Popowski v Popowski: ChD 2004

Mrs P wanted to set aside a declaration of trust under which she and her late husband had transferred property to her son the defendant, in return for the financial assistance received from him. She asserted undue influence since she and her husband had placed trust and reliance on their son. The arrangements were embodied in a trust deed. Janek was to pay the sums due under the mortgage used to purchase the property, and she and her husband gave Janek their interests in the house reserving only a right to occupy the property rent free until they both died. She said that this had not been fair because she should have had 60% of the beneficial interests because of her entitlement to a 60% discount against its true value at the time of purchase.
Held: The necessary rust and influence had been shown but without Janek’s financial assistance from the claimant could not have purchased the property and therefore would not have achieved the discount. The claimant and her husband had lived in the house rent free for 16 years and the trust deed had accurately reflected the arrangements between the parties. Janek had provided an explanation sufficient to rebut the presumption of undue influence.

Judges:

Richard Sheldon QC

Citations:

[2004] EWHC 668

Jurisdiction:

England and Wales

Undue Influence

Updated: 14 May 2022; Ref: scu.234724