Question: Q2. “The test for certainty of objects has not been applied with either consistency or coherence by the courts and needs to be revisited by the Supreme Court.”
Discuss with reference to the relevant case law.
Mark 65%
Answer: The certainty of objects is an important element in determining the validity of a trust. It relates strongly to the beneficiary principle- this principle cannot be applied to a trust if the beneficiaries, or objects, cannot be identified. In extension to this, having uncertainty with the beneficiaries leads to the risk of a trust for purpose, which is generally deemed invalid under trust law. With regards to the given statement, it can be argued as partially true, with regards to the certainty of objects in fixed trusts. However, the same cannot be said for discretionary trusts and an abundance of conflicting case law supports this view.
In terms of fixed trusts, it can be said that the case law has generally been consistent in terms of certainty of objects. The complete-list test makes this matter very straightforward for fixed trusts, as established in IRC v Broadway Cottages. All ...(short extract)
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- Subject: Law
- Course: Equity and Trust Law
- Level: Degree
- Year: 1st
- Mark: 65%
- Words: 1114
- Date submitted: January 18, 2018
- Date written: March, 2014
- References: No
- Document type: Essay*
- Essay ID: 8260
