What happens if a trust under which I am a beneficiary wasn't set up correctly?

• Sometimes there is a technical error when a trust is set up which makes the trust incomplete or invalid. This may not be enough to render the trust completely unenforceable.
• Where the failure of the trust would result in an unjust or unfair outcome the law of equity may find that a resulting or constructive trust has come into existence.
• A resulting trust is created when a settlor transfers the legal title to property to another person but retains the beneficial ownership of the property. The law presumes that the settlor's intention was to create a trust for the benefit of themselves and potentially other additional beneficiaries.

• A constructive trust may arise where there has been no express declaration of trust but the rules of equity consider it to be unjust not to impose the trust as between two persons who become the trustee and beneficiary.
• The rules about constructive trusts are complex. You can use our Fixed Fee Quote service to call for tenders from experienced lawyers who may be able to assist you with this.