Question
Max is the sole registered proprietor of Orchard House. His partner, Mia, and their two children live in the family home with him. Mia did
Max is the sole registered proprietor of Orchard House. His partner, Mia, and their two children live in the family home with him. Mia did not contribute to the purchase of the house and has no earnings as she looks after the children full-time.
Max's sister, Yasmin, lives in a self-contained apartment on the top floor of the property and contributes to the household expenses. Yasmin sold her own flat and moved into Orchard House when Max and Mia were struggling to make their mortgage repayments several years ago. Yasmin used the proceeds of sale from her flat to pay off the mortgage on Orchard House. In exchange, Max agreed that Yasmin would own 50% of the property by means of a trust, following the advice of Yasmin's son, Rufus, a Law student. Rufus drafted a document setting out the terms of the trust and it was signed by Max.
No restriction has been entered on the Proprietorship Register to protect Yasmin's interest. Max and Mia recently fell out with Yasmin and put the property up for sale. They waited until Yasmin was away visiting Rufus in New Zealand, before inviting the prospective purchaser, Peter, to view the property. Max, Mia, and their children were present during the inspection, but Max and Mia had boxed up Yasmin's possessions and placed them in the attic. However, her piano remained in the apartment and her car was parked in the garage.
The purchase was completed, and Peter was registered as the new owner before Yasmin returned. Max and Mia have set off to tour the world, using the money from the sale of Orchard House to purchase a motorhome.
Advise Yasmin with the IRAC method.
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