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United Kingdom Leading Case resulting truststransactions at undervaluetrusts choice of law

Akers v Samba Financial Group

[2017] UKSC 6
JurisdictionUnited Kingdom
CourtUK Supreme Court
Year2017
StatusBinding authority

Summary

Transfer of legal title held on bare trust constitutes a disposition under s.127 Insolvency Act 1986, but beneficial interest may be extinguished where the receiving foreign legal system does not recognise trusts.

Key Principle

The disposition of a bare trust interest by transferring the legal title to a third party is a 'disposition' for the purposes of s.127 of the Insolvency Act 1986; but where the third party holds in a foreign legal system that does not recognise the trust, the beneficial interest may be extinguished.

Area of Law

trusts

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