Equity and Trusts: Differences Between Common Law and Equity

This essay provides a comprehensive overview of equity and trusts, highlighting their significance within the English legal system. It begins by defining equity and its principles, contrasting them with common law, and emphasizing the concept that 'equity is not law.' The essay then explores the differences between common law and equity, particularly through the lens of estoppel, examining how it functions in both contexts and its implications for legal disputes. Various cases and case studies are used to illustrate these differences, providing a detailed analysis of legal and equitable principles. The essay discusses the roles of trustees and beneficiaries and the concept of beneficial ownership, illustrating how equity seeks to balance the legal system. The essay also touches upon the impact of equity on individual rights and business development, arguing that while equity can be beneficial in legal and business contexts, it should not always be considered as law. The essay concludes by reiterating the importance of equity in ensuring fairness and justice within the legal framework, providing a balanced perspective on the relationship between equity and common law.

EQUITY AND
TRUSTS

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
ESSAY.............................................................................................................................................1
CONCLUSION................................................................................................................................6
REFERENCES................................................................................................................................7

INTRODUCTION
The below report identifies the importance of equity and trusts. It explains that 'equity is
not law'. The report briefly explains the statement and explores how far the differences between
common law and equity are exemplified by the differences between estoppel in equity and at
common law (Virgo, 2018). It makes use of various cases and case studies to explore the
difference between the above mentioned laws and equities.
MAIN BODY
ESSAY
The equity and trust is a unique branch of English law which is based on the principle
bodies made by courts of chancery. It focuses on bringing a certain balance to the legal system
which is particularly known as common law. The trust law is constructed as an adjunct to the law
of property. In this, one person tends to hold a legal title to a property but the courts decide that it
is fair or just equitable where another person can be benefit from the property as well.
It can be seen that there is not division which is acknowledged between beneficial and
legal ownership. The owner which is legal is referred as a trustee and the owner which is
beneficial is known as beneficiary.
Today, equity is not seen as a single, consistent system or an articulate body of law. It
refers to a collection of appendixes between which there is not any close connection (McDonald
and Street, 2018). In case, if all the laws are put into systematic order, it can be seen that some
chapters out of them are copiously glossed by equity whereas some of them are free from glosses
of equity.
Few years ago, a scheme for the Tripos were settled, it has been seen that candidates for
the second part were to study the English law of contract and Tort, with the principles which are
equitable to the subjects. The question was that if equity should be mentioned as separate
subjects or not. From this study, it has been acknowledged that the existence of equity as a
distinct system from the law would be a belated or a reactionary measure.
The statement of equity is clear as it believes that each and every individual needs to
treated equally. It provides equal margins to each and every individual and ensures that they are
getting what they have desired. The equality allows them to ensure that they are happy in what
they are getting there is no other demand which they have to make as per their set requirements.
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Along with it, it is important for the individuals to accept the law and ensure that they are getting
the things are per their necessary requirements.
Estoppel in common law and equity tends is a subtopic which is concerned with pleading
an estoppel as a defense and on limited occasions it can be seen as a basis for the course of
action. It does not include pleading defenses of any related cause of action.
The doctrine of estoppel refers to a basic concept of the estoppel in which a person has
caused another to act on the basis of a particular state of affairs (Riches, 2016). In this, the first
person is prevented from going back on the words or conduct which is making the second person
to act on that particular basis, in case if certain conditions are satisfied. In these case, the first
person is estoppel or stopped from resiling from or denying, the existence of that particular state
of affairs.
It is one of the best approach in order to provide the right justification to the first person
or the second person, whomever is facing issues regarding the other person. This is also the best
approach in identifying new areas to make set laws as per the set conditions and bring balance in
the laws. It also ensures that the representation is largely based on the medium of hearing the
plea of both of the parties. A better plea allow the winning side to be more dominating. It ensures
that both of the parties are having the same rights to enhance their product and reach new
development options.
It is one of the major requirements of the business to reach new potential and ensure that
desired growth is being achieved, the law of estoppel allows the business to successfully conduct
themselves in such a way that they are achieving desired growth and objectives. For example,
when businesses across the nation or the country faces disputes of partnership and development
etc. This law is used to solve the issue and build trust between the parties. This is one of the core
aspects which helps the organization to reach new development options and achieve required
growth. It helps the organization to reach maintain better growth and ensure that desired growth
are being.
It is important to understand the term here that 'equity is not law'. Equity is the right of
each and every individual. It allows the people and the identities across the countries to achieve
set growth and make sure that they are having new ideas of growth and development. The term
equity suggests justice and fairness (Bryan, Vann and Thomas, 2017). It is only possible when
there is equality in the society. In today's era equality is seen as one of the major concepts that
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drives the growth and development of a particular community, area, or country. It can be seen as
without equality growth and development of a particular individual, business or government
cannot be achieved. It is important to observe that equality can bring required growth and
development and it needs not to be consider as law. In case, when equity is considered as law it
takes away the right of life and individual freedom from the individual. It is important to
consider that desired growth is being achieved and equity ensure this very well. In legal terms,
equity is often refers to as law. As seen in the constitutions of United Kingdom that equity is one
of the major concepts which is required to make important decision of the law and overall
governmental policies. It can ensure that the government of the country is making the right
choices in order to ensure that set growth is being achieved and its individuals are being fairly
treated. It is not possible without the right practices of law to ensure that equality is being
achieved within any businesses or the organization.
From the above point, it can be seen as that treating equity as law in situations of business
is appropriate but in terms of individuals and their own values and perspectives it is not the right
choice to consider it as a law. This is because when we speak about the human knowledge and
consciousness, not having equality like the other individual, or being treated differently creates
bad situations for them. They find it difficult to operate in terms of achieving growth and ensure
new growth and development. This is one of the major requirement for the individuals to have
better law and governmental policies in place to ensure that right and appropriate growth is being
provided to them. It ensures new growth prospective and allow individual to better themselves as
per the growth and development.
As per the views of Riches (2016), equity is one of the basic concept that can make
people to ensure that they are having the right ideas in place. It helps them to reach new level of
potential and make sure that they are working as per the required law. Equity allows the
individuals to perform better as they feel that their concepts is wide and they are having the
appropriate freedom as other individual where they can ensure that their ideas are freely being
shared and exchanged without any interruption from the government and any other party.
Bryan (2017) suggest that laws are strict and are made so that people and the
organizations perform under them. Laws create an environment for the country where its
businesses and people are operating as per the set directions and provided choices. It is one of the
major needs of the governance to make appropriate law to enhance the growth and make use of
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new developments. Along with it, it maintains the idea that while performing under the law the
individual or business cannot make their own choices whereas equity maintains providing the
individual and businesses with the right freedom to operate.
Watt, G., 2018. Trusts and equity. Oxford University Press.
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