Skip to main content

Purchase Money Resulting Trust

In trusts and estates law, a purchase money resulting trust is used in domestic partnership when the domestic property is purchased by both partners, but the title is only in the name of one partner. If the title-holder dies intestate, the purchase money resulting trust is awarded to the non-title holding partner on restitutionary grounds, provided the non-title holding partner has given consideration for the property.

 

Dean and Linda live together but are not married. Linda paid for half of the price of the house, but the title is taken only in Dean’s name. Dean dies without a will. Even though title to the house was taken only in Dean’s name, Linda is entitled to half the value of the house, so long as she can prove she provided half of the purchase price.

A purchase money resulting trust may be established where one takes a deed to property in his own name, but the purchase money is provided by another.

Somer v. Bogart, 749 S.W.2d 202, 204 (Tex.App.-Dallas 1988)