Which of the Following Is an Accurate Description of a Constructive

question 4

Multiple Choice

Which of the following is an accurate description of a constructive implied trust?

• A)The trustee has the power to choose the beneficiaries and the amounts to be paid to them.
• B)The parties clearly intended to create a trust,but did not express that intention.
• C)Each beneficiary is identified in the trust deed and has an equal share in the trust.
• D)A person has become the legal owner of property as the result of a breach of fiduciary duty.

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Definitions:

Trust Fund

A legal entity created to hold assets for the benefit of specific individuals or organizations, managed by a trustee.

Hold-Back

The retention of a part of the contract price by the owner as required under construction lien legislation to ensure payment of subcontractors and suppliers of materials.

Suppliers Of Goods And Services

Entities or individuals that provide the market with products or perform tasks as a business.

Property Owner

The individual or entity that holds legal title to or ownership of a property, including real estate or personal property.