Write 11 pages thesis on the topic equity and trusts. Angelina’s estate has been administered and valued at £20,000,000.In order to be able to advise the parties as to the validity of the trusts, it i

Write 11 pages thesis on the topic equity and trusts. Angelina’s estate has been administered and valued at £20,000,000.

In order to be able to advise the parties as to the validity of the trusts, it is necessary to examine how trusts are formed. To do this it is necessary to look at the elements required in order for a trust to be deemed to be valid. In giving advice on the validity of trusts it is important to discuss the three certainties that the courts expect to find within a trust. The three certainties are certainty of intention1, the certainty of subject matter and certainty of object2. Where one of the three certainties has not been present the courts have declared the trust invalid3. On some occasions, the court has allowed trust to succeed were one of the certainties has not been present and in answering the above necessary for completeness that the exceptions should be mentioned as well.

Exceptions have been allowed by the court despite the lack of ascertainable beneficiaries. In Re Thompson [1934]4 the court upheld the gift but only because both the legatee and the beneficiary had applied jointly to the court for the gift to be upheld. If the legatee had not wanted to see the purpose performed and had wanted the gift to fail the court would have awarded in favor of the legatee.

When dealing with the certainty of intention it must be clear to all concerned that the intention was to create trust. To avoid uncertainty it is usual for the settlor to create a trust deed5. The deed should highlight the property concerned, the trustee who is to be appointed and who is to be the intended beneficiaries of that trust. Difficulties arise where there is no deed as there is no evidence in writing to identify the intended beneficiaries6 or to prove the intention of the settlor to create a trust. It is usual practice for the settlor to have the details of the trust included in their will so that the beneficiaries know of their entitlement.&nbsp.