ÿWPCR õ ú†¹:ç6Y@ûJmæfÙ4Óšuúb#È ¶xI6ÄÏ\š*Õm#1“:‚‰K`]à lDÛ’‰ÒŽûQ–WÏ··ùt8äÉgïkjwÐYEr›D'cXð ©®ÍD¥%G”{ÓNIœáû¼Ýázn‘µ¿àü]³ƒì¥ ÜÇÌ>h§D=©(4€„°ÅŽSøJãä锳¹6ñº_ð Ð-Wy[—÷Ài÷F}ÜYOïï?Â!O;{œ  œÂPpImC¸- gÕ·‚¨ßC{÷ãçåLÆG&$µ@~ü—Û²»\gaìØß¬ÑnsØ•V˜û›BÐ!ÃÈ×£…Þ iÈ3¯¾?+{8ê&4µ5¸ºº%Y«œGè½F0έ7!õPÞ¸ˆWüÒ@ç§]—Ã6§cúX^°¨•*|Ȫò9@[/TøÜÌX^Mþî‡L¼“O¦NÔ’”1 zŠ<‹ØRuÏiËGÎ-Æk¸zÆZÐYøD~AE Ï&z\ü^¼ât‹.ÿ7«ÇwÕ~¡ˆlÔíU€Ž«Háĉß°Ãw¬Ùr"n–o%^œ³æË! tRûr\òh€î ~„m_'ûËãçÕ6@ÙúKYˆ2ÓB€Èb#Á\ % ^ # 0ˆ/ UN· w 4 z Ò— i x mz ‘ Æ™ Æ_ Æ% Æë ƱNwU@y 0D¹Eýaÿç``````````````````````bGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGGG 0ëOOOO B:: 0¤W D3û D-. 0K[[ AS¦Æù 0¤¿ 0Dc A«§˜HP LaserJet 4050 Series PCL 6ÈÈ,,,,ÈÈ0»Š{f-s (`£ª$¡¡Ñ€.ÑÑ8€½­»»d»»d8ÑÑ ý ÑÓ  Ó(í€"  Z6Times New Roman Regularš‚,-ê:i¢Ø+00 ˜C:\PROGRA~1\COREL\WORDPE~1\TEMPLATE\CUSTOM~1\REVISE~1.WPTC:\Program Files\Corel\WordPerfect Office 2000\Template\Custom WP Templates\revised standard opinion.wpt3|x ÿU‹ÿÀÀÀ Level 1Level 2Level 3Level 4Level 5‚Level 1Level 2Level 3Level 4Level 5„Level 1Level 2Level 3Level 4Level 5…Level 1Level 2Level 3Level 4Level 5 ¼Ý ƒR*$ÝÓ  Óà  àòòÚ  Ú1Ú  ÚóóÔ€ôí•ò»»ÔÝ  ÝÔ_ÔMr.€Little€was€unable€to€testify€because€of€a€serious€illness.(ÖÃ9 Z‹(Times New Roman (#Ã$òòÚ  Ú0Ú  Úóó WÝ ƒR*$ÝÓ  Óà  àòòÚ  Ú2Ú  ÚóóÔ€ôí•ò»»ÔÝ  ÝÔ_ÔMrs.€€Watson€testified€they€found€drugs€in€the€House.€€Mrs.€Little€testified€the€police€had€been€to€the€HouseÐ ° Ðupon€occasion€looking€for€the€Littlesðð€son,€who€was€alleged€to€be€involved€in€drugs. ÝÝ ƒR*$ÝÓ  Óà  àòòÚ  Ú3Ú  ÚóóÔ€ôí•ò»»ÔÝ  ÝÔ_ÔThe€trial€court€did€not€make€a€specific€finding€that€the€elements€were€proved€by€clear€and€convincing€evidence.€Ð ° ÐÔ‡ôí•òòôí•ÔWhether€or€not€the€trial€court€stated€that€it€found€the€evidence€supporting€its€ruling€to€be€clear€and€convincing,€òòóóanÐ tÄ Ðappellate€courtððs€role€is€to€review€the€evidence€and€make€that€determination.òòóó€òòVineyard€v.€Bettyóó,€No.€M2001„00642„R3„Ð 8ˆ ÐCV,€2002€Tenn.€App.€LEXIS€301,€at€*6€(Tenn.€Ct.€App.€Apr.€30,€2002)€(no€Tenn.€R.€App.€P.€11€application€filed).€Ô#†ôí•òòôí•#Ô- ù-(|G2*$¤¤Ý ƒ£ª!ÝÑ€.ÑÑ8€FÝ»»dXXdì8ÑÑ ý ÑÓ  ÓÝ  Ýà  àòòÚ  Ú0Ú  ÚóóÔ€ôí•ò»»Ô d(|3‰f$££Ý ƒ£ª!ÝÑ€.ÑÑ8€FÝ»»dXXdì8ÑÑ ý ÑÓ  ÓÝ  ÝVVVV'ÿÿdxd)!ÈÈÈÈdxdx( ±þ$’’ò òFigure€Ú  Ú1Ú  Úó ó^_X`YEþÿ<<CÿÿƒLevel 1Level 2Level 3Level 4Level 5(|3‰f$¢¢Ý ƒ£ª!ÝÑ€.ÑÑ8€FÝ»»dXXdì8ÑÑ ý ÑÓ  ÓÝ  Ý($$””ò òÚ  Ú1Ú  Úó óX[Z&OLE 2.0 Box <=8ÿÿÿÿÿÿÿÿÿÿCÿÿ HKKKKÝ ƒ£ª!