Deck 5: Trust Formation: The Three Certainties

Question 1

Certainty of object focuses on the actual property that the settlor wishes to leave on trust.

Answer 1

False

Question 2

Which two things are necessary before an express private trust is created?

Answer 2

No Answer.

Question 3

In which case was the need for the three certainties in order to establish a trust set out by Lord Langdale?

Answer 3

No Answer.

Question 4

What was the principle set out in Paul v Constance (1977) 1 WLR 527?

Question 5

What was held in Sprange v Barnard (1789) 2 Bro CC 585; 29 ER 320?

Question 6

How can Hunter v Moss be distinguished from Re Goldcorp Exchange (1994) 3 WLR 199?

Question 7

What are the consequences if certainty of subject matter is absent?

Question 8

What is mean by certainty of object?

Question 9

What is a Benjamin Order?

Question 10

Which case set out the principle that settlors have to use words which show a clear intention to subject the recipient of the property to a binding obligation to hold that property on trust for a beneficiary?

A)Adams v Lindsell
B)Re Adams and Kensington Vestry
C)Pepper v Adams
D)Kensington v Smith

Question 11

Certainty of intention means that it must be clear that the settlor truly wanted to establish a trust.

Question 12

It is vital to establish all three certainties in order to create a valid trust.

Question 13

The three certainties help to ensure that a trustee can properly manage a trust.

Question 14

Precatory words are sufficient to create a trust.

Question 15

When creating the trust, the settlor must ensure that he correctly identifies the trust property, so that the trustee can be sure what property he is expected to hold on trust and administer for the benefit of the beneficiary.

Question 16

If the trust property forms part of a larger identical 'batch' of intangible property, then it does need to be precisely identified by the settlor when creating the trust.

Question 17

Trustees of fixed trusts must be able to draw up a complete list of beneficiaries so that they can effectively manage the trust.

Question 18

Trustees for discretionary trusts decide who will benefit from the trust.

Question 19

Express trusts exist to fill gaps.

Question 20

What was the test as set out by Lord Wilberforce in McPhail v Doulton (1971) AC 424.