Trust Law Essay Example | Topics and Well Written Essays - 2000 words - 1

Trust Law - Essay Example The facts of the case reveal that there was no such agreement put into writing respecting the purchase of Camelot. In its absence, the relationship of trust, if any, can only be Implied. And according to the book Introduction to Property Law by Dr. Mica Oldham, there are two kinds of Implied Trusts: Resulting Trust and Constructive Trust. Resulting Trusts arise when the parties who purchase a property are: business partners or the money used for the purchase was or was part of the business asset; or mortgagees and the mortgaged amount was used as the purchase money, or; contributors of unequal amount of money to the purchase price. The personalities involved i.e., Arthur, Merlin, Morgana, Lancelot and Guinevere, are not business partners nor was the money used a business asset. Neither are the parties mortgagees. On the other hand, the parties contributed monies for the purchase price: Merlin,  £400,000; Arthur,  £200,000; Lancelot,  £200,000, and; Morgana,  £200,000. Since Arthur had no extra cash to pay for attorney’s fees and registration fees, Guinevere, an old acquaintance, magnanimously loaned him  £5,000. With respect to Merlin and the rest, viz., Arthur, Lancelot and Morgana, a Resulting Trust was created, applying the doctrine of law laid down in the case of Dyer v. Dyer, [1788] 2 Cox Eq Cas 92 at 93 which stated that: However with respect to Arthur, Lancelot and Morgana who gave the equal amount of  £200,000 each, the doctrine laid down in Wilson v Wilson [1969] 3 All ER 945 at 949 which states to the effect that persons whose contributions to the purchase price are in equal amounts are presumed to have created a Joint Tenancy in equity. The Wilson case therefore, provides an exception to the general doctrine held in the Dyer case. To restate: Merlin and Arthur’s group (composing of Arthur, Lancelot and Morgana) created, by implication, a Resulting