An entailed beneficiary wishes to bar the entail and bring the Settled Land Act Trust to an end. He is a tenant in tail in possession. Whilst I have a precedent for a disentailing deed which the Fines & Recoveries Act 1833 indicates is required, I have been unable to specifically clarify the precise steps and procedures required when barring an entail in possession.
My understanding is that the disentailing deed will have the effect of releasing the trust assets to the trustees who will then transfer them to the beneficiary absolutely. Therefore do the parties only need to complete a disentailing deed to terminate the trust?
My understanding is that an entailed interest can only be “barred” once the interest in tail has arisen.
On that basis, is the current beneficiary the original life tenant, or a “tenant in tail” – i.e. one whose interest arises under the entailing provisions?
If the current beneficiary is not a tenant in tail, my understanding is that whilst a disentailing deed may be executed now, the absolute interest will not arise until after their death. However, if the current beneficiary is a tenant in tail, then a disentailing deed may be of immediate effect.
Due to the rarity of entailed interests, and the risks of getting it wrong, I suggest an approach to counsel at Lincoln’s Inn both to confirm the effect of the execution of a disentailing deed on the trusts as they now stand, and to draft an appropriate deed.
I can confirm the current beneficiary is a “tenant in tail”. Thank you also, Paul, for your recommendation to counsel which I will discuss with the Trustees’ solicitors.