Private Purpose Trusts

• What are private purpose trusts?

  They are trusts with no human beneficiaries.
• How do private purpose trusts differ from charities?

  Charities are public trusts and are ultimately different from private purpose trusts.
• Why are private purpose trusts generally considered void?

  They are generally caught by the beneficiary principle.
• What are the exceptions to the general rule regarding private purpose trusts?

  These exceptions are known as “the trusts of imperfect obligation.”
• What are trusts of imperfect obligation (TIOs)?

  • Exceptional cases of non-charitable purpose trusts recognized as valid
  • Justified as concessions to human weakness or sentiment
  • Trustees are not obliged to perform the trust but may do so if they wish
• What are some recognized categories of trusts of imperfect obligation (TIOs)?

  They include trusts for the maintenance of specific animals, graves, private masses, and fox-hunting.
• How do trusts for the maintenance of specific animals differ from charitable trusts?

  They are for specific animals rather than for general charitable purposes.
• What is a valid purpose for trusts regarding graves and sepulchral monuments?

  Trusts for the erection and/or maintenance of graves and sepulchral monuments are valid.
• What is a valid purpose for trusts regarding private masses?

  Trusts for the saying of private masses are valid.
• What is a valid purpose for trusts regarding fox-hunting?

  Trusts for the promotion and furtherance of fox-hunting are valid.
• Will the categories of trusts of imperfect obligation be extended?

  No, these categories will not be extended.
• What is a requirement for trusts of imperfect obligation (TIOs)?

  TIOs are subject to the need for a perpetuity period.
• What happens if TIOs do not have a perpetuity period?

  They will be void for offending the rule against inalienability of property.
• Which rule applies to TIOs according to the study material?

  The common law perpetuity rule applies pursuant to s.18 PAA 2009.
• What is a downside of the exceptions for trusts of imperfect obligation?

  They don’t have human beneficiaries holding a correlative equitable right against the trustee.
• How does a trust for the welfare of animals differ from a trust for the care of a single animal?

  A trust for the welfare of animals is a valid charitable trust, while a trust for a single animal is not charitable.
• What was the outcome of the case Pettingall v Pettingall [1842]?

  It was held as a valid TIO in favor of the mare.
• What is a “Pettingall Order”?

  It is an undertaking that can be enforced if breached or property misapplied.
• What did Will Clapcott Dean bequeath in his will dated 1887?

  He bequeathed his eight horses and ponies and hounds, charging his estates with an annual sum for their maintenance.
• What was the main legal question in Re Dean (1889)?

  Whether the annuity created a trust for the specified animals or was an absolute gift to the trustees.
• What did North J conclude regarding the provision for horses and dogs in Re Dean?

  He held that the trust was valid and not obnoxious to the law.
• What was the specified perpetuity period in Re Dean?

  50 years commencing from the testator's death.
• What speculation arose regarding the court's treatment of the perpetuity period in Re Dean?

  Some commentators suggest that North J realized the animals would not live beyond the perpetuity period.
• What is a valid purpose for trusts regarding graves and sepulchral monuments?

  Trusts for the erection or maintenance of tombs or monuments are valid.
• Why are trusts for the erection or maintenance of tombs or monuments considered valid?

  They have long been regarded as valid even though they are not charitable due to the absence of public benefit.
• What did Harry Dundee Hooper provide in his will regarding his grave and monument?

  He bequeathed a sum for the care and upkeep of the grave and monument of his family.
• What was the outcome of the summons taken out by Hooper's executors?

  The trust for the upkeep of the graves and monuments was held valid for 21 years from the testator's death.
• What did Maugham J reference in his decision regarding the perpetuity period?

  He referenced Pirbright v Salwey, which supported the validity of the trust.
• What distinguishes trusts for private masses from public masses?

  Trusts for private masses aren’t for public benefit and cannot be classed as charitable.
• Under what condition can trusts for private masses be considered valid?

  They may be seen as non-charitable purpose trusts as long as they meet the necessary perpetuity period.
• What was the main issue in Bourne v Keane [1919] regarding the bequest for masses?

  Whether bequests of personality can be applied to private masses for the dead.
• What did Lord Birkenhead LC state about the case in Bourne v Keane?

  He stated it was a difficult and extremely important case requiring careful consideration.
• What year did the testator die in the case discussed?

  1916
• What was a main issue arising from the testator's will?

  Whether bequests of personality can be applied to private masses for the dead
• How long is the case report mentioned in the text?

  112 pages
• Who is the Lord mentioned in the case?

  Lord Birkenhead LC
• What conclusion did Lord Birkenhead reach regarding bequests of personalty for masses for the dead?

  They can be supported by the law of England today
• What is the name of the case discussed in 1932?

  Re Khoo Cheng Teow
• What did the Supreme Court hold regarding the gift in Re Khoo Cheng Teow?

  It was valid with a stated perpetuity period for ceremonies to perpetuate the testator's memory
• How was Bourne v Keane extended in relation to Re Khoo Cheng Teow?

  A trust for masses can be applied to non-Christian ceremonies