A gift is the transfer of legal property such as land, house or money. Since there is no consideration for the gift, a gift is not considered a contract and, as such, a gift will fail if the person giving the gift does not take the necessary steps to opt out of the gift. gift. If a gift fails, it goes to the person who intended to make the gift or to that person's estate when the gift is testamentary. A fully constituted trust implies that the trust property is vested in the trustees and that the trust is binding on the grantor who cannot revoke the trust. When trust property is not properly vested, the trust is considered incompletely constituted and is void because equity will not compel the grantor to complete the trust. The principles of setting up trusts are derived from the case of Milroy v Lord (1862 where Turner LJ stated that the full establishment of a trust requires the actual transfer of property from the person making the gift to the beneficiary, a transfer of the gift provided to the trustees which will be held in trust for the beneficiaries or the self-declaration of a trustee The principle in this case is that a gift can only be executed in equity if it satisfies one of the three requirements. When the trust does not meet any of the three requirements, the trust is considered imperfect or incompletely constitutes a trust. To complete all the formalities required by common law, equity will not assist the intended beneficiary and the gift will therefore be. imperfect. The applicable equitable maxim is that equity will not complete an imperfect gift. Equity will not help a volunteer. The common rule in equity is that “equity cannot perfect an imperfect gift. was a demonstration......middle of document......am R, Incompletely Constituted Trusts: Covenants to Settle Property (Equity & Trusts: Text, Cases, and Materials 2013).Bray J, Key Cases : Equity & Trusts (Routledge2013)Bray J, A Student's Guide to Equity and Trusts (Cambridge University Press 2012)Ramjohn M, Equity and Trusts 2009-2010 (Taylor & Francis 2009)Hudson A, Understanding Equity and Trusts (Routledge 2012) Ford E, “Incomplete Gifts in Equity” (2002) 13 King's Law Journal 222Finn P, “Common law divergences” (2013) 37Melbourne University Law Review 509Smith L, “Common Law and Equity” (2011) 68 Washington & Lee Law ReviewAndrews N , Strangers to Justice No Longer: The Reversal of the Privity Rule under the Contracts (Rights of Third Parties) Act 1999 (2001) 60 The Cambridge Law Journal 353Andrews N, “Does a third party beneficiary have a right under English law? ' (1988) 8 legal studies 14