Competing claims by a father and his solicitor son as to the extent of their respective beneficial shares in the family home at 122 Church Lane, East Finchley, London N2, have ended in High Court success for the father.
The Court was told that Aubin McKenzie and his son, Leonard McKenzie, were both registered as owners with title absolute of the property, a former council house. The father had purchased the house in the late 1980s, under the right-to-buy-scheme, for £27,000, and it is now said to be worth somewhere in the region of £300,000.
The father claimed to be the only person now beneficially interested in the property. He claimed that he and his late wife were the only persons to have contributed money for the acquisition and said that although their son had agreed to lend his name to enable them to obtain the mortgage that they needed to fund the acquisition, they were all agreed that he was not to have a share in the equity.
Anthony Tanney, counsel for the father, argued that, in the circumstances, his client was the sole beneficial owner under either a constructive or implied resulting trust.
The son claimed that he was similarly entitled under a constructive or presumed resulting trust to a one-third beneficial interest.
Arthur Moore, counsel for the son, said that his client had contributed to mortgage payments from the outset, and that it was always intended that he should have a beneficial interest.
Accepting the father’s evidence that it had never occurred to him that his son would be entitled to a beneficial share in the house during the lifetime of his parents, Deputy High Court Judge Robert Hildyard ruled that the father had established his legal right and entitlement to deal with the property as its sole beneficiary.
However, he added that he accepted that it was largely through the son’s assistance that the father was “in the position of owning a now valuable property”.
McKenzie v McKenzie Chancery Division Deputy High Court Judge Robert Hildyard QC 12 February 2003.
References: PLS News 12/02/03
