Withers v. Bousfield

Holding

The court held that the guarantors of a promissory note lacked standing to challenge the validity of a trust deed securing that same note, as they were not parties to the trust and their contractual obligation was independent and limited. Furthermore, the court ruled that even if the trust contained an invalid provision, such a defect would not render the entire security arrangement unenforceable, as the main purpose of the trust was valid and severable, and the instruments could alternatively be construed as creating an equitable mortgage.