Docsity
Log inSign up
Docsity
Prepare for your exams
Prepare for your exams

Study with the several resources on Docsity

Earn points to download
Earn points to download

Earn points by helping other students or get them with a premium plan

Guidelines and tips
Guidelines and tips
Sell on Docsity
Sell on Docsity
Log inSign up

Prepare for your exams

Study with the several resources on Docsity

Find documents

Prepare for your exams with the study notes shared by other students like you on Docsity

Search Store documents

The best documents sold by students who completed their studies

Search through all study resources
Docsity AINEW

Summarize your documents, ask them questions, convert them into quizzes and concept maps

Explore questions

Clear up your doubts by reading the answers to questions asked by your fellow students

Earn points to download

Earn points by helping other students or get them with a premium plan

Share documents
download point icon20 Points

For each uploaded document

Answer questions
download point icon5 Points

For each given answer (max 1 per day)

All the ways to get free points
Get points immediately

Choose a premium plan with all the points you need

Study Opportunities

Choose your next study program

Get in touch with the best universities in the world. Search through thousands of universities and official partners

Community

Ask the community

Ask the community for help and clear up your study doubts

University Rankings

Discover the best universities in your country according to Docsity users

Free resources

Our save-the-student-ebooks!

Download our free guides on studying techniques, anxiety management strategies, and thesis advice from Docsity tutors

From our blog

Exams and Study
Go to the blog

Equity and Trusts: Understanding Undue Influence and Unconscionable Dealing, Exercises of Business Economics

University for the Creative Arts (UCA)Business Economics

An overview of the legal concepts of undue influence and unconscionable dealing in the context of equity and trusts. It covers the elements of actual and presumed undue influence, recognized relationships, rebutting the presumption, unconscionable dealing, and defenses and remedies. This information is valuable for university students studying law, particularly those focusing on equity and trusts.

What you will learn

  • What relationships give rise to the presumption of undue influence?
  • What are the elements of actual undue influence?
  • How can a party rebut the presumption of undue influence?

Typology: Exercises

2021/2022

Uploaded on 09/12/2022

mdbovary
mdbovary 🇬🇧

4.8

(8)

215 documents

1 / 4

Toggle sidebar

This page cannot be seen from the preview

Don't miss anything!

bg1
1
EQUITY AND TRUSTS SUMMARY
UNDUE INFLUENCE ............................................................................................................. 2
UNCONSCIONABLE DEALING ........................................................................................... 4
ESTOPPEL ......................................................................... Error! Bookmark not defined.
PART PERFORMANCE ................................................... Error! Bookmark not defined.
FIDUCIARY OBLIGATIONS ........................................... Error! Bookmark not defined.
3RD PARTY LIABILITY .............................................................. Error! Bookmark not defined.
EQUITABLE ESTATES AND INTERESTS ................... Error! Bookmark not defined.
ASSIGNMENT OF PROPERTY IN EQUiTY ................ Error! Bookmark not defined.
EXPRESS TRUSTS ........................................................... Error! Bookmark not defined.
CHARITABLE TRUSTS .............................................................. Error! Bookmark not defined.
RESULTING TRUSTS ...................................................... Error! Bookmark not defined.
CONSTRUCTIVE TRUSTS .............................................. Error! Bookmark not defined.
pf3
pf4

Partial preview of the text

Download Equity and Trusts: Understanding Undue Influence and Unconscionable Dealing and more Exercises Business Economics in PDF only on Docsity!

EQUITY AND TRUSTS SUMMARY

UNDUE INFLUENCE ............................................................................................................. 2

UNCONSCIONABLE DEALING ........................................................................................... 4

ESTOPPEL ......................................................................... Error! Bookmark not defined.

PART PERFORMANCE ................................................... Error! Bookmark not defined.

FIDUCIARY OBLIGATIONS ........................................... Error! Bookmark not defined.

3 RD^ PARTY LIABILITY .............................................................. Error! Bookmark not defined.

EQUITABLE ESTATES AND INTERESTS................... Error! Bookmark not defined.

ASSIGNMENT OF PROPERTY IN EQUiTY ................ Error! Bookmark not defined.

EXPRESS TRUSTS ........................................................... Error! Bookmark not defined.

CHARITABLE TRUSTS.............................................................. Error! Bookmark not defined.

