Kelly v Campbell

In *Kelly v Campbell*, the High Court of Australia considered a dispute concerning the interpretation of a will. The case involved the appellant, Ms. Kelly, who was the beneficiary of a discretionary trust established by the deceased, and the respondent, Mr. Campbell, who was the executor of the deceased's estate. The central issue revolved around whether the deceased's will had effectively created a discretionary trust for the benefit of Ms. Kelly, or if the purported trust was void for uncertainty.

The High Court was required to determine whether the language used in the will evinced a clear intention to create a trust, and if so, whether the beneficiaries and the subject matter of the trust were sufficiently defined to be ascertainable. Specifically, the court had to consider the principles of certainty of intention, certainty of subject matter, and certainty of objects in the context of a discretionary trust.

McHugh J, delivering the judgment, applied the established principles of trust law, particularly the "three certainties" required for the creation of a trust. His Honour found that while the deceased had expressed a desire to benefit Ms. Kelly, the wording of the will did not demonstrate a sufficiently clear intention to create a legally binding trust. The subject matter of the purported trust was also found to be uncertain, as the will did not specify the assets to be held on trust. Consequently, the court held that the purported trust was void for uncertainty.

The High Court ordered that the appeal be dismissed, upholding the decision of the lower court that the deceased's will had not effectively created a valid discretionary trust.