Mascall v Mascall | |
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Court | Court of Appeal |
Full case name | William James Mascall v William Mascall |
Decided | 13 June 1984 |
Citation(s) | [1984] EWCA Civ 10, (1984) 50 P&CR 119 |
Case history | |
Prior action(s) | Judgment by Edward Nugee Q.C. sitting in the Chancery Division. Claim by the appellant denied. (unreported) |
Court membership | |
Judge(s) sitting | Lawton LJ, Browne Wilkinson LJ, (Sir Denys) Buckley J |
Keywords | |
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Mascall v Mascall [1984] EWCA Civ 10 was an appeal on formalities in English law. The final, registration stage of a witnessed deed of transfer (of land) is not imperative in all circumstances, the court confirmed. Those circumstances include that there must be no detriment to a third party bona fide purchaser or mortgagee for value without notice; and there must be no fraud or abuse of trust as defined by law. It has wider resonance with the formalities of Trusts in English law.
A father wished to transfer (at an undervalue) land to his son. He made and gave him an executed deed of transfer (and as further show of intent the land certificate). Then they fell out, and the father changed his mind. The son had not yet gone through with the registration at HM Land Registry as the Stamp Office wrongly rejected the transfer, namely sending it to the father who was the party but not the applicant. The father argued that it was still his property. [1]
Argument on consideration (value or not passed in exchange for the property):
The judge treated it as common ground the father had no expectation to get £9,000: there was no evidence to that effect. At appeal it was ruled the contrary argument was barred, given the "receipt" for the £9,000 in the transfer deed. Moreover, the evidence showed quite clearly that it was explained to the plaintiff/appellant, the father, before the transaction was carried through that it was being carried through on the basis that he was treated as having received £9,000...it was simply not open to the father, in those circumstances, to raise the question of non payment.
Remaining substantive arguments: Lawton LJ and Browne-Wilkinson LJ gave concurring judgments, upholding the court below, that the property belonged to the son in equity, and was held on trust for the son by the father, because the father had done everything in his power to make the transfer effective. Although without registration, legal title had not passed, title had passed in equity and the father could not take back his agreement. [1]
Sir Denys Buckley concurred.
English trust law concerns the protection of assets, usually when they are held by one party for another's benefit. Trusts were a creation of the English law of property and obligations, and share a subsequent history with countries across the Commonwealth and the United States. Trusts developed when claimants in property disputes were dissatisfied with the common law courts and petitioned the King for a just and equitable result. On the King's behalf, the Lord Chancellor developed a parallel justice system in the Court of Chancery, commonly referred as equity. Historically, trusts have mostly been used where people have left money in a will, or created family settlements, charities, or some types of business venture. After the Judicature Act 1873, England's courts of equity and common law were merged, and equitable principles took precedence. Today, trusts play an important role in financial investment, especially in unit trusts and in pension trusts. Although people are generally free to set the terms of trusts in any way they like, there is growing legislation to protect beneficiaries or regulate the trust relationship, including the Trustee Act 1925, Trustee Investments Act 1961, Recognition of Trusts Act 1987, Financial Services and Markets Act 2000, Trustee Act 2000, Pensions Act 1995, Pensions Act 2004 and Charities Act 2011.
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