In what circumstances will the court impose or impute a resulting trust in favour of the transferor?

British Columbia, Canada


The following excerpt is from Campbell v. McLelland, 1995 CanLII 961 (BC SC):

62 Where unjust enrichment has been established, the law may consider, having regard to the circumstances, the way in which equity can be satisfied. The court may impose or impute a resulting trust in favour of the transferor. In Hussey v. Palmer, cited above, a case with similar facts, the court did impose a resulting trust - giving to the plaintiff an interest in her son-in-law's house proportionate to the money she had put into the house for the construction of an extension.

63 In Peter v. Beblow, cited above, the majority of the court said that the first step in fashioning a remedy is to determine whether a monetary award is insufficient, and if so, whether sufficient nexus between the contribution of the plaintiff and the property in issue has been made out. In considering whether a monetary award is sufficient, the court may consider the probability the judgment will be satisfied, as well as any special interest in the property acquired or enhanced by the plaintiff's contributions.

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