South Downs Trustees Limited v GH [2018] EWHC 1064 (Ch)

Summer 2018 #172

The claimant was the trustee of an employment benefit trust (the EBT). The trustee had an interest in a company that owned and controlled a business (the utility). The beneficiaries of the EBT were the former and current employees of the utility and other group companies and their dependants. The trustee entered into a sale and purchase agreement for the sale 
of the EBT’s interest in the company, conditional upon certain relief from the court. Following the sale, there would be a distribution of the trust property amongst various beneficiaries.


The following orders we...

 [2018] EWCOP 13

Summer 2018 #172

The applicant, TH, the donee of an enduring power of attorney for the property and 
affairs of his father, HH, applied for retrospective approval of payments and gifts 
made between 2011 and 2017 in the sums of £88,366 in favour of the applicant and 
his family, and £15,196 in favour of his brother JH, the first respondent, and his family. 
JH opposed approval of all sums save for £30,000.

HH lacked capacity and was unable to participate in any meaningful way in 
decisions about his welfare or property or affairs. He required constant care from 
August 2010. TH provided sporadic ...

Re A’s Application

Summer 2018 #172

The trustee applied under s61 of the Isle of Man Trustee Act 1961, alternatively under the court’s inherent jurisdiction, for the opinion, advice or direction of the court in relation to its intention to negotiate with a foreign revenue authority for the discharge of tax liabilities of the settlement, the disclosure of information necessary for that purpose, and the payment of the tax irrespective of whether they are enforceable in the Isle of Man. The beneficiaries agreed with the relief sought.

Held, allowing the application:

  1. 1) Trustees were en...

Borrows v HM Coroner for Preston
 [2008] EWHC 1387 (QB)

Summer 2018 #172

.This case concerned the burial arrangements of Liam McManus (Liam), who 
took his life aged just 15. Liam had a difficult upbringing. His parents 
were heroin addicts and so he was brought up by his maternal grandparents 
in Liverpool until he entered foster care aged 5. Two years later he moved in 
with the claimant, Mr Burrows, (who was Liam’s paternal uncle) and his family in St Helens and a full residence order was made in favour of the claimant 
and his wife. Mr and Mrs Burrows were described as his psychological

In the year before he died, Liam made contact with h...

Chaston vs Chaston [2018] EWHC 1672 (Ch)

Summer 2018 #172

The parties were three of the four children of Sybil and John Chaston (‘the parents’). They inherited from their parents a freehold property (‘the Property’). The Property was currently held by the Appellants and the Respondent upon trust for the Respondent as to 50%, and as to 25% for each of the two Appellants. 

In proceedings brought under s14 of the Trusts of Land and Appointment of Trustees Act 1996 the District Judge ordered that the Property should be sold to the Respondent at a price to be determined by a valuation exercise. 

The hearing before the District Judge ...

Davies v Morris [2018] EWHC 1901 (Ch)

Summer 2018 #172

The defendant in the present claim had brought a probate action in respect of the will of the deceased; the claimants in the present claim were defendants in the probate action. In the course of the probate action the judge made an order in a preliminary application for the determination of the deceased’s domicile at his death. It had been the present defendant’s position that the deceased had retained his domicile of origin in England and Wales, whereas the present claimants had argued that he had acquired a domicile of choice in Belgium, so that under Belgian law the will was void as a...

SA v Sixteen Defendants [2016] EWHC 3067 (Ch)

Summer 2018 #172

The claimant was the sole corporate trustee of a trust created by a deed of settlement dated 5 November 1963 and made by a settlor for the benefit of his four children and their respective spouses and descendants. The defendants were two of the settlor’s surviving children, the widows of two deceased children and descendants to the 
fourth generation. As a result of deeds of appointment made on 28 March 1979 and 
31 December 1982, each of the settlor’s four children became entitled to a life interest in their respective one-quarter shares of the trust fund, with reversionary life interes...

R (Haworth) v HMRC [2018] EWHC 1271 (Admin)

Summer 2018 #172

On an application for judicial review, the claimant challenged the decisions of HMRC to issue him with a follower notice and an accelerated payment notice in relation to gains arising to the Trustees of a settlement (‘the Trust’) from the disposal of assets. The claimant was the settlor and, along with his family, a beneficiary of the Trust. The notices were issued under Part 4 of the Finance Act 2014.

A follower notice can be given where the principles laid down or reasoning given in a final judicial ruling would, if applied to the taxpayer’s chosen arrangements, deny h...

Lehtimaki v CIFF [2018] EWCA Civ 1605

Summer 2018 #172

The Children’s Investment Fund Foundation (UK) (‘CIFF’) was incorporated as a company limited by guarantee without a share capital on 8 February 2002 with the aim of improving the lives of children in developing countries. It had been founded by two of the respondents, Sir Christopher Hohn and his then wife, Jamie Cooper. Each of them, both of whom were members and trustees, had contributed to the charity’s success. The only other member, though not a trustee, was the Appellant. The present litigation had its origins in the breakdown of the relationship between Sir Christopher Hohn and J...

Lloyd v Ayres

Summer 2018 #172

The deceased died in January 2008 and letters of administration were granted later that month. The deceased’s death was unexpected, and within a year of her remarriage to the defendant A, which had revoked her previous will leaving her property to her previous spouse and her children. The claimant, L, a son of the deceased, was 17 when the deceased died, and had some mental health difficulties. He was permitted to continue to live in the deceased’s home with his brother and A for some years, until 2014. L was an in-patient in a mental hospital for a time during 2015, and first sought leg...