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ARTICLE · 29 OCTOBER 2025

It's A Matter Of Trust

Gatehouse Chambers
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In this, the 100th anniversary year of the Law of Property Act 1925, the Court of Appeal has resolved a question under s. 53(1)(b) of the 1925 Act that has gone unanswered...

United KingdomReal Estate and Construction

In this, the 100th anniversary year of the Law of Property Act 1925, the Court of Appeal has resolved a question under s. 53(1)(b) of the 1925 Act that has gone unanswered for all 100 of those years, at least at appellate level. Indeed, the same question arose under s. 7 of the Statute of Frauds 1677. So, it has awaited a clear answer for 348 years.

53(1(b) of the 1925 Act reads as follow:

“(b) a declaration of trust respecting any land or any interest therein must be manifested and proved by some writing signed by some person who is able to declare such trust or by his will.”

The question that has taken so long to be authoritatively determined is whether a document signed by the settlor's agent with the settlor's authority is sufficient to prove a declaration of trust for the purposes of s. 53(1)(b). That issue was key to the decision in National Iranian Oil Company and another v Crescent Gas Corporation [2025] EWCA Civ 1211 in which the Court of Appeal handed

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