Law and Trust: Role of Equity and Principles of Equity in English Legal Systems

LAW AND TRUST

Table of Contents
INTRODUCTION...........................................................................................................................3
CREATION OF TRUST..................................................................................................................3
CONCLUSION................................................................................................................................9

INTRODUCTION
Trust refer to legal relationship which is carried by the both the partiers during entering
into any relationship. In respect of contract, this is implied in relation to transferring any property
depending upon certain condition and also the other party to whom the activity of the transfer is
committed is obliged to perform such duty in right manner1. Thus, trust is imposed by the settlor
who refers to the owner of the property transfer the right to the settler to maintain trust in the
contract. Present essay is based upon the topic related to the trust and also the role of equity and
principles of equity as per the English legal systems.
CREATION OF TRUST
Equity concept come from the 13th century in which the remedies which is given to
parties are to be suggested by the king regarding getting fair decisions. Thus, after few decades
the equity is developed by the court of chancery which is relevant to the common law
administration. As before parties not agree to adopt any new laws to get fair decision, they prefer
the judgment through common law. This states that by referring cases and decision from the
previous cases. Thus, from such perspective the equity name is given which makes it differ from
the common law. Trust was first invented in 12th century under the jurisdiction raised by the
kings of the England. The express trust are created in perspective of four elements such as
capacity, certainty, formative and constitution. Capacity is to be carried by the settlor regarding
maintaining trust in respect of presenting the dealing at first place. Certainty is determined as the
chances or intention of creating the trust. It can be in terms of beneficiaries as well. In respect of
constitution, it refers to valid dealing of property. In relation to the formality, it refers to using
different languages to make the dealing valid. Through these four aspects, the trust are expressly
created.
It is necessary that the trust must be developed between the parties, individual or any
other person such as beneficiaries to whom the business are expanding in longer way. Thus, in
such aspects trust mainly carries different perspective and also taxes imposed on trust are also
different.
1 Graham, Toby, and Thomas Beasley. "Trust the State: the relevance of principles of
public law in trust law and practice." Trusts & Trustees 25, no. 8 (2019): 841-848.