Cohabitation
and the law II
Trust law
• Many so-called common law spouses (usually the wife)
live with their partner for many years believing that if the
relationship breaks down they will be entitled to something.
Where there is no agreement or evidence of common intention
of joint ownership, either by agreement or by virtue of financial
contributions to the purchase price of the property or the
mortgage, the court will be unable to construe a trust.
To summarise, there needs to be either:
(a) A constructive trust – direct evidence of an agreement/arrangement/understanding
that the beneficial interest in the property was to be shared
and the claimant has relied on that to his/her detriment;
(b) A resulting trust - evidence of common intention is inferred
from conduct of the parties and the conduct must amount to
the claimant making direct financial contributions to the
purchase price;
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