Trusts of Land

• A trust of land is a broad term that is defined in s.1 of the Trusts of Land and Appointment of Trustees Act 1996 (TLATA).
• Trusts are any trust property which consists if or includes land.
• Trusts can be expressly or impliedly done.
• These trusts must have arisen before or after the 1st January 1997.
• When they are implied they can either be through:

  • A resulting trust
  • A constructive trust
• An express trust of land will be created through the use of a self-declaration, in accordance with the terms of the Law of Property Act 1926.
• According to s.53(2) of the Law of Property Act 1925, there is not the necessity for the formalities in the creation of an implied trusts in a similar way as that of express trusts.
• Resulting Trusts of Land

  • Where there is another party who has contributed to the asking price of a property, the legal title owner of Sid property may have to hold on trust for those who have contributed to the asking price.
  • This is in relation to the proportion of the contribution as established in the case Dyer v Dyer.
• Presumption of Resulting Trust

  • Dyer v Duer assumed that there was a presumption that a resulting trust is created where another individual has contributed to the asking price of the property.
  • This is in relation to the proportion of the contribution as established in the case of Dyer v Dyer.
• Constructive trusts of land is limited to a certain number of situations as established in the case of Lloyds Bank v Rosset.