Resulting trusts

• What is a resulting trust implied by law?

  It is a presumed but unexpressed intention of the settlor.
• What happens to the equitable interest in a resulting trust?

  It reverts back to the seller.
• When is a resulting trust implied in a property transfer?

  When property is transferred without consideration and no evidence for the reason for the transfer exists.
• What is presumed about legal title in the name of a non-paying person?

  They are presumed to hold legal title on resulting trust for the purchaser.
• How is legal title held when both parties contribute to a property purchase?

  It is presumed to be held on trust for them both in proportion to their respective contributions.
• What must a person claiming to be a beneficiary provide?

  Clear and convincing evidence that they supplied the money.
• How can a legal title holder rebut the presumption of a resulting trust?

  By submitting evidence that no trust was intended and the money was used as consideration for a gift, loan, or payment of debt.
• What types of evidence can be used to rebut a resulting trust?

  Acts or statements made before or at the time of the transaction, not after.
• What happens when a settlor creates express trusts but fails to dispose of all trust property?

  A resulting trust arises when a contingent interest did not vest and the trust instrument failed to provide for that event.
• Who holds property on resulting trust when a trust fails to dispose of all trust property?

  The trustee holds the property on resulting trust for the settlor.