FACULTY OF JURIDICAL SCIENCES
E- CONTENT
COURSE: BALLB-Vth Sem
SUBJECT: EQUITY AND TRUST
SUBJECT CODE: BAL 506
NAME OF FACULTY: DR. ANKUR SRIVASTAVA
BRAND GUIDELINE
----------------------------------------------------
Topic
Font Name- Candara Bold
Font Size- 20
Font Color- White
---------------------------------------------------
Heading
Font Name- Arial (Bold)
Font Size- 16
Lecture-6
LECTURE-6
EQUITY AND ITS RELATIONSHIP WITH THE COMMON
LAW:
Equity is:
1. Informed by conscience;
2. In large part, discretionary and remedial; and
3. The result of a long historical developmental process.
In personam – matters against a party.
In rem- matters against property.
Features of equity:
1. Equity corrects the law, but does not overwhelm it;
2. Equity is discretionary; and
3. Equity is informed by conscience.
The core principles of equity:
Equitable maxims serve a purpose as an explanation of
the nature of equity and the broad concepts which have
influenced the growth of modern equity. They are a
summary of a broad themes which underlines equitable
concepts and principles –
Corin v Patton
The twelve propositions set out below are culled, as a
list, primarily from Snell’s Equity, (31st ed., 2004) by
McGhee, 27. The trust is built on equitable principles and
the following, key equitable principles will emerge again
and again in your studies. We will consider them only in
outline at this stage.
i. Equity will not suffer a wrong to be without a
remedy Equity follows the law;
ii. Where there is equal equity, the law shall prevail;
iii. Where the equities are equal, the first in time shall
prevail;
iv. He who seeks equity must do equity;
v. He who comes to equity must come with clean
hands;
vi. Delay defeats equities;
vii. Equality is equity;
viii. Equity looks to the intent rather than to the form;
ix. Equity looks on that as done that which ought to
have been done;
x. Equity imputes an intention to fulfil an obligation;
xi. Equity acts in personam.
Hudson adds to that list three further principles:-
i. Equity will not permit statute or common law to be used
as an engine of fraud (e.g.: Rochefoucauld v. Boustead);
ii. Equity will not permit a person who is trustee of
property to take benefit from that property qua trustee
(e.g.: Westdeutsche Landesbank);
iii. Equity abhors a vacuum (e.g.: Vandervell v. IRC).
Three basic relationship principles:
i. Exclusive jurisdiction: Only capable of administering
equitable relief.
ii. Concurrent jurisdiction: Where both equity and common
law recognize the unfairness and are prepared to apply
relief: Equity only stepping in when common law would
be inadequate.
iii. Auxiliary jurisdiction: Provide assistance for the
enforcement of legal rights and includes the award of
injunctive relief.
MCQs
1. In personam – matters against a party.
i. True
ii. False
iii. Cannot say
iv. None of these
2. In rem- matters against property
i. True
ii. False
iii. Cannot say
iv. None of these
3. Equity corrects the law, but does not overwhelm it
i. True
ii. False
iii. Cannot say
iv. None of these
4. He who seeks equity must do equity
i. True
ii. False
iii. Cannot say
iv. None of these
5. Equity will not permit statute or common law to be
used as an engine of fraud
i. True
ii. False
iii. Cannot say
iv. None of these
********
