Rediscovering the Resulting Trust: Modern Maneuvers for a Dated Doctrine?

Usually thought of as only a remedial measure, the resulting trust may now be ready to take on an expanded role. Although not considered devolutionary vehicles per se, resulting trusts can direct the passage of title, and are therefore potentially useful estate planning tools. To serve in this capacity, the applicable principles used to raise resulting trusts must be introduced at the time of the transaction and not resorted to as an afterthought at some later date. Using resulting trusts in such a manner is arguably inconsistent with the theory supporting their existence.

This article suggests, however, that the courts - perhaps unwittingly - have opened the door for this practice. Whether the benefits accruing from permitting such activity outweigh the yet unseen dangers is an issue worthy of consideration.