ÝÑ€.ÑÑ8€FÝ»»ddÈ8ÑÑ ý ÑÓ  ÓÝ  ÝÔ_ÔÑ  ÑÔ€¼FÝ»»»ÔÑ8€ XXdì»»d8ÑÑ  Ñà@ü ü ìàÔ‡îKŒî»¼FÝÔIN€THE€COURT€OF€APPEALS€OF€TENNESSEEˆÐ ° Ðà@kk$ìàAT€NASHVILLEÔ#†¼FÝ»îîKŒ #ԈРÖ& ÐÓ  ÓJanuary€9,€2002€SessionÐ üL ÐÔ‡X X»¼FÝÔÌò òÔ#†¼FÝ»XX ô#ÔOSCAR€LITTLE,€òòet€al.óó€v.€SAMUEL€WATSON,€òòet€alóó.Ô‡X X»¼FÝÔó óÐ úJ ÐÌà@@½½ìàò òAppeal€from€the€Circuit€Court€for€Montgomery€CountyÐ ú J Ðà@@øøìàNo.€C13„843€€€€€€James€E.€Walton,€JudgeÐ æ 6 ÐÌÌà@@ìì*ìàßA€V) °°` d€÷E<©` AßÐ ªú  ÐÌà@@TTìàNo.€M2001„00230„Ô_ÔCOAÔ_Ô„R3„CV€„€Filed€November€6,€Ô_Ô2002Ô_ÔÐ ¥õ  ÐÌßA€V) °°` dE<|` AßÐ }Í  Ðó óÓ  ÓÌSamuel€and€Marguerite€Watson€appeal€the€final€judgment€of€the€trial€court€which€found€that€aÐ xÈ  Ðtransaction€between€the€Ô_ÔWatsonsÔ_Ô€and€the€Ô_ÔLittlesÔ_Ô€involving€the€purchase€of€a€house€created€a€resultingÐ d´ Ðtrust.€€The€trial€court€divested€out€of€the€Ô_ÔWatsonsÔ_Ô€and€vested€in€the€Ô_ÔLittlesÔ_Ô€all€interest€in€the€houseÐ P  Ðafter€the€Ô_ÔLittlesÔ_Ô€obtained€new€financing€for€the€house€and€paid€off€the€previous€mortgage€in€theÐ <Œ ÐÔ_ÔWatsonsÔ_Ôðð€name€and€repaid€the€down€payment€with€interest.€€We€affirm€the€decision€of€the€trial€court.€Ð (x ÐÓ´ÓÌò òTenn.€R.€App.€P.€3€Appeal€as€of€Right;€Judgment€of€the€Circuit€Courtó óÐ P Ðò òAffirmed€and€Remandedó óÐ ì< ÐÌòòÓ  ÓÔ#†¼FÝ»àX s#ÔÔ‡X X.¼FÝÔPatricia€J.€Cottrell,€J.óó,€delivered€the€opinion€of€the€court,€in€which€òòBen€H.€Ô_ÔCantrellÔ_Ô,€Ô_ÔP.J.Ô_Ô,€M.S.,€óóÐ Ä Ðand€Dòòonóó€R.€Aòòshóó,€Sòòpóó.€J.,€joined.Ð ° ÐÌJohn€T.€Ô_ÔMaherÔ_Ô,€Clarksville,€Tennessee,€for€the€appellants,€Samuel€Watson€and€Marguerite€Watson.Ð ˆØ ÐÌEdward€Robertson,€Clarksville,€Tennessee,€for€the€appellees,€Oscar€Little€and€Helen€Little.Ð `° ÐÓ~ÓÌò òOPINIONó óÔ#†¼FÝ»XX ­#ÔÔ‡X X»¼FÝÔÐ 8!ˆ  ÐÌòòóóÔ#†¼FÝ»XX  #ÔÓ  ÓÔ€X X»¼FÝÔà@ÉÉ&ìàI.€FactsˆÐ #`" ÐÌà  àOscar€and€Helen€Little€and€Samuel€and€Marguerite€Watson€dispute€the€ownership€of€realÐ è$8 $ Ðproperty€located€at€312€Ô_ÔEdmonsonÔ_Ô€Ferry€Road€in€Clarksville,€Tennessee€(ð ðHouseðð).€€The€onlyÐ Ô%$!% Ðtestimony€in€the€record€is€a€Statement€of€the€Evidence,€filed€by€the€Ô_ÔWatsonsÔ_Ô,€pursuant€to€Tenn.€R.Ð À&"& ÐApp.€P.€24(c).€€According€to€that€statement,€Mrs.€Little€testified€that€her€sister,€Mrs.€Watson,€hadÐ ¬'ü"' Ðasked€the€Ô_ÔLittlesÔ_Ô€to€move€to€Clarksville€so€the€families€could€be€close€together.€€Mrs.€WatsonÐ ˜(è#( Ðtestified€as€to€other€reasons€for€the€move.€€Ð „)Ô$) