Barrett v Barrett: ChD 19 May 2008

Claim against receiver that bankrupt’s property was held as trustee in trust for claimant. The illegal purpose was to conceal T’s interest in the proceeds of sale from the trustee in bankruptcy thus preventing him from laying claim to property which the bankrupt (as T was) acquires after his bankruptcy commences.
Held: ‘Mr Maynard submits that the tainted motive in this case is too remote to bar enforcement of T’s interest in the property or its proceeds. He points out correctly that the pleaded agreement or arrangement involved the creation of a new interest in favour of T, his original interest in the property having vested in his trustee in bankruptcy. The creation of such an interest was not of itself unlawful. The illegality lay in the failure to disclose the acquisition of this new interest to his trustee in bankruptcy.’


[2008] EWHC 1061 (Ch)




England and Wales

Cited by:

CitedSQ v RQ and Another FD 31-Jul-2008
The home in which the family had lived was held in the name of a brother. Each party claimed that it was held in trust for them. Chancery proceedings had been consolidated into these ancillary relief applications. The home had been in the husband’s . .
Lists of cited by and citing cases may be incomplete.

Land, Trusts

Updated: 21 July 2022; Ref: scu.267983