SQE1 Trusts – Rules, Exceptions & Key Distinctions Cheat Sheet

Trusts can feel difficult because several questions can arise from the same facts: is the trust valid, was it properly constituted, who owns the property, has a trustee breached a duty, and who can actually be sued?

This 63-page SQE1 Trusts revision guide is designed to turn those questions into one structured lifecycle.

The guide helps you move through a Trusts problem in order:

is there a valid trust → is it constituted → who owns what → what type of trust is it → what happens if it fails → who runs it → what duties apply → has there been a breach → where is the property now → what claim exists and against whom

Two questions sit at the centre of the guide: Is there a valid and constituted trust at all?

and, if something has gone wrong: Is the claim personal or proprietary — and is it against a trustee or a third party?

Covered in the guide:

• The three certainties

• Constitution of trusts

• Legal and beneficial ownership

• Fixed and discretionary trusts

• Vested and contingent interests

• Charitable and non-charitable purpose trusts

• Resulting trusts

• Constructive trusts

• Proprietary estoppel

• Appointment, retirement and removal of trustees

• Trustee powers and duties

• Fiduciary duties

• Breach of trust

• Trustee liability and defences

• Tracing

• Knowing receipt

• Dishonest assistance

• Proprietary claims against third parties

Built for SQE1 Trusts revision

The guide is structured to help you:

• Separate declaration from constitution

• Distinguish legal title from beneficial ownership

• Identify the correct type of trust before applying the rules

• Work out what happens when a trust fails

• Distinguish fixed, discretionary and contingent interests

• Separate trustee duties from fiduciary duties

• Identify the correct remedy for breach

• Distinguish personal claims from proprietary claims

• Follow trust property into substitutes and mixed funds

• Identify the correct claim against a third party

The resource also includes a Trusts lifecycle, ownership maps, classification tables, MCQ traps, “Do Not Confuse” distinctions and claim-focused frameworks so you can identify the legal relationship before applying the rule.

The aim is simple:

work out who owns what first — then identify the duty, breach, property and correct claim.

Use the guide alongside MCQ practice to consolidate difficult concepts, connect the rules across the subject and prepare for mocks and final-stage revision.

Please note: This is an independently prepared educational revision resource. It is not affiliated with, approved by or endorsed by the SRA or any university, education provider or SQE preparation provider. Candidates should use the applicable SRA SQE1 Assessment Specification and their main study materials alongside this resource.

Accuracy and liability notice:

This resource has been prepared with reasonable care for educational and revision purposes. However, legal rules, regulatory requirements, figures and assessment specifications may change, and errors or omissions may occasionally occur. Candidates should check the applicable SRA SQE1 Assessment Specification and relevant official sources for the version that applies to their assessment date.

This resource is not legal or financial advice and should not be relied on as a substitute for professional advice or official assessment materials. Nothing in this notice affects any rights you may have under applicable consumer law.