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Cohabitation and the law
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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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(c) Proprietary estoppel - the claimant shows that he/she has incurred expenditure or otherwise prejudiced him/herself believing that he/she had an interest in the property or would acquire one and that belief was encouraged by the owner of the land or someone acting on the owners behalf.

 

 

 

 

 

 

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