Lecture 3 tutorial question

Leaning outcome
By participating in the discussion of the questions, you will be able to have a better
understanding in the concept of co-ownership and the concept of trust.

1. What are the relationships between the co-owners when a property is given to:
1.1. A, B and C?
1.2. A, B and C equally?
1.3. A, B and C in equal shares?

2. Assuming that A, B and C hold the property as joint tenants. Go back to the
scenario in 1.1, what will their relationship be if A sells his interests in the
property to his friend Z?

3. Again, in scenario 1.1, A sold his shares in the property to B instead of Z. C died
subsequently. What happens to the ownership of the property?

4. Supposing you own a piece of land upon which you constructed a three-storey
building and with each floor has one flat and served by a lift and an entrance hall
etc.
4.1. You own the ground floor and lease out one to B and one to C. What are the
relationships between you, B and C?
4.2. What are the relationships between you, B and C if you sell the second floor to
B and the third floor to C?
4.2.1. In such a case, what do B and C own?
4.2.2. B has always been placing his belongings at the entrance hall making it
impossible for you to use the lift. Can you sue B for trespass?
4.2.3. In the absence of other arrangement, can you use the flats of B and C without
their consents?
4.2.4. what kind of arrangement that you can think of in order to deal with the
problems arise in 4.2.2 and 4.2.3
4.2.5. Have B and C any land in real sense?

5. In relation to the land on which multi-storey building is constructed and a

company limited by shares: is there any difference or similarity in what the
owners of flats in the building own and the owners of the shares of the company
own?

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6. While in law, a company is regarded as a real person; in fact, we know that the
company’s capital is from the shareholders in that the company obtains the
capital by issuing shares to the shareholders in return for money, which
represents the investment of the shareholders in the company. To that end, we
may say that the shareholders are the ultimate owners of the company and are the
ultimate employers of the directors of the company, who manage the company by
making use of the capital or assets of the company. Can you think of or do you
have idea of any other kind of legal relationship that is similar to the relationship
between the directors and the shareholders?

7. A has properties and children. A’s wish is that he does not want to give his
properties to his children though it is his wish that his children can be taken care
of by making use of the income generated from the properties.

B and C are the best and trusted friends of A, and they have promised A to fulfill
A’s wish after A dies by agreeing to manage the properties for A and give the
income generated to A’s children. Advice A as to the legal device he can make
use of for the fulfillment of his wish. Has the concept of co-ownership any
relevancy to your advice?