resulting trust

law

Written by

The Information Architects of Encyclopaedia Britannica

Last updated

July 13, 2026

Quick Summary

A resulting trust is a legal mechanism in Anglo-American law where a trust is implied by courts to rectify a legal wrong, even if not consciously created by the parties involved. This occurs when one party provides funds for property purchase, but the legal title is held by another, and it wasn't intended as a gift or due to a close relationship. The property is then held in trust for the person who provided the money.1

Trusts, in general, involve a relationship where one person (the trustee) has the power to manage property, and another (the beneficiary) has the right to benefit from it. This divides ownership between legal and equitable interests, a concept originating from separate English courts. The trustee has legal ownership and fiduciary duties to manage the property for the beneficiary's benefit.12

Summary created from Britannica articles using AI. AI can make mistakes, so verify using Britannica articles.

3 Britannica Sources

Ask Britannica AI about this topic

Britannica doesn't have a full article on this topic, so we've curated a list of our relevant coverage.

trust
…is frequently called a “resulting trust.”) Finally, courts will sometimes impose a trust relationship upon parties where there is no evidence that such a relationship was intended. For example, where one party obtains property from another by making fraudulent representations, the defrauding party is frequently required to hold the…
Read More
…is frequently called a “resulting trust.”) Finally, courts will sometimes impose a trust relationship upon parties where there is no evidence that such a relationship was intended. For example, where one party obtains property from another by making fraudulent representations, the defrauding party is frequently required to hold the…
Read More