121:
701:, and the duty to do equity may be recognized in some jurisdictions. For instance, if a transferor conveys property for an unlawful purpose and benefits from it, a court might rule that the transferor has waived the right to claim a resulting trust. Courts in these situations balance the transferee's unjust enrichment against enabling cheating by the transferor. Allowing a cheater to gain from such transactions would undermine the court's integrity.
806:, Lord Browne-Wilkinson stated that a resulting trust arises due to a legal "presumed intention to create a trust in favor of the settlor". - It's also suggested that the trust arises from a "lack of intention to benefit the recipient". This could be referred to as the Chambers Model of intention, where the settlor intends to retain the beneficial interest in the property but transfers the legal title.
684:
An exception to the presumption of gift is property transfers between spouses. This exception arises from the fiduciary duty spouses owe each other, based on a special trusted relationship implying utmost good faith and fair dealing. Spouses are generally incapable of transmuting property, except
809:
Differentiating between a positive intention to retain beneficial interest and a lack of intention to benefit the transferee is significant. It's often harder to prove intention than to establish the circumstances for a legal presumption. Rebutting a presumption might be easier than disproving
754:, evidence was presented that a woman had purchased stock in the names of herself and her grandson; the grandson and granddaughter-in-law's evidence that this was a gift was admissible. However, the presumption only considers an intention to create a trust, not ulterior motives.
707:
In scenarios involving illegality, distinguishing the implementation of a resulting trust theory (implied by operation of law) from an oral express trust (implied by facts) can become difficult. A transferor failing under one theory might still succeed under the other.
742:
For instance, if A transfers property to B, except when the transfer is between parents and children or spouses, the law presumes a resulting trust for A in the absence of evidence to the contrary (unless A provides evidence that the property is actually owned by B).
746:
The main categories of fact situations giving rise to a presumption of a resulting trust are: - A voluntary conveyance of property by A to B - A monetary contribution by A to purchase property for B (The
Venture, P 218, (1907) 77 L.J.P. 105.)
778:
These trusts take effect by operation of law and are automatic. They can arise when a settlor sets up a trust for a third party, but there's an initial failure due to the lack of defined beneficiaries or changing objectives.
793:
Some academics suggest automatic resulting trusts arise only when a property has been transferred to a trustee on an express trust, where the trustee has legal title to the property, to be held on trust for the settlor.
681:, it's usually presumed that they hold the property in trust for the transferor, unless proven as a gift. This presumption of gift applies to transfers between siblings, uncles, aunts, children, and grandchildren.
677:
The law presumes that transferring property to a family member, particularly for supporting a relative, is legitimate. However, when an unrelated party receives substantial value without providing
739:
These trusts arise when A transfers property to B, and the law creates a rebuttable presumption of a resulting trust if A's intention is unclear (absence of written evidence).
657:
693:
In common law jurisdictions, a resulting trust is an equitable creation, rather than a common law concept. Consequently, equitable defenses like
670:
Some jurisdictions might establish a rebuttable presumption of gift for property transfers between relatives. This presumption could serve as an
46:, where property is transferred to someone who pays nothing for it; and then is implied to hold the property for the benefit of another person.
685:
under specific circumstances where they make an EXPRESS DECLARATION of transmutation through a clear statement in a dignified document.
802:
In relation to automatic resulting trusts, there's some difference in expressing the nature of the settlor's intention: - According to
57:: on the face of it the property in question has been transferred to the recipient (and indeed it has come into the recipient's
650:
480:
351:
284:
766:
Despite the general presumption of resulting trust, this doesn't apply to voluntary transfers of land due to the
717:
643:
270:
574:
496:
358:
153:
112:
922:
770:
s.60(3). However, the court can still consider extrinsic evidence to establish the creation of a trust.
822:, there's no doctrine of resulting trusts. The main remedy, if any trust purposes fail, would be as an
204:
68:
Not all trusts where the settlor is also the beneficiary are resulting trusts. In common law systems,
963:
546:
277:
767:
444:
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that clearly state the settlor as the beneficiary are typically not considered resulting trusts.
898:
553:
473:
432:
146:
786:, or when trust objectives become impossible or irrelevant by the time of the transfer, as in
758:
exemplifies this, where fraudulent intent didn't defeat the presumption of a resulting trust.
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219:
522:
487:
400:
258:
62:
8:
671:
439:
344:
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Ch 269. According to
Megarry J, there are two sorts of resulting trusts in English law.
