Is a wife entitled to have her husband declared trustee for her?

British Columbia, Canada


The following excerpt is from Tim v. Lai, 1986 CanLII 948 (BC SC):

The equitable principle of resulting trusts was carefully stated by Lord Chief Baron [Eyre] in Dyer v. Dyer (1788), 2 Cox 92, 30 E.R. 42 at 43: The clear result of all the cases, without a single exception, is, that the trust of a legal estate, whether freehold, copyhold, or leasehold; whether taken in the names of the purchasers and others jointly, or in the name of others without that of the purchaser; whether in one name or several; whether jointly or successive, results to the man who advances the purchase-money. See also Elford v. Elford, supra, especially Duff J., at p. 341, who said: The respondent was the registered owner of the lands under dispute. She had given her husband a power of attorney conferring upon him a wide general authority to deal with them, but this general authority did not embrace the power to execute a conveyance in favour of the agent himself. Any attempt to acquire a title by such a use of authority vested in him would be a fraud upon the power. Prima facie, therefore, the wife is entitled to have the husband declared trustee for her.

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