Lai Min Tet v Lai Min Kin: Resulting Trust, Presumption of Advancement & Family Property Dispute

In Lai Min Tet and Another v Lai Min Kin and Another and Another Application, the High Court of Singapore heard two originating summonses. Lai Min Tet and Lai Min Fee sought a declaration that a property registered in the names of Lai Min Kin and Robert Lai Tien Keon was held on trust for all four sons (including themselves) in equal shares. Conversely, Lai Min Kin and Robert Lai Tien Keon sought an order to remove a caveat lodged by Lai Min Tet and Lai Min Fee against the property. The court granted Lai Min Tet and Lai Min Fee's originating summons, declaring that the property was held on trust for all four sons in equal shares, and dismissed Lai Min Kin and Robert Lai Tien Keon's transfer originating summons.

1. Case Overview

1.1 Court

High Court

1.2 Outcome

Originating Summons granted; Transfer Originating Summons dismissed.

1.3 Case Type

Civil

1.4 Judgment Type

Grounds of Decision

1.5 Jurisdiction

Singapore

1.6 Description

Lai Min Tet and Lai Min Fee sought a declaration that a property was held in trust for all four sons. The court found a resulting trust.

1.7 Decision Date

2. Parties and Outcomes

Party NameRoleTypeOutcomeOutcome TypeCounsels
Lai Min TetPlaintiff, RespondentIndividualOriginating Summons grantedWon
Lai Min FeePlaintiff, RespondentIndividualOriginating Summons grantedWon
Lai Min KinDefendant, AppellantIndividualTransfer Originating Summons dismissedLost
Lai Tien Keon RobertDefendant, AppellantIndividualTransfer Originating Summons dismissedLost

3. Judges

Judge NameTitleDelivered Judgment
Lai Siu ChiuJudgeYes

4. Counsels

Counsel NameOrganization
Cheryl LimTan Rajah and Cheah
William J M RicquierTan Rajah and Cheah
Raphael LeeLee and Lee

4. Facts

  1. The father purchased the property in 1967, with the initial registration in the names of LMK and CSY.
  2. The father made several payments towards the property's purchase and furnishing.
  3. The father wrote letters indicating his intention for all four sons to share the property equally.
  4. CSY's interest in the property was transferred to Ernest in 1973.
  5. The father's name was added as a joint tenant in 1984.
  6. The father executed a draft deed of severance in 1993, indicating his intention to sever the joint tenancy.
  7. Ernest transferred his half interest in the property to Robert in 1999.

5. Formal Citations

  1. Lai Min Tet and Another v Lai Min Kin and Another and Another Application, OS 753/2003, [2004] SGHC 3
  2. Lai Min Tet and Another v Lai Min Kin and Another and Another Application, OST 1/2003, [2004] SGHC 3

6. Timeline

DateEvent
Deed of conveyance for the property was executed.
The father and CSY executed mutual wills.
CSY’s interest in the property was transferred to Ernest.
The father and CSY executed wills in Australia.
The father’s name was added as a joint tenant to the property.
The father passed away.
LMK and Ernest severed their joint tenancies.
Ernest transferred his half interest in the property to Robert.
LMF had a conversation with the wife of Ernest.
LMF spoke to LMK about the property.
Ernest passed away.
LMT and LMF lodged the caveat against the property.
Originating Summons Transfer No 1 of 2003 filed.
Originating Summons No 753 of 2003 filed.
Judgment delivered.

7. Legal Issues

  1. Resulting Trust
    • Outcome: The court found sufficient evidence of the father's intention to create a resulting trust in favour of himself, which ultimately benefited all four sons.
    • Category: Substantive
    • Sub-Issues:
      • Intention to create resulting trust
      • Evidence of intention in writing
  2. Presumption of Advancement
    • Outcome: The court held that the presumption of advancement did not displace the resulting trust in this case, considering the father's clear intention and the circumstances.
    • Category: Substantive
    • Sub-Issues:
      • Whether presumption displaces resulting trust
      • Validity in modern times
  3. Caveat
    • Outcome: The court found that LMT and LMF had a caveatable interest in the property due to the resulting trust, justifying the lodgement of the caveat.
    • Category: Procedural
    • Sub-Issues:
      • Interest in land
      • Wrongful or vexatious lodgement

8. Remedies Sought

  1. Declaration that the property is held on trust
  2. Order for sale of the property and distribution of proceeds
  3. Withdrawal of caveat
  4. Compensation for wrongful lodgement of caveat
  5. Restraint from lodging further caveats

9. Cause of Actions

  • Declaration of Trust

10. Practice Areas

  • Trusts and Equity
  • Family and Matrimonial Law
  • Real Estate Law

11. Industries

  • No industries specified

12. Cited Cases

Case NameCourtAffirmedCitationJurisdictionSignificance
Tinker v TinkerCourt of AppealYes[1970] 1 All ER 540England and WalesCited regarding the presumption of advancement in the context of matrimonial property.
Shephard v CartwrightHouse of LordsYes[1955] AC 431England and WalesCited for the principle regarding admissible evidence for rebutting presumptions of resulting trust and advancement.
Sivakolunthu Kumarasamy v Shanmugam Nagaiahappellate courtYes[1987] SLR 182SingaporeCited regarding the requirements for severing a joint tenancy before 1 March 1994.
Diaz Priscillia v Diaz AngelaCourt of AppealYes[1998] 1 SLR 361SingaporeCited regarding the effectiveness of a unilateral declaration to sever a joint tenancy after 1 March 1994.
Rochefoucauld v BousteadN/AYes[1897] 1 Ch 196N/ACited regarding the creation of an express trust.
Pettitt v PettittHouse of LordsYes[1970] AC 777England and WalesCited regarding the diminishing relevance of the presumption of advancement in modern times.
Malayan Credit Ltd v Jack Chia-MPH LtdN/AYes[1984–1985] SLR 91N/ACited regarding tenants in common in equity and unequal contributions towards the purchase price.

13. Applicable Rules

Rule Name
No applicable rules

14. Applicable Statutes

Statute NameJurisdiction
Residential Property Act (Cap 274, 1985 Rev Ed)Singapore
Land Titles Act (Cap 157, 1994 Rev Ed)Singapore
Civil Law Act (Cap 43, 1999 Rev Ed)Singapore
Estate Duty Act (Cap 96, 1997 Rev Ed)Singapore
Conveyancing and Law of Property Act (Cap 61, 1994 Rev Ed)Singapore

15. Key Terms and Keywords

15.1 Key Terms

  • Resulting trust
  • Presumption of advancement
  • Joint tenancy
  • Tenants-in-common
  • Caveat
  • Declaration of trust
  • Intention
  • Beneficial ownership
  • Estate duty
  • Deed of severance

15.2 Keywords

  • trust
  • property
  • family
  • Singapore
  • resulting trust
  • advancement

17. Areas of Law

Area NameRelevance Score
Trust Law90
Resulting Trusts85
Presumption of Advancement75
Property Law50
Succession Law40
Family Law30

16. Subjects

  • Trusts
  • Property
  • Family Law