What is an example of a constructive trust in civil law?
A constructive trust is an equitable remedy created by a court to prevent unjust enrichment. In civil law, this type of trust is set up to ensure that title to property is awarded to the rightful beneficiary rather than to someone who has wrongfully or improperly acquired title to the property. In Hawaii, a constructive trust can be created in a number of different scenarios. For example, if someone receives a gift of real property without properly registering the deed, a constructive trust can be established to divest the recipient of title to the property and restore it to the rightful owner of the gift. In other cases, a constructive trust can be used to rectify situations where there is a conflict of interest between two parties. For example, if a real estate broker acts as an agent for both the buyer and the seller, a constructive trust can be used to divest the broker of any interest in the property and award it to the rightful owners. In all cases, a constructive trust in civil law is used to ensure that the rightful owner receives title to the property and that any unjust enrichment is rectified.
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