What is the test for imposing a constructive trust on assets held in a personal trust?
British Columbia, Canada
The following excerpt is from A.C.W. v. R.A.A.W. et al., 2004 BCSC 281 (CanLII):
The plaintiff argues that, even if the trust is validly constituted, the assets in it should be found to be subject to a constructive trust for her benefit on the basis of the principles set out in Peter v. Beblow. The imposition of a constructive trust is available to remedy an unjust enrichment. An unjust enrichment arises, in the words of McLachlin J. (as she then was) in Peter v. Beblow at para. 3: ...when three elements are satisfied: (1) an enrichment; (2) a corresponding deprivation; and (3) the absence of a juristic reason for the enrichment.
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