Re the Ta-Ming Wang Trust Cause no. FSD 0089 of 2010

January/February 2013 #126

The first plaintiff (TMW) and members of his family are the beneficiaries under the Ta-Ming Wang Trust (the trust). The trust was intended to take advantage of a well-established tax-saving structure under which a foreign national such as TMW immigrating into Canada could obtain a five-year Canadian tax holiday on foreign source income earned by a non-resident company, owned by a non-resident trustee; ie on income by way of dividends paid by the company to the trust during the five-year tax holiday. It was established by a settlement dated 2 May 1996 made between TMW’s mother as settlor ...

Thomas v Jeffery & ors [2012] EWCA Civ 693

January/February 2013 #126

The appellant (Richard) had successfully brought an application for reasonable financial provision from the estate of his late father. This had been initially expressed as a family provision and proprietary estoppel claim for some 50% of the deceased’s estate. The proprietary estoppel claim was dropped but the level of provision claimed under the Inheritance (Provision for Family and Dependants) Act 1975 remained unaltered.

Richard provided little information on his financial position until directed to do so by the recorder at trial. This late disclosure proved the...

Vimercati v BV Trustco Ltd & ors [2012] EWHC 1410 (Ch)

January/February 2013 #126

The claimant, Ambra (A), who had been a beneficiary under the MBV Trust, disputed the price obtained by BV Securities for its 20% shareholding in Air Italy in view of certain subsequent transactions involving Meridiana and Air Italy Holdings, a company in which the third defendant and protector of the trust (G) had an interest through his investment holding company. A also threatened breach of trust proceedings against the trustees. G and the fourth and fifth defendants, his wife and son, remained beneficiaries under the trust but A’s interest had been severed under a deed of appoi...

Bieber & ors v Teathers Ltd [2012] EWCA Civ 1466

January/February 2013 #126

The defendant (Teathers) promoted a series of unregulated collective investment schemes intended to take advantage of tax reliefs available on investments in TV productions. UK tax payers were entitled to write down 100% of any expenditure on a film or TV production certified as a British Qualifying Film. The schemes had not proved successful. Many of the productions were commercial failures and a number of them had not been certified as British Qualifying Films and were illegible for the tax relief that was the rationale behind the schemes. The claimants argued that money invested in th...

Bradbury & ors v Taylor & anr [2012] EWCA Civ 1208

January/February 2013 #126

William Samuel Taylor (deceased) and his late wife lived in a large property, set in 15 acres of grounds, called Lower Manaton (property), near Callington in Cornwall. The deceased made a will in 1998 by which the defendants, who were his nephew and niece, were to be allowed to occupy the property for seven years after his death, on stated terms and conditions. At the same stage in late 2000 the deceased proposed that the defendants, who lived in Sheffield, should move to Cornwall and occupy part of the property with their two children. The first defendant favoured the idea; the second d...

Buzzoni & ors v HMRCC [2012] UKUT 360 (TCC)

January/February 2013 #126

On 5 June 1996 Mrs Kamhi purchased a lease (the headlease) of a flat in Knightsbridge, London. On 21 November 1997 Mrs Kamhi granted an underlease (the underlease) to Ovalap Nominees Ltd. The underlease was granted without rent or premium being payable. On the same day Mrs Kamhi created by deed a settlement. The trustee was Legis Trust Ltd and the trust property was the underlease. Ovalap entered into the underlease as bare nominee for Legis Trust Ltd.

On 24 March 2004 Parkside (Knightsbridge) Residents Ltd then granted Mrs Kamhi a new lease over the flat commencing 1 April 2003. ...

Re Clarke 10370284

January/February 2013 #126

A previous order of the court had invited any parties seeking costs to lodge written submissions. Family members and the professional deputy submitted that their costs should be charged to Mrs Clarke’s estate.

Michael Clarke (the son of Mrs Clarke) wanted this decision postponed and an order for disclosure and for production of further accounts of the deputy and OPG.

Held (allowing the costs to be charged):

  1. (1) There was no basis for departure from the general rule.
  2. (2) Michael Clarke’s application was refused.
  3. Curati v Perdoni & anr [2012] EWCA Civ 1381

    January/February 2013 #126

    Pierluigi Curati (Mr Curati) had a domicile of origin in Italy. He moved with his wife (Mrs Curati), a British national, to England in 1955. Mr and Mrs Curati ran a family restaurant (inherited from Mrs Curati’s parents) until 1970, when they sold the restaurant and invested the proceeds in real property which added to the property portfolio which they had already started to build up in England. They also held real property in Italy which they rented to third parties. On 18 December 1980, Mr and Mrs Curati made formal mirror wills in England, drawn in English which were limited t...

    Helmsman Ltd & anr v Bank of New York Trust Co (Cayman) Ltd [2009] CILR 490

    January/February 2013 #126

    The defendant Bank of New York Trust Co (Cayman) Ltd (BNY Cayman) was sole trustee of the Beverley and Howden Settlements from June 1999 until February 2005 and trustee of the London Settlement from March 2000 until November 2002. The first plaintiff, Helmsman Ltd (H(1)), is a Bermudian company and now the sole trustee of the Beverley and Howden Settlements. The second plaintiff, the Hotham Trustee Co Ltd (H(2)), is an English company and the sole trustee of the London Settlement. The Beverley and Howden Settlements (the UK settlements) provide that the proper law of the settlement is th...

    Lawie v Lawie & ors [2012] EWHC 2940 (Ch)

    January/February 2013 #126

    The claimant (SL) sought rectification of a deed of trust that he and his late wife (PL) had executed in 2006.

    SL and PL determined, on the advice of Mr Tollins (a financial advisor at the Norwich & Peterborough Building Society (the building society)) that they wanted £100,000 (just under half of their net assets at the time) to be held in a Legal & General portfolio bond, which was to be held on a flexible trust for the benefit of their children and grandchildren. They expressed an intention to be able to alter the class of discretionary objects and the percentage entitl...