Lady A-S’s had life interest in a fund in New York.
Trustees, after meeting tax and expenses, retained
balance of income, obtained from dividends, in New York.
Was Lady A-S the beneficial owner of the dividends as
they arose? If so she could be taxed.
She argued her only right as benefit was to seek court’s
assistance to force trustees to perform trust.
House of Lords rejected this argument by bare
Lord Wrenbury said her right was an ‘equitable right
[Case criticised by Hanbury as being against equitable