a thesis - Institute of Advanced Legal Studies

90 IMPLIED TRUSTS.
admissible to prove that the transfer is intended to
include the beneficial interest; otherwise it is admissible.
The rules relating to implied trusts or trusts arising by operation
of law are an artificial extension of the law of trusts, for the
sake of justice and convenience, to various cases in which a legal
interest in, or a control over, property has been gained in circumstances
which make it inequitable for the person having that
interest or control to deal with the property as beneficial owner.
These trusts answer to the class of " implied contracts," or " quasicontracts
" in the field of contract law. (See Encyc. Eng. Law,
vol. i. 11.) In the words of Lord Justice Kay (1893, 2 Q. B. 400),
the person whom it is sought to affect with the trust is not a
trustee at all, although he may be liable as if he were. In the
Indian Trusts Act, 1882, they are perhaps more properly termed
" obligations in the nature of trusts." As has been shown in
Chapter II., they are by English lawyers sometimes called "implied
trusts," sometimes " constructive trusts " ; and one species is
known as " resulting trusts," and sometimes the term " implied
trusts " is used to denote the latter. On the whole, it seems best
to term them generically " implied trusts," and to subdivide them
into A., resulting trusts, and B., constructive trusts—the difference
between resulting and constructive trusts being that the former
are based upon the presumed intention of the parties; the latter
are independent of any such intention, being raised by construction
of law merely.
Resulting trusts arise in four classes of cases :—
1. When no trust is expressed or the trust expressed is incapable
of taking effect, or is executed without exhausting the trust
property.
2. When property is purchased by one person, but the conveyance
or transfer is made to another.
3. When property is conveyed to two or more persons as joint
tenants, but such persons are in equity tenants in common.
4. When the purpose of a trust or transfer is illegal.
With regard to the first class, the rule may be stated to be that
where the owner of property transfers it, but appears not to intend