Equity and Trusts - Formalities

Alf is holding a painting on trust for Sid. Sid wishes to transfer his interest to his son John. Does he need to comply with the formal requirements in s53 (1) (c) of the Law of Property Act 1925?

• Yes

• No

If Sid tells his son John that he wants to transfer his interest in the painting to him, is this enough to confer the beneficial interest to John.

• Yes

• No

S53 (1) (c) applies only to real property and not to personal property.

• True

• False

Does a direction by a beneficiary under a subsisting trust to a trustee to hold their beneficial interest in favor of another count as a disposition of an equitable interest?

• Yes

• No

All dispositions of equitable interests in trusts must be in writing and signed by the person making the disposition.

• True

• False

Grey v IRC 1960 was an exception to the rule that oral directions are not sufficient means of disposing of an equitable interest.

• True

• False

A beneficiary under a trust can direct the trustee to pass legal title to the trust property to a third party.

• True

• False

In Vandervell v IRC 1967 held that prima facie a transfer of the legal title at the request of the beneficiary carries with it the equitable interest, thereby vesting absolute ownership in the transferee.

• False

• True

If a beneficiary directs the trustee of the trust to transfer legal title to the trust property to a third party, the trust is destroyed and there is no need for a separate assignment of the equitable interest to the transferee. The transferee receives absolute ownership.

• True

• False

Where a contract for the transfer of an equitable interest can be made orally, there is no need for the equitable transfer to be put in writing.

• False

• True