What is the test for establishing a constructive trust in the name of a best friend?

British Columbia, Canada


The following excerpt is from L.D.M. v. D.R.M., 2008 BCSC 1752 (CanLII):

Manderson v. Foster, 2000 BCSC 787, 97 A.C.W.S. (3d) 365 involved parties who did not have a marital or romantic relationship, but were best friends and jointly purchased a house under agreement in the defendant’s name, with the plaintiff contributing monthly mortgage payments. The court found that the plaintiff’s contribution to the defendant’s property amounted to unjust enrichment and justified finding a constructive trust for the plaintiff.

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