Stack v Dowden [2007] 2 All ER 929

Court: House of Lords

Basic Facts: The case involves determining the basis for a "common intention" constructive trust in the context of property ownership between cohabitants.

Issue for the Court: When does a “common intention” constructive trust arise?

Held: The court emphasized that where property is jointly owned, the starting point is equal shares unless evidence suggests a different intention.

Lord Walker (majority, dismissing the appeal):

• Constructive trusts and proprietary estoppel should not be conflated; constructive trusts identify beneficial ownership based on shared intentions.

• A “common intention” constructive trust arises from parties’ shared actual or imputed intentions regarding property ownership.

Baroness Hale (majority, dismissing the appeal):

• When property is conveyed into one person’s name, the burden is on the non-owner to prove any interest in the property.

• Joint names on a property typically indicate joint legal and beneficial interests unless proven otherwise.

Lord Neuberger (dissenting but still dismissing the appeal):

• Inferred intentions must be based on objective evidence of the parties' actual intentions rather than imputed intentions.

• The approach should consider the context and actions of the parties to determine their common intentions.