Sprange v Barnard
(1789) 29 er 320 by Mehul Lunkad
Facts
A testatrix indicated that
property would be left to her
husband to utilise as he
considered appropriate, but
that the remainder of what he
did not desire for his own
wants and use would be
distributed among a number
of beneficiaries.
Issue
Whether a trust was validly
created by the testator's will.
Rule
To ensure a valid trust is formed the following eleme ts need
1. Intention
In order to create a trust , there must be certainty of intent.
The concept of trust is not essential, nor are technical terms, because
equity looks at the intent rather than the form. To inspire trust, the
settlor must indicate a specific objective. The court will interpret the
phrases employed to ascertain the settlor's intent; nonetheless, the
term trust alone is not decisive.
2.Object
A trust must have identifiable beneficiaries because the trust
must be enforced in their favour by the courts if required. This
has also been the root of the beneficiary principle stating that a
private trust must typically be for beneficiaries and not for a
purpose. If the claimant falls within the class of objects and
consequently has locus standi, he or she must prove an interest
in the trust. If the sole reason a trust fails is because the
objects are ambiguous, the trustees will retain the property on
resultant trust for the estate's settler. as well as the subject.
3.Subject Matter
For subject matter certainty, the trust property must be identified
with sufficient certainty to be distinguished from other property.
At the time of its establishment, a trust produces rights and
duties, thus it must be assured at that time. A gift, on the other
hand, only has to be certain at the time legal title is transferred. It
must be certain what property is to be subject to the trusts and
what portion or share of the property each beneficiary is entitled
to, since the trustee must know both.
Analysis
For the leftover property to be deemed as a valid trust it must
have to be in compliance with the three rules aforementioned.
1. Intention to give was established as the will stated that the
property was to be transferred to the husband
2. The object was also fulfillede as the property showed a valid
object
The will which states remaining part of what is left creates
uncertainty because it does not clearly indicate what is left and
what should be taken this uncertainty further escalates when “he
does not want for his own wants and use”
Almost anything can form the subject matter of a trust-but the
property settled must be identified precisely
Conclusion
The court determined that the testator intended to make a gift rather than
establish a trust. Since there was no assurance about the subject matter, the
money was not kept in trust and instead belonged to the spouse as an outright gift.
Almost anything can form the subject matter of a trust but the property settled
must be identified precisely, we would take examples of a failed trust in the
following two cases 'the bulk of my estate' in the case of Palmer v.Simmonds
(1854); 'such parts of my estate as she shall not have sold' Re Jones(1898).These
two cases indicate that thecourt had consistently held this point of view that
uncertainty of subject matter creates a void trust.
Thank you.
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