Chapter 5 Multiple choice questions

. Which of the following is not a recognised mode of constituting a trust?

The creation of a trust in a will.

Dying after declaring that one will make an outright transfer of property to certain other people but before making the transfer.

The declaration by an absolute owner that he henceforth holds his property for the benefit of certain other people.

The transfer of property by an absolute owner of that property to others to hold on trust for certain beneficiaries.

. Which of the following pairs of maxims underpins the judgment of Turner LJ in Milroy v Lord (1862) 4 De G F & J 264?

equity will not assist a volunteer & there is no equity to perfect an imperfect gift.

equity will not assist a volunteer & equity looks to substance not form.

equity sees as done that which ought to be done & equity will not assist a volunteer.

equity sees as done that which ought to be done & there is no equity to perfect an imperfect gift.

. Which of the following statements best summarises the current law governing constitution of trusts?

"the settlor must have done everything which, according to the nature of the property comprised in the settlement, was necessary to be done in order to transfer the property and render the settlement binding upon him".

"the settlor must have taken the step of instructing his solicitor or other agent to prepare those documents which, according to the nature of the property comprised in the settlement, are necessary to be prepared in order to transfer the property and render the settlement binding".

"the settlor must have done everything within his power which, according to the nature of the property comprised in the settlement, was necessary to be done in order to transfer the property and render the settlement binding upon him".

"the settlor must try to transfer the property and render the settlement binding upon him, but it will suffice to die trying".

. Which of the following principles contributed most to the outcome in T Choithram International SA v Pagarani [2001] 1 WLR 1, Privy Council?

"equity will not perfect an imperfect gift"

"equity will not aid a volunteer"

"equity will temper the wind to the shorn lamb"

"equity will not strive officiously to defeat a gift"

. The principle that, where a gift is imperfectly constituted, the court will not hold it to operate as a declaration of trust, does not prevent the court from construing it to be a trust if that interpretation is permissible as a matter of construction, which may be a …………. construction. What is the missing word from the preceding quote from the judgment of Arden LJ in Pennington v Waine ([2002] 1 WLR 2075?

Creative

Sheepish

Benevolent

Paternalistic

. Which of the following facts of the case is the best candidate to justify the decision in Pennington v Waine ([2002] 1 WLR?

Harold signed a form of consent to become a director without limit of time knowing he could not become a director without shares in the company.

Mr Pennington told Harold that he need take no further action to perfect the gift.

Ada told Harold about the gift.

Ada made the donation of her own free will, signed the share transfer form and delivered it to Mr Pennington to secure registration.

. "…when a testator makes his debtor executor, and thereby releases the debt at law, he is no longer liable at law. It is said that he would be liable in this Court [i.e., Chancery]: and so he would, unless he could shew some reason for not being made liable. Then what does he shew here? Why he proves to the satisfaction of the Court a continuing intention to give - the transaction is [therefore] perfected, and he does not want the aid of a Court of Equity to carry it out, or to make it complete, because it is complete already, and there is no equity against him to take the property away from him".
This is a statement of which of the following rules or principles?

The rule in Strong v Bird

The principle of Donatio Mortis Causa

The rule in Milroy v Lord

The equitable principle of release

. Which of the following is not a requirement for a valid Donatio mortis causa?

The circumstances of the donation must show that the donor has the right to revoke the gift if should recover.

The circumstances of the donation show that it will only take effect if and when his contemplated death occurs.

Delivery to the donee of 'dominion' over the subject matter of the gift.

A donation in expectation of premature death.

. According to Jackson LJ in King v Dubrey (also known as King v Chiltern Dog Rescue) [2015] EWCA Civ 581, Court of Appeal, which feature of donatio mortis causa has been called "amphibious" and "slippery"?

The requirement that the donor 'should be contemplating his impending death…in the near future for a specific reason"

The requirement that the donor should pass "dominion" to the subject matter of the gift.

The requirement that the form of the gift must be such that it "will only take effect if and when the donor's contemplated death occurs"

The requirement that the donor "reserves the right to revoke the gift at will".

. In Day v Royal College of Music [2013] EWCA Civ 191; [2014] Ch 211, The Court of Appeal upheld the judge's decision that the Rule in Strong v Bird operated to perfect the formal imperfections of the gift when, upon Sir Malcolm's death, Mr Day became an ______ under Sir Malcolm's will. What is the missing word?

Trustee

Beneficiary

Executor

Legatee

Chapter 5 Multiple choice questions

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