The leading recent authority on beneficial interests in shared homes is Lloyds Bank plc v Rosset, where the House of Lords clarified what had become rather a confused area of law. By no means all the problems were resolved, however, and the House proceeded on the basis of a now commonly-held but nevertheless fundamental misapprehension, that common intention is relevant to the creation of a trust. It is our contention that once it is clear precisely whose intention is relevant, and why, many of the conceptual difficulties in this area disappear.
For the purposes of the discussion, we consider the two situations, where legal title to a home is vested in A alone, and where it is vested in A and B jointly. In each case, the question is whether B can claim a beneficial interest, and if so, what is its nature and extent.