A constructive trust arises as an equitable remedy for:

A constructive trust arises as an equitable remedy for:

• A. Simple transfer of property
• B. Contract performance
• C. Fraud or other wrongdoing resulting in unjust enrichment
• D. Clear title transfer

Answer: (C)

A constructive trust is an equitable remedy used to prevent unjust enrichment when someone acquires or retains property through fraud or other wrongdoing. The court treats the wrongdoer as holding the property as a trustee for the rightful owner, requiring delivery or transfer to the victim. This is not about a routine transfer of property or forcing contract performance; those are standard legal or contractual remedies. The essence is to remedy the inequity caused by wrongdoing by imposing a trust on the property in the wrongdoer’s hands so the rightful owner can obtain it.

A constructive trust is an equitable remedy used to prevent unjust enrichment when someone acquires or retains property through fraud or other wrongdoing. The court treats the wrongdoer as holding the property as a trustee for the rightful owner, requiring delivery or transfer to the victim. This is not about a routine transfer of property or forcing contract performance; those are standard legal or contractual remedies. The essence is to remedy the inequity caused by wrongdoing by imposing a trust on the property in the wrongdoer’s hands so the rightful owner can obtain it.