On The Revocatory Right Of The Beneficiary

The institution of trust is not inherent in China, but it is transplanted from common law. In the trust relationship, the trustee has the right to manage or dispose of the trust property, while the beneficiary has the right to benefit from the trust property. Therefore, on the one hand, the regulative purpose of the trust law mainly lies in ensuring the realization of interests of the beneficiary or other trust purposes; on the other hand, the regulative emphasis of the trust law is to effectively regulate the trustee's act of exercising powers and performing duties so as to ensure that he does his duty. The remedial pattern of common law is fairly different from that of civil law when the trustee, in breach of trust, disposes of the trust property. The former adopts the right to trace the beneficiary enjoys against the trust property; the latter adopts the revocatory right of the beneficiary. Following the approach of civil law, the Chinese trust law adopts the system of revocatory right.Chapter one is an overview of the revocatory right. After a comparative law survey and analysis of scholars'opinions on this matter, I am convinced that the revocatory right refers to the right enjoyed by the beneficiary who can revoke the disposition so as to make it void, when the trustee, in breach of trust, disposes of the trust property. Whether he adopts the way of lawsuit is a matter of way of exercising right and irrelevant to the connotation of the right. As to the legal nature of the revocatory right, we can understand it from different angles. I am inclined to identify its legal nature based on its legal effects. The purpose of exercising the right by the beneficiary is to deny the illegal disposition of the trust property. In fact, so long as the beneficiary can exercise the right in time, it will make the trustee's illegal disposition null and void. Accordingly, based on the fundamental principle of right of formation, it is feasible to identify the right as a type of right of formation. The legal significance of a right ultimately lies in what interest it can give to the subject.