Edie holds title to Floyd's property under circumstances that, although nothing is express, indicate this is apparently only for Floyd's benefit. This is
A) an illegal trust.
B) an living trust.
C) a resulting trust.
D) a testamentary trust.

Question

​Edie holds title to Floyd's property under circumstances that, although nothing is express, indicate this is apparently only for Floyd's benefit. This is
A) ​an illegal trust.
B) ​an living trust.
C) ​a resulting trust.
D) ​a testamentary trust.

Quizplus · Accepted Answer

A resulting trust arises when a person (in this case, Edie) holds legal title to property, but the circumstances suggest that they only hold it for the benefit of someone else (in this case, Floyd). The trust is called "resulting" because it results from the circumstances surrounding the transfer of the property, rather than being created by an express declaration or written agreement. Therefore, a resulting trust is the best choice in this scenario.

​Edie Holds Title to Floyd's Property Under Circumstances That, Although

Edie Holds Title to Floyd's Property Under Circumstances That, Although