It is true that there is no need for a formal deed, but the crucial point as to whether it is a trust or not is the understanding of the parties when it was set up. So I think it would need there to be an understanding or agreement (not necessarily in writing) at the time of the payment saying that the clmt had no access to the funds. To me that makes no sense as the money is hers from a compensation payment and not her mother's, regardless of where it is kept.
I'd be happy to go to appeal on that basis and put the ball in her court to prove she has no access.
