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Equity- Choithram v Pagarani, (perfecting an imperfect gift)

I have a small problem with the Choithram case. It may either be my own misreading or a point of academic interest, I'm never so sure of myself so I suspect the latter in this instance. The issue I have is a potential contradiction in the case in seeking to effect Mr.Choithram's intentions.

That is:
1. The court took great interest in Mr.Choithram's dealings with the supposed trust property having made an oral declaration that it would be vested in "the foundation". Notably the court looked at Choithram's refusal to sign any documents following the oral declaration. The connotation that Mr.Choithram had considered himself to be disposed of the property exhibits a strong intention that he considered the property to have passed in trust.

2. HOWEVER, what was eventually held (since no transfer documents were signed no funds were transferred to the supposed trustees), was that since he had orally declared something along the lines of "I give all my money to the foundation": this constituted a self declaration of trusteeship, and thus it did not matter that the funds were not vested in all the trustees, There was a validly constituted trust for these purposes.

My question is: if, as the facts seem to show, his actions construe an intention to have completely passed with the trust property, how can the courts then construct an intention to declare himself as trustee?

Either I'm totally confused on this, or the court perfected an imperfect gift on the basis of a general appeal to "conscionability" (as the argument is commonly made against Pennington v Waine).

Any help on clearing this up would be appreciated. Sorry if this isn't entirely coherent. I can only work with the brain my parents gave me!
Thanks!
(edited 10 years ago)
Hi there,

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