Reference no: EM133648515

By his will, Janusz bequeathed his residence 'Candy Cane Lodge' to his best friend Maxy, absolutely. The will was witnessed and signed by two of his friends, Carole and Abdul.

A couple of days later, Janusz met Maxy for coffee and cake and, as they were about to leave the café, he handed her a sealed envelope. Janusz told Maxy not to open the envelope until after his death but to hold 'Candy Cane Lodge' on trust, according to the terms contained in the document.

Three months later Janusz sadly died after choking on a particularly chewy macaron. Following the death of Janusz, Maxy opened the envelope. The letter inside instructed her to hold Candy Cane Lodge on trust for Janusz's estranged sister, Pru.

Maxy is shocked that Pru is the nominated beneficiary and knows the rest of Janusz's family would be furious if they found out. Pru has been estranged from the family for the last decade, following a terrible row over a burned birthday cake.

Maxy never liked Pru. She thought she had treated Janusz badly, being never around when he needed support. Reflecting on the years of friendship she had shared with Janusz, Maxy plans on selling Candy Cane Lodge and keeping the proceeds.

1. Advise Pru as to whether she has any potential cause of action at common law or in equity.

2. Did Janusz intend to create a fully secret trust, or a half secret trust?

3. What advice would you give to Pru if, rather than outliving Janusz and trying to keep Candy Cane Lodge for herself, Maxy had in fact died from severe caramel burns the month before Janusz died?

4. Would your advice differ if, after coffee and cake at the café, instead of taking the envelope from Janusz, Maxy had told Janusz that she did not wish to be a trustee?