Fairclough v Salmon [2006] EWCA Civ 320 (28 February 2006)

Fairclough v Salmon [2006] EWCA Civ 320 (28 February 2006)

The beneficial ownership of the flat was held in equal shares by Mr John Salmon and Miss Fairclough as tenants in common from the time of acquisition, based on their oral agreement and joint responsibility for the mortgage and buy-out loan. Subsequent events, including the 1991 agreement and acquisition of the freehold, did not alter the trust or beneficial shares. Expenditure on refurbishment was accounted for by agreed deduction but did not affect the size of the beneficial interests.

Citation
[2006] EWCA Civ 320
Parties
Claimant/respondent: Lynne Margaret Fairclough; First Defendant/appellant: John Stuart Salmon; Second Defendant/appellant: Richard Paul Salmon
Jurisdiction
England and Wales
Judgment Date
28 February 2006
Procedural Posture
Civil Appeal / Permission to Appeal and Substantive Appeal in the Court of Appeal
Outcome
Appeal dismissed; permission to appeal refused.
Legal Topics
Constructive Trusts, Beneficial Ownership, Joint Tenancy and Tenancy in Common, Severance of Joint Tenancy, Resulting Trusts, Overriding Interests, Enforcement of Oral Agreements, Trusts of Land

Case Brief

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Parties

Lynne Margaret Fairclough

Claimant/respondent

John Stuart Salmon

First Defendant/appellant

Richard Paul Salmon

Second Defendant/appellant

Procedural Posture

Civil Appeal / Permission to Appeal and Substantive Appeal in the Court of Appeal

  1. 1 Whether the beneficial ownership of the flat was held in equal shares between the parties
  2. 2 Whether subsequent agreements or actions altered the beneficial interests
  3. 3 Whether the acquisition of the freehold or other events severed or varied the trust

Ratio Decidendi

The beneficial ownership of the flat was held in equal shares by Mr John Salmon and Miss Fairclough as tenants in common from the time of acquisition, based on their oral agreement and joint responsibility for the mortgage and buy-out loan. Subsequent events, including the 1991 agreement and acquisition of the freehold, did not alter the trust or beneficial shares. Expenditure on refurbishment was accounted for by agreed deduction but did not affect the size of the beneficial interests.

Court Disposition

Appeal dismissed; permission to appeal refused.

Orders

  • Application for permission to appeal refused.
  • Appeal dismissed.