Suggested Answer to Exercise 14.3 (Part 2)
Planning Your Answer
Does Lena have a proprietary interest in the house (that is, one that is enforceable against Jerome’s mother)?
If so, what is the extent of her interest?
- Requires direct contribution to purchase price or mortgage liability;
- Unusual in ‘family’ cases (see Stack v Dowden  2 AC 432; Jones v Kernott  1 AC776).
Common intention constructive trust
- Establishing a beneficial interest: Lloyds Bank v Rosset  1 AC 107 See Land Law, Section 14.3.1.
- Express common intention and detrimental reliance;
- Inferred common intention (and detrimental reliance).
- Determining the extent of the beneficial interest
- Express agreement;
- Resulting trust principles;
- Infering/imputing the intentions of the parties (Jones v Kernott; see also Oxley v Hinscock  Fam 211; Midland Bank v Cooke  2 All ER 562)
- Raising the expectation, See Land Law, Section 14.4.1.
- Detrimental reliance, See Land Law, Section 14.4.2.
- statisfaying the equity
- Expectation, or
- Minimum necessary: Gillett v Holt  Ch 210. See Land Law, Section 14.4.3.
- Resulting trust
- Common intention constructive trust
- Has such a trust arisen on the facts?
- If so, what is the size of Lena’s beneficial share?
- Proprietary estoppel
- Has an estoppel arisen?
- If so, what remedy is required to satisfy the estoppel?
- Make sure that you have stated your conclusions and that these conclusions follow logically from your reasoning.
Before you go to the next page, prepare a more detailed answer plan, including references to relevant cases and statutes.