Self-test questions: The Beneficiary Principle, Perpetuities and Unincorporated Associations

Quiz Content

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. According to Morice v Bishop of Durham, what does every trust require?

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. Which of the following is not a justification for the beneficiary principle?

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. In Re Shaw, what justification was given for concluding that the attempted trust was void for the lack of a human beneficiary?

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. What are the three exceptions to the beneficiary principle identified in Re Endacott?

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. In Re Kelly, what living being was rejected as being the relevant life for the purpose of the perpetuity period for purpose trust?

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. What is the perpetuity period of a private purpose trust?

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. What is the perpetuity period stated in s1 Perpetuities and Accumulations Act 2009?

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. In Re Denley, why was the gift of a sports field held to be a valid trust?

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. Which statement best summarises what an unincorporated association is?

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. What theory, in relation to unincorporated associations, was put forward in Neville Estates v Madden?

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. Which statement best describes the contract holding theory?

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. According to Re Bucks Constabulary Fund (No.2), who receives any assets upon the dissolution of an unincorporated association?

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. According to Hanchett-Stamford v AG, who receives the association's assets when there is a sole surviving member?

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. On what ground can otherwise valid private purpose trusts be held to be invalid?

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. Should a gift or trust be salvaged under the Re Denley rule, will the rule in Saunders v Vautier apply?

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. Tristram wants to leave some land to the employees of a factory (X Ltd) so that they may build a rose garden. He is concerned however that this wish may make it a purpose trust. How should Tristram phrase the gift to best avoid the possibility of the trust being held void for lack of a human beneficiary?

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. Kos is a reclusive academic. He has recently written his will, and in it is a clause requesting that "£345,000 be left for the purpose of researching the possibility of adopting the Norwegian letter ø into the English language". It has already been confirmed by the Charity Commission that they would not consider this to be charitable. What is the most likely conclusion the court would reach in regard the clause?

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. Owusu recently passed away, and in his will left some money to care for his pets. He left £5,000 for the care of his 2-year-old rabbit, £6,000 for the care of his 3-year-old dog, £300 to look after his 4-year-old cat and £9,000 to look after his 17-year-old tortoise. The average life span of the animals is respectively 14, 13, 16, and 220 years. Which animal will likely offend the perpetuity period of a private purpose trust?

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. Solomon wishes to create a trust to look after his pet sloth after he dies. How long will the trust be theoretically valid for after Solomon's death?

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. Nikita wishes to leave something for the people of her local village to remember her by. She's not sure how she should be remembered, and so merely states that 'the villagers should collectively agree what would be best' in her will. Will this clause be a valid private purpose trust for a grave or monument?

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. Judith wishes to create a trust that will benefit her great grandchildren who are yet to be born in her will. How long will the applicable perpetuity period be?

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. Cyril does not like his family, but dislikes the general public even more. Therefore, although he has reluctantly decided to leave his substantial estate to his family, he wants to make them wait to get their hands on the family seat and to remember him. In his will he consequently directs that his house should be "turned into a museum for 21 years after I have died as a monument to my greatness", and that "no member of my family shall be allowed to enter the house for those 21 years". What is the likely outcome of the bequest?

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. Maria wishes to create a society for philately to allow all the local stamp collectors to come together and share their ideas. It is only a side project and nothing too intense – its only property will be the rent for the village hall and the week's tea and vodka fund. What will be the most appropriate legal form for the society to take?

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. Yin wants to set up an unincorporated association for bee keepers. Her cousin wishes to give them a substantial amount of money, but does not want the members to run away with or squander the money. Which document will be key to preventing this from happening?

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. A local Converse appreciation society has recently decided to dissolve itself after an internal dispute. It holds substantial assets. How will the asset be distributed upon the association's dissolution?

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