Equity and trust law Essay Example | Topics and Well Written Essays - 3000 words

Equity and trust law - Essay Example eform proposals are in the process of being finalized into legislation, it has been the relevant case law which has served as a guide in order to determine whether or not an organization can qualify for charitable status. The case of Commissioners for Special Purposes v Pemsel2 laid out four categories that would automatically qualify an organization to receive charitable status, which are (a) advancement of religion (b) advancement of education (b) advancement of religion (c) relief of poverty and (d) other purposes beneficial to the community. The Charities Bill of 19933 also has the provision whereby, when a charitable trust fails due to difficulties in literal compliance with the intention of a testator, the doctrine of CyPress can be applied as a flexible policy option to prevent a trust resulting to its donors or the crown. Applying the Pemsel qualification, New Dawn must qualify under the category of advancement of religion, Democracy under the category of advancement of educa tion and Medi Aid under the category of other purposes beneficial to the Community. Ans 1: One of the criteria for determining whether or not a trust could be deemed to be charitable would depend upon whether it can be described as a valid purpose trust. In the case of Re Lipinski4 Oliver J draws a distinction in a testamentary disposition, between a purpose which is invalid (excluding tombs, animals and monuments cases), and a ‘people trust’ which is valid. Another case that highlights the question of purpose is A.G. of the Caymen Islands v Wahr Hansen5 . In this case, the Privy Council rejected the formulation of charitable trusts on the basis of a general purpose, since a general purpose demonstrates an intention that is wider than that which will benefit objects that are strictly charitable. In the case of Chicester Diocesan Fund v Simpson6, a similar application of a broad purpose had been examined, where a distinction was made between a gift that was â€Å"benevolent† and

Intermediate Microeconomics Essay Example | Topics and Well Written Essays - 750 words - 1

Intermediate Microeconomics - Essay Example es alike : all declared bankruptcy and the State had to infuse millions of $s into the economy in the form of economic stimulus to keep the economy from completely crunching. "This collapse in housing value is sucking in all borrowers," said Mark Zandi, chief economist at Moodys Economy.com. The New York Times quotes â€Å"Like subprime mortgages, many prime loans made in the United States in recent years allowed borrowers to pay less initially and face higher adjustable payments a few years later. As long as home prices were rising, these borrowers could refinance their loans or sell their properties to pay off their mortgages. But now, with prices falling and lenders clamping down, homeowners with solid credit are starting to come under the same financial stress as those with subprime credit.† An article in the WSJ [2007] speaks about the sub prime crisis and its analysis by the Journal., â€Å"To examine the surge in subprime lending, the Wall Street Journal analyzed more than 250 million records on mortgage applications and originations filed by lenders under the federal Home Mortgage Disclosure Act. Subprime mortgages were initially aimed at lower-income consumers with spotty credit. But the data contradict the conventional wisdom that subprime borrowers are overwhelmingly low-income residents of inner cities. Although the concentration of high-rate loans is higher in poorer communities, the numbers show that high-rate lending also rose sharply in middle-class and wealthier communities†. According to the same article, even in 2006, when the housing market was weakening, some lenders were still willing to make riskier loans. The analysis of loan data by The Wall Street Journal indicates that from 2004 to 2006, when residential property prices were at their peak i n many parts of the country, more than 2,500 banks, thrifts, credit unions and mortgage companies made a combined $1.5 trillion in high-interest-rate loans.†This article describes how the subprime