1. Examples
   1. Gift of anything other than FSA in possession or TOY absolute
   2. Always imposed where there is shared ownership
2. Prior to 1 Jan 1997
   1. Strict settlement
      1. Fee simple held by tenant for life
      2. Tenant for life is first person entitled to interest in possession
      3. Tenant for life acts as trustee for other beneficiaries
      4. Trustees of settlement only receive money if estate sold
      5. TLATA 1996: continue until come to an end
   2. Trust for sale
      1. Trustees own legal estate
      2. Theoretical duty to sell immediately
      3. May postpone sale
      4. Trust for sale imposed in shared ownership cases
      5. TLATA 1996: converted to trusts of land
3. General powers of trustees
   1. S6 TLATA 1996
   2. All the powers of an absolute owner
      1. s6(1)
   3. Power to end the trust
      1. s6(2)
   4. Power to sell the trust land
   5. Power to buy legal estate in England and Wales
      1. s6(3)
   6. Cannot buy equitable interest in land
   7. Must have regard to the rights of beneficiaries
      1. s6(5)
4. Specific powers of trustees
   1. Power to partition the trust land
      1. s7 TLATA 1996
      2. May partition between beneficiaries
      3. If of full age
      4. And absolutely entitled to land in undivided shares
      5. Consent of beneficiaries required
      6. Will end trust
   2. Power to delegate
      1. s9 TLATA 1996
      2. Can delegate to attorney
      3. Must be off full age
      4. And entitled to interest in possession under trust
      5. Appointment must be made jointly by all trustees
      6. One trustee can revoke
      7. If attorney sells, money goes to trustees
5. Restricting powers of trustees
   1. Duty to consult beneficiaries
      1. s11 TLATA 1996
      2. When selling land
      3. If of full age and have interest in possession
      4. Should comply with majority wishes as far as possible
      5. Settlors can exclude this duty
   2. Restriction by settlor
      1. s8 TLATA 1996
      2. Private express trusts of land only
      3. May restrict powers in s6 and s7
      4. i.e. not to sell without consent
      5. Should be protected by entry on proprietorship register for registered land
   3. Right of courts to intervene
      1. s14 TLATA 1996
      2. Does not apply to powers excluded by settlor
6. Resolving disputes
   1. Court order
      1. s14 TLATA 1996
      2. Trustees and beneficiaries may apply
      3. Deadlock between trustees
      4. Named person will not give consent
   2. Factors to consider
      1. s15 TLATA 1996
      2. Purpose of trust
      3. Intention of settlor
      4. Welfare of minor who occupies land
      5. Interests of secured creditors of beneficiary
7. Ending the trust
   1. Sale
      1. Sale by trustees ends trust
   2. Saunders v Vautier
      1. Provided of full age
      2. And absolutely entitled
   3. s6(2) TLATA 1996
      1. Can transfer to beneficiaries
      2. If of full age
      3. And absolutely entitled
   4. Partition
      1. s7 TLATA 1996
      2. May divide land between beneficiaries
      3. Must be of full age
      4. And absolutely entitled in undivided shares
8. Protecting the purchaser
   1. Overreaching
      1. Pays purchase price to two trustees
      2. Takes free of equitable interests
      3. Sole personal representative can overreach
      4. Sole trustee cannot
         1. Second must be appointed
      5. Where consents required
         1. s10 TLATA 1996
         2. Only two consents required
         3. Need not check consent of minors
         4. This does not protect trustees
   2. Unregistered titles
      1. s16 TLATA 1996
      2. Do not have to check beneficiaries consulted before sale
      3. Do not have to check had regard to rights of beneficiaries
      4. If sale against law or equity, protected unless had actual notice
      5. If restricted by settlor, protected unless had actual notice
      6. Not sufficient to overreach if had actual notice that transaction is unauthorised
   3. Registered titles
      1. Can overreach an overriding interest under Sch3 p2?
         1. Flegg
      2. Possibly not - to be decided
9. Rights of beneficiaries
   1. Right to be consulted
      1. s11
   2. Right to occupy trust land
      1. Requirements
         1. s12 TLATA 1996
         2. Entitled to interest in possession
         3. Purposes of trust include occupation
         4. Trustees must hold land so that it is available to occupy
         5. i.e. not already leased out
         6. or unsuitable for occupation
      2. May attach conditions
         1. s13 TLATA 1996
         2. Eg must pay outgoings
10. Creating a trust of land
    1. Inter vivos
       1. Set out beneficiaries' interests
          1. Signed and in writing
             1. s53 LPA 1925
          2. Can be in separate trust deed
       2. Must vest ownership in trustees
          1. Deed
             1. s52 LPA 1925
    2. On death
       1. Beneficiaries' interests set out in will
       2. Personal reps vest ownership in trustees
          1. Assent in writing and signed
       3. Where personal reps are trustees
          1. Still need to use assent
    3. Imposed
       1. e.g. shared ownership
       2. Conveyance or transfer to co-owners creates the trust
11. Trusts of land
    1. Applies to all trusts of land, or land and personalty
    2. Trustees not under duty to sell
    3. Still possible to create a trust for sale
    4. Maximum of four trustees
       1. s34 LPA 1925
          1. First four named, if more