Termination of a bare trust


I have a deceased client who executed a simple declaration of trust in connection with a property, that simply only stated that his son held the property for the deceased client as his nominee.

There is suggestion that the deceased later terminated the trust by oral instruction, by telling the son to destroy the declaration document, however, I cannot seem to determine whether Saunders v Vautier is satisfied only by oral instruction?

Many thanks in advance

I believe s.53 Law of Property Act 1925 may be relevant – the change of ownership of the equitable interest must be evidenced in writing – so that an oral direction is insufficient. I am not sure how the application of Sanders v. Vautier overrides the requirements of s.53.

Paul Saunders FCIB TEP

Independent Trust Consultant

Providing support and advice to fellow professionals

Would this be a question of whether the Law of Property Act 1925/statutory requirements for title transfer can be overriden by a beneficiary calling for property?

Has the father transferred his legal title to the son pursuant to which the son has executed a declaration of trust in favour of the father ie son holds the beneficial interest as bare trustee for the father?

If so, the father is in a position to request the son transfer the legal title back to him. However, the trust does not cease to exist by simply tearing up the documented declaration.

LPA 1925 ss 52 and 54.

Malcolm Finney