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RDG
online Restitution Discussion Group Archives |
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If UI is not a wrong of some sort then why should the
court be intervening? Why should I have to look out for the best interests
of someone else? If the best that the Eng. CA can come up with is policy
(which tends to make me suspicious), then I would at least like to know
which policy is being served and why this might outweigh other policies
such as certainty, etc.
Charles Mitchell wrote:
On a completely different point, Mummery
LJ has just reaffirmed Sir Martin Nourse's comments in Hammond
v Osbourn, to hold in Niersmans
v Pesticcio [2004] EWCA Civ 372 that UI is not an equitable
wrong: the relevant bit is para 20:
The insistence of Mr Thomas that
Maureen had "done nothing wrong" is an instance of the "continuing
misconceptions" mentioned by Sir Martin Nourse in Hammond
about the circumstances in which gifts will be set aside on the ground
of presumed undue influence. Although undue influence is sometimes
described as an "equitable wrong" or even as a species of equitable
fraud, the basis of the court's intervention is not the commission
of a dishonest or wrongful act by the defendant, but that, as a matter
of public policy, the presumed influence arising from the relationship
of trust and confidence should not operate to the disadvantage of
the victim, if the transaction is not satisfactorily explained by
ordinary motives: Allcard v. Skinner (1887) 36 Ch D 145 at
171. The court scrutinises the circumstances in which the transaction,
under which benefits were conferred on the recipient, took place and
the nature of the continuing relationship between the parties, rather
than any specific act or conduct on the part of the recipient. A transaction
may be set aside by the court, even though the actions and conduct
of the person who benefits from it could not be criticised as wrongful.
The presumption arising from the trust and confidence of their relationship
made it unnecessary, for example, for Bernard to prove that Maureen
actually had influence over him in relation to the gift of the, House,
let alone that she in fact exercised undue influence or applied improper
pressure to obtain the Deed of Gift. Whether or not Maureen's conduct
could be described as "wrongful", the requirement of the doctrine
of undue influence is that it must be "affirmatively established that
the donor's trust and confidence in the donee has not been betrayed
or abused: " see Hammond at paragraph 32. On that point Mr
Thomas relied on the part played by Miss Tindall. On-line at: http://www.bailii.org/ew/cases/EWCA/Civ/2004/372.html
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