Over the course of a two-day trial before Deputy ICC Judge Raquel Agnello KC, Chris de Beneducci successfully resisted an allegation that his client had acquired a property in Thamesmead at an undervalue from a friend who subsequently went bankrupt.
The bankrupt’s trustees said that the transaction should be reversed and that the property should be treated as part of the bankruptcy estate, for division amongst the bankrupt’s creditors. The key to defeating this argument was establishing that the bankrupt had at all material times held the beneficial interest in the property on trust for Chris’ client, pursuant to a common intention constructive trust which had arisen when the bankrupt purchased the property in 2013.
Since that date, all the mortgage instalments had been paid by Chris’ client, whose niece had also occupied the property rent-free. The Judge was satisfied that these factors, together with certain others, pointed to the existence of a constructive trust in favour of Chris’ client.
See the full judgment here for further information. Chris’ practice raises issues of trust law in the fields of property, insolvency, and contentious probate litigation. Don’t hesitate to contact clerks@selbornechambers.co.uk with any enquiries.