← All Authorities
United Kingdom Leading Case no profit ruleinstitutional vs remedial

Keech v Sandford

(1726) Sel Cas Ch 61
JurisdictionUnited Kingdom
CourtCourt of Chancery
Year1726
StatusBinding authority

Summary

A fiduciary who acquires a benefit by reason of their fiduciary position holds it on constructive trust for the beneficiary, establishing the foundational no-profit rule.

Key Principle

A fiduciary who acquires a benefit by reason of their fiduciary position holds that benefit on constructive trust for the beneficiary; this is the foundational case on fiduciary self-dealing.

Area of Law

trusts

Related Cases

Thorne v Kennedy (2017) 263 CLR 85

Prenuptial agreements set aside for unconscionability and undue influence where inequality of bargaining power existed between the parties.

Kakavas v Crown Melbourne Ltd (2013) 250 CLR 392

A casino operator's mere knowledge of a patron's pathological gambling does not constitute unconscionable conduct absent deliberate exploitation of that special disadvantage.

Australian Competition and Consumer Commission v Lux Distributors Pty Ltd [2013] FCAFC 90

A supplier's high-pressure door-to-door sales tactics targeting elderly women constituted unconscionable conduct under the Australian Consumer Law.

Ask CommonBench about this case

Get a detailed analysis of Keech v Sandford and how it applies to your situation.

Explain Keech v Sandford