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ARTICLE · 01 JUNE 2025

What is a Constructive Trust

A constructive trust is the court's way of saying, "That's not fair, and we're not letting it slide."

AustraliaConsumer Protection

Say you've been pitching in—covering mortgage repayments, pouring sweat equity into renovations, or tipping in a chunk of your savings for a deposit—but the house isn't in your name.

That might sound like bad luck, but under Australian law, it doesn't have to be the end of the story.

If there was a mutual understanding that you'd have a stake in that property, the courts might just step in and level the playing field.

That's where a constructive trust comes into the picture.

A constructive trust is the court's way of saying, "That's not fair, and we're not letting it slide."

It's a legal tool used when someone's holding onto an asset—like real estate, business interests, or inherited property—that someone else has helped them build, fund, or improve.

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