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Equity – Mistake. The claimant trustees of a settlement applied for an order to set aside a clause in a deed of appointment on the ground of equitable mistake. The intention had been for relevant share to remain in the settlement in order to avoid any charge on them to capital gains tax for the foreseeable future. However, the effect of the clause had been to appoint the shares and a cash sum in the first claimant absolutely. The Chancery Division, in allowing the application, ruled that the claimants were entitled to rescission where the mistakes had been causative and very serious and where it would be unconscionable in principle to leave the appointment uncorrected.
Equity – Mistake. The claimant trustees of a settlement applied for an order to set aside a clause in a deed of appointment on the ground of equitable mistake. The intention had been for relevant share to remain in the settlement in order to avoid any charge on them to capital gains tax for the foreseeable future. However, the effect of the clause had been to appoint the shares and a cash sum in the first claimant absolutely. The Chancery Division, in allowing the application, ruled that the claimants were entitled to rescission where the mistakes had been causative and very serious and where it would be unconscionable in principle to leave the appointment uncorrected.
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