Titles in the Core Text series take the reader straight to the heart of the subject, providing focused, concise, and reliable guides for students at all levels. This chapter discusses a type of bare trust known as a nomineeship. Under a bare trust, a trustee holds property for a beneficiary on no specific trust terms; the trustee’s only obligation is to transfer the property to the beneficiary or to a third party as the beneficiary directs. Nomineeships typically combine the bare trust with a contract or relationship of agency. The first kind of nomineeship discussed is the solicitor-agent trust, followed by the Quistclose trust, and finally, unincorporated association trusts.
Chapter
11. Bare trusts subject to contractual obligations and agent’s instructions
Chapter
2. Trusts in context
This chapter places trusts in their contemporary social, economic, legal, and international context. It first discusses their significance to the world outside the lawyer’s office, and shows that they play an important social and economic role in the lives of ordinary people. The trust operates in key areas such as home, employment, and commerce. The chapter also examines the trust in the context of laws, focusing on how it corresponds to, and coexists with, other legal ideas such as contract, debt, powers, gift, agency, bailment, tax, and corporation, and concludes by looking at the international and comparative dimension of the trust.
Chapter
2. Understanding trusts
Without assuming prior legal knowledge, books in the Directions series introduce and guide readers through key points of law and legal debate. Questions, diagrams and exercises help readers to engage fully with each subject and check their understanding as they progress. There are many kinds of trusts performing different functions. Private family trusts of the orthodox type are different from special trusts such as pension trusts and charitable trusts, and the so-called ‘NHS trust’. The diversity of functions performed by trusts explains why there is diversity within the law of trusts. This chapter provides an overview of trusts, including their usefulness, how they differ from other legal concepts (contracts, debt, powers, agency), the different trust types, the role of trusts in asset protection and the social significance of trusts. It looks at special categories of trusts and trustees, including bare trusts, protective trusts, pension fund trusts and asset protection trusts.
