Equity & Trusts - Cy Près Doctrine

Cy-près literally translates as "so close" and allows the courts to slightly amend a charitable intention so that the trust does not fail. Nevertheless if a trust fails from the outset then it will become a resulting trust as per Re Rymer [1895]. The doctrine can be applied where there is a general charitable intention (Biscoe v Jackson [1887]). It also applies where the property has already passed and then the charity ceases to exist (Re Slevin [1891]). The underlying purpose must be exclusively charitable (Chichester Diocesan Fund v Simpson [1944]) but there can be a separation between the charitable and non-charitable elements (Re Clarke [1923]). According to the Charities Act 2011 the cy-près doctrine can be applied where: s. 62(1)(a)(i) – the purpose has been fulfilled as far as possible Ironmongers’ Co v A-G [1844] s. 62(1)(a)(ii) – the purpose cannot be carried out within the spirit of the gift Re Lysaght [1966] s. 62(1)(b) – the purpose only provides for use of part of the gift Re North Devon & West Somerset Relief Fund [1953] s. 62(1)(c) – the property can be usefully applied alongside other property for similar purposes Re Harvey [1941] s. 62(1)(d) – the area of the original purpose no longer exists Peggs v Lamb [1994] the original purpose is already provided for Oldham BC v A-G [1993]