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The trust property is said to "result" or revert to the transferor (as an implied
694:
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375:
233:
226:
92:, where the beneficial interest vanishes while the beneficiary interest remains.
631:
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For example, when the settlor names beneficiaries who can't be defined, as in
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in petitions to establish a resulting trust implied by operation of law.
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120:
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129:
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265:
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510:
61:), but the legal owner is not permitted to benefit from it, and so
727:
An attempt to classify resulting trusts was made by
Megarry J in
515:
50:
863:"result | Etymology, origin and meaning of result by etymonline"
828:
Westdeutsche
Landesbank v Council of London Borough of Islington
238:
84:
to the settlor, or if the settlor has died, to the settlor's
614:
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Other jurisdictions might disregard an unlawful purpose.
813:
711:
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798:Settlor's Intention in Automatic Resulting Trusts
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65:of the property springs back to the settlor.
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88:. This concept is illustrated in the case of
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644:
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90:Vandervell v Inland Revenue Commissioners
938:Fowkes v Pascoe (1875) LR 10 Ch App 343
956:
750:These presumptions are rebuttable. In
887:An Introduction to the Law of Trusts
688:
13:
14:
980:
722:
814:Resulting Trusts in South Africa
285:Acts of independent significance
119:
788:Re Gillingham Bus Disaster Fund
718:Resulting trusts in English law
712:Resulting Trusts in English Law
575:Advance directive (Living will)
474:Hague Convention (conflict law)
76:Beneficial Interest and Outcome
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932:
915:
891:
879:
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729:Re Vandervell's Trusts (No. 2)
53:). This use of "result" means
1:
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42:that comes into existence by
947:Tinsley v Milligan 1 AC 340
735:Presumptive Resulting Trusts
352:Accumulation and maintenance
154:Joint wills and mutual wills
7:
923:"California Legal Research"
833:
10:
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774:Automatic Resulting Trusts
762:Voluntary Transfer of Land
715:
205:Incorporation by reference
784:Morice v Bishop of Durham
24:
885:Gardner (Secret trust),
768:Law of Property Act 1925
481:Application in civil law
278:Satisfaction of legacies
80:The beneficial interest
96:Closely-Related Parties
554:Disclaimer of interest
359:Interest in possession
147:Legal history of wills
497:Estate administration
415:Reversionary interest
220:Testamentary capacity
523:Power of appointment
488:Dishonest assistance
259:Lapse and anti-lapse
253:Property disposition
63:beneficial ownership
672:affirmative defense
454:Governing doctrines
21:
16:Type of legal trust
899:"Vandervell v IRC"
867:www.etymonline.com
756:Tinsley v Milligan
530:Simultaneous death
445:Supplemental needs
191:Attestation clause
19:
841:Pettitt v Pettitt
824:unjust enrichment
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667:
297:Pretermitted heir
246:No-contest clause
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31:
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964:Wills and trusts
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689:Unlawful Purpose
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467:Cy-près doctrine
433:Asset-protection
198:Residuary clause
173:Holographic will
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44:operation of law
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18:
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585:Forced heirship
559:Inheritance tax
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234:Insane delusion
227:Undue influence
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59:legal ownership
36:resulting trust
20:Resulting Trust
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40:implied trust
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969:Equity (law)
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907:, retrieved
905:, 2021-08-07
902:
893:
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870:. Retrieved
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820:South Africa
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590:Totten trust
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334:Common types
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327:Constructive
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128:Part of the
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810:intention.
580:Blind trust
547:Advancement
535:Slayer rule
394:Spendthrift
383:Other types
55:spring back
28:Legal Trust
958:Categories
909:2021-08-31
872:2023-10-24
849:References
600:common law
389:Protective
366:Charitable
130:common law
903:Knowledge
506:Intestacy
405:Remainder
376:Incentive
320:Resulting
271:Abatement
266:Ademption
178:Oral will
834:See also
632:Evidence
620:Property
610:Contract
511:Testator
428:Honorary
185:Sections
516:Probate
371:Purpose
315:Express
213:Contest
166:Codicil
113:estates
82:results
51:settlor
844:AC 777
695:laches
598:Other
306:Trusts
132:series
108:trusts
86:estate
38:is an
926:(PDF)
602:areas
239:Fraud
138:Wills
104:Wills
615:Tort
340:Bare
111:and
25:Type
818:In
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