September 23, 2026 – Constructive Trust vs Express Trust

“A constructive trust operates with the same force as an express trust. The difference is that one arises from circumstance, whereas the other is created by deed or another formal instrument. Ultimately, the facts must establish a compelling equitable justification for deeming someone’s property the property of another, in the absence of express settlement of a trust. In Moore v. Sweet, 2018 SCC 52, [2018] 3 S.C.R. 303, at para. 33, the Supreme Court cautioned:

[A] proper equitable basis must exist before the courts will impress certain property with a remedial constructive trust. The cause of action in unjust enrichment may provide one such basis, so long as the plaintiff can also establish that a monetary award is insufficient and that there is a link between his or her contributions and the disputed property. … Absent this, a plaintiff seeking the imposition of a remedial constructive trust must point to some other basis on which this remedy can be imposed, like breach of fiduciary duty.”

Kimberley Jackson et al. v. Steven Jackson, et al., 2025 ONSC 4703 (CanLII) at 31

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