Question 1

What is a resulting trust in Florida?

Accepted Answer

A resulting trust is a trust implied by law (not expressly created) when: property is transferred to one person but the purchase price was paid by another (a purchase money resulting trust), or an express trust fails or is incomplete (the property reverts to the settlor or their heirs through a resulting trust). In Florida: resulting trusts are recognized but disfavored. The party claiming a resulting trust must prove their claim by clear and convincing evidence (not just preponderance). The Statute of Frauds does not bar resulting trusts (because they arise by operation of law, not by written agreement).

Question 2

What is a purchase money resulting trust?

Accepted Answer

PMRT: arises when: Person A pays for property but title is taken in Person B’s name. The law presumes: Person B holds the property in trust for Person A (because Person A paid for it). Requirements: Person A must prove: they paid the purchase price (or a specific portion), the payment was made at or before the time of the conveyance (not after), and they did not intend a gift (if Person A intended to give Person B the property, no resulting trust arises). The presumption: can be rebutted by evidence showing the payment was a gift or a loan.

Question 3

How is a resulting trust enforced in Florida?

Accepted Answer

Enforcement: the beneficiary files a lawsuit seeking: a declaration that the property is held in trust (the court finds the resulting trust exists), and an order directing the trustee to convey the property to the beneficiary (the court orders Person B to transfer title to Person A). Evidence: the beneficiary must present clear and convincing evidence (a high standard; more than preponderance but less than beyond a reasonable doubt). The evidence should include: proof of payment (cancelled checks, wire transfers, closing documents), and evidence of the parties’ intent (testimony, correspondence, and other communications).

Resulting Trust Implied Property Return

Resulting Trusts in Florida

When It Arises

Requirements

Enforcement

Related Terms

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