RESULTING TRUSTS ...................................................... Error! Bookmark not defined.

CONSTRUCTIVE TRUSTS .............................................. Error! Bookmark not defined.

UNDUE INFLUENCE

Equity may set aside a transaction if there is a breach of an equitable duty (Nocton v Ashburton) irrespective of intention to cheat_._ The relationship between X and Y may be classified as (actual/presumed) undue influence (Allcard v Skinner). However, a court will not set aside any unfair contract (Bruzewitz v Brown). CLASS 1) ACTUAL It appears that undue influence has been expressly exercised to procure the transaction (Allcard v Skinner). The elements of Aboodi’s Case must be satisfied to successfully argue a case of actual undue influence. The balance of probabilities rests of the P to prove that the D exercised actual undue influence.

**1. Dominant party has the capacity to influence the other

  1. Influence is actually exercised
  2. The exercise of influence is undue
  3. Transaction is a result of the influence CLASS 2) PRESUMED** The relationship between X and Y gives rise to the presumption of undue influence as (it falls within a recognised relationship of influence/appears to be a relationship of trust and confidence and it was of influence, dominance and control) (Allcard v Skinner). CLASS 2A) RECOGNISED RELATIONSHIPS The relationship between X and Y is of a
  • Parent v Child (Lamotte v Lamotte)
  • Solicitor v Client (Verduci v Golotta)
  • Doctor v Patient (Bar Mordecai v Hillston)
  • Spiritual Adviser v Worshipper (McCullough v Fern)
  • Trustee v Beneficiary (only if there is a personal relationship) The P need only prove the existence of the relationship. The onus then falls on the D to rebut the presumption. CLASS 2B) OTHER RELATIONSHIP OF INFLUENCE The relationship between X and Y may be classified as a relationship of influence giving rise to a presumption due to the nature of trust and confidence between X and Y and the dominance and control that the X had over Y (Janson v Janson). P only needs to prove that such a relationship existed and the burden then lies on the D to disprove that the result was procured by the presumed undue influence (Johnson v Buttress) Maliciousness need not be proved to have transaction set aside (Bester v Perpetual Trustee) REBUTTING THE PRESUMPTION The D may attempt to disprove the effect of the presumption by arguing the transaction was entered into without any influence (Johnson v Buttress)
  • Independent advice: May be a valid defence even if advice ignored (Inchie Noria v Shaik) , unless ignored by reason of undue influence. Must be substantial and adequate, which is contextual (Bester v Perpetual Trustees)
  • Adequacy of consideration for the benefit conferred under transaction
  • Yerkey v Jones : Special Wives’ Equity (Garcia v NAB) THIRD PARTIES

UNCONSCIONABLE

DEALING

Equity may set aside a transaction where one party to a transaction is at a special disability or disadvantage, which is sufficiently evident to the other party, and makes it prima facie unconscionable for the other party to take the transaction (Amadio) The elements of Amadio must be satisfied to establish unconscionability

1. Special disability leading to no equality of bargaining power a. Poverty or need of any kind, sickness, age, sex, infirmity of the mind or body, long-term drunkenness, illiteracy, lack of education, or lack of assistance where necessary ( Blomley v Ryan) b. Emotional dependence, infatuation and love, superficial conditions of stress (Louth v Diprose) 2. Disability was sufficiently evident to the other party (knew or should have **known)

  1. Stronger party proceeded to exploit the disadvantage by procuring the** **transaction
  2. Actual and constructive knowledge REBUTTAL** On proof of a special disability and knowledge, the presumption of unconscionable conduct arises – the defendant can then rebut this presumption by proving they did not exploit the disadvantaged to procure a benefit ( Amadio )
  • Gift was not improvident (i.e. there was a sufficient reason for it)
  • Adequacy of consideration for the benefit
  • The contract gave rise to an equal benefit for the plaintiff
  • Independent advice
  • Steps taken to remedy the disadvantage (i.e. if the disadvantage was that the plaintiff did not speak English, that the defendant hired a translator)
  • Presumption that you cannot exploit a disadvantage without knowing about it ( Hart v O’Connor ) DEFENCES AND REMEDIES
  • D: Laches – undue delay by the plaintiff in bringing the case
  • D: Acquiescence – knew of the breach but let it slide for a long time
  • R: Rescission of contract
  • R: Equitable compensation
  • R: Constructive trust over property