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Equity and the Law of Trusts in the Republic of Ireland

The Presumption of Undue Influence

In Chapter 28: Constructive Fraud: Undue Influence and Unconscionable Transactions

Equity and the Law of Trusts in the Republic of Ireland

Author:
Ronan Keane
Publisher:
Bloomsbury Professional
Edition:
Second edition
Publication Date:
2011
Law As Stated At:
1 September 2011
[28.04] In the first category of cases – where there is a presumption of undue influence – the presumption will arise where there are two elements present. First, one party must have derived a significant benefit from the transaction. Most commonly this will arise where there is a substantial gift of property which cannot be accounted for by the motives which ordinarily actuate people. Allcard v Skinner (1887) 36 Ch D 145, 185. Second, the relationship between the parties must be such that the donor places a special degree of trust in the donee, and the donee is in a position by reason of the relationship to exert a particular degree of influence on the donor. The law has recognised certain categories of relationships as being of this nature, such as parent and child, guardian and ward, solicitor and client, spiritual adviser and believer, and trustee and beneficiary. The See ...
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