Re Osaba (1979)
[1979]
1 WLR 247 (CA).
Facts:
A father left property on trust for the
education of his daughter up to the university level and to support his elderly
mother. After his mother had died and the daughter graduated, there was some
money left over. The question arose whether should the surplus money go to the daughter, or should it
goes back to the
father’s estate?
Held: (CA)
The expression of the purpose was
only a motive and thus the daughter gets the money.
It’s simply a matter of construction the
purpose specified was merely the motive in which the testator made the gift.
BUCKLEY LJ stated: “
If a testator has
given the whole of a fund… to a beneficiary.. he is regarded, in the absence of
any contra indication (contrary intention), as having manifested an intention
to benefit that person to the full extent of the subject matter,
notwithstanding that he may have expressly stated that the gift is made for a
particular purpose “
Note:
This case can be distinguished from Re Abbott (where the surplus was held
on resulting trust for testator’s estate) because in Re Abbott there
were no surviving beneficiaries, so such an outcome was not particular unjust.
In Re Osaba , the testator's word in the will could be construed
in such a way that the daughter was entitled to the continued benefit of the
trust.