Equity and Trusts Module Descriptor
Equity and Trusts Module Descriptor
Equity and Trusts Module Descriptor
Descriptor
GENERAL INFORMATION
Module Title Equity and Trusts
Module Code LA2002
Module Level 5
Contact email The Undergraduate Laws Programme courses are run in collaboration
with the University of London International Programmes. Enquiries
may be made via the Student Advice Centre at:
www.enquiries.londoninternational.ac.uk
Credit 30
Courses on which this LLB, EMFSS
module is offered
Module Pre-requisite None
Notional Study Time 300 hours
MODULE PURPOSE AND OVERVIEW
Equity and Trusts is one of the seven foundation modules required for a qualifying law degree (QLD)
in England and Wales. Standard Entry and Graduate Entry students on a QLD pathway must pass an
examination in the module in order to meet the requirements of their course.
o This module deals with the rules and principles governing the creation and operation of trusts a
particular method of holding property that developed historically primarily to preserve family
wealth, particularly by minimising liability to taxation. The syllabus focuses on three broad areas:
1. the requirements for establishing a valid trust (including express private trusts; charitable
trusts; implied and resulting trusts; constructive trusts);
2. the powers and obligations of trustees under a valid trust (including appointment,
retirement and removal of trustees);
3. the remedies available when trustees act improperly.
MODULE AIM
This module aims to provide students with a solid understanding of the fundamental principles
of the modern law of trusts and an appreciation of the controversies and difficulties that can
be encountered in this area of law.
1. Contextualise the modern law of trusts within its historical origins and the role of equity in
its enforcement;
2. Classify types of trusts and identify their main distinctive features and purposes;
3. Identify and apply relevant statutory frameworks to the law of trusts;
4. Explain how breaches of trusts arise and identify appropriate available remedies;
5. Explore key issues in judicial decision making, including ethical and societal considerations,
and demonstrate knowledge of the wider academic debates.
LEARNING OUTCOMES: SKILLS
Students completing this module should be able to demonstrate the ability to:
6. Apply knowledge to practical problems and theoretical enquiries demonstrating the ability
to think critically about the issues arising;
7. Summarise key arguments advanced in judicial opinions and academic writings;
8. Distinguish lines of argument and judge relative strengths and weaknesses;
9. Use appropriate legal terminologies specific to the law of Equity and Ttrusts.
MODULE SYLLABUS
(a) Definition and distinction from other legal concepts. Classification of trusts. Equitable rights and
remedies.
(b) Express private trusts. Statutory requirements for creation. Secret trusts. Incompletely
constituted trusts. Certainties of a trust. Protective trusts. Discretionary trusts. Purpose trusts.
(c) Trustees powers and duties. Investment of trust funds. Maintenance and advancement.
Accumulation of income. Delegation of trustees powers and discretions.
(d) Charitable trusts. Definition. Distinctions from private trusts. Classification of charitable trusts.
Doctrine of cy prs.
(e) Resulting trusts. Voluntary conveyances. Purchase in the name of another. Failed trusts.
Presumptions of resulting trust and advancement. Why resulting trusts arise?
(f) Constructive trusts. General nature. Constructive trusts of wrongful enrichment and unjust
enrichment. Constructive trusts arising for other reasons, including the contractual vendor as a
constructive trustee. Comparison with proprietary estoppel.
(g) The appointment, retirement and removal of trustees.
(h) Variation of trusts.
(i) Remedies for breach of trust. Trustees liability to account. Equitable compensation. Exemption
clauses. Trustees right of indemnity or contribution. Dishonest assistance. Knowing receipt.
(j) Claims based on tracing. Tracing rules. Trusts, liens, and subrogation.
Core reading
Students should refer to the following core text. Specific reading references are provided for this
text in each chapter of the module guide:
Penner, J.E. The law of trusts. (Oxford: Oxford University Press, 2016) tenth edition
[ISBN 9780198747598].
Summative assessment is through a three hour and fifteen minute unseen examination. Students
are required to answer three questions out of six. Summative assessment questions test learning
outcomes 19.
Permitted materials
Students are permitted to bring into the examination room the following specified document: Core
statutes on property law 2017-18 (Palgrave Macmillan).