It might be worth noting that the Victorian Court of Appeal in McNab v Graham (2017) held that the constructive trust that a ppty estoppel may give rise to is institutional
and not remedial, and arose independently of any order of the court.
I don't really understand myself how estoppel (properly so called) can give rise to a constructive trust. How can stopping someone from asserting a right or proving a
fact create a trust?
That said, it might be possible to say that in certain scenarios where a party has a cause of action based on ppty 'estoppel' the facts (as opposed to the estoppel) justify
existence of a constructive trust.
Tim
From: Gerard Sadlier <gerard.sadlier@gmail.com>
Sent: Wednesday, March 1, 2023 6:08:12 AM
To: obligations@uwo.ca <obligations@uwo.ca>
Subject: Constructive Trusts and Proprietary Estoppel Questions
Dear all
I'd be really grateful for recommendations regarding literature (and
references to leading non-UK cases) regarding remedial constructive
trusts. (Self-promotion gratefully received.) I'm trying to understand
the discretionary factors that motivate those Courts that do recognise
remedial constructive trusts to impose them in a given case more
fully than I do (doubtless due to my own limitations).
Separately, one question regarding proprietary estoppel that I have
never understood is this:
In what circumstances ought the Court to make an order regarding
specific property (say an order that a specific farm (the cases do
seem to be disproportionately about farms for whatever reason), a
house etc. or an interest therein be
transferred) as opposed to an order for financial compensation to
satisfy the equity created by reason of such a proprietary estoppel?
Suppose by my conduct I have acted so as to make it inequitable for me
to deprive another of an interest in property promised to them (the
classic case of "some day all this will be yours my son and until
then, please work for me for next to nothing to make it better".) In
what circumstances ought I to be obliged to transfer an interest in
specific property and in what circumstances ought I to be able to say
I will make good the equity by paying money (which will enable the
recippient to buy another farm, property, piece of art, whatever the
case concerns.)
Kind regards
Ger