Re Astor's Settlement Trusts

A non charitable purpose trust is void, because there is no beneficiary who can enforce it and the purposes were uncertain.

Citation
[1952] Ch 534
Court
Chancery Division
Year
1952
Subject
Equity and Trusts
Topic
Purpose trusts and unincorporated associations

Facts

Lord Astor, the owner of The Observer newspaper, set up a trust of shares, the income of which was to be used for various purposes, including the maintenance of good understanding between nations and the preservation of the independence and integrity of newspapers. The purposes were not charitable. The trust was challenged as void.

Legal principle

Roxburgh J held that the trust was void. He said that a trust for non charitable purposes, as opposed to a trust for persons, cannot be valid, because there is no one who can enforce it, and a trust that the court cannot control is not a trust at all. The purposes were also too uncertain to be carried out. The beneficiary principle requires that there be someone with a right to enforce the trust.

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