property. Broadly, the presumption states ...

and illegality.

Facts

A father transferred company shares to his son (presumption of advancement) to preserve them for the family’s benefit because he could be soon liable for dilapidations under commercial leases. It turned out he was not liable. The son refused to re-transfer shares.

Judgment

The

Court of Appeal An appellate court, commonly called a court of appeal(s), appeal court, court of second instance or second instance court, is any court of law that is empowered to Hearing (law), hear a Legal case, case upon appeal from a trial court or other ...

held that the father could demand return of the shares, because his illegal scheme had not in fact been carried into effect. Millett LJ said it was true that an illegal purpose cannot rebut the presumption of advancement, but because the illegal purpose had not been carried out, the father was not precluded of pleading the purpose to claim a

resulting trust A resulting trust is an implied trust that comes into existence by operation of law, where property is transferred to someone who pays nothing for it; and then is implied to hold the property for the benefit of another person. The trust property ...

Notes

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References

* English trusts case law Court of Appeal (England and Wales) cases 1995 in United Kingdom case law

Facts

Judgment

See also

Notes

References