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resulting trust

   Also found in: Dictionary/thesaurus, Legal, Wikipedia 0.01 sec.
resulting trust

A trust that is implied by law as necessary to carry out the true intentions of the parties involved. It typically arises when one transfers legal title to another for various reasons, but both parties intended the grantor to retain all benefits from the property. If an elderly person transferred her home to a child as an estate planning tool,but continued to live in the residence,the law would not allow the child to sell the home and keep the proceeds. It would, instead, impose a resulting trust.Contrast with a constructive trust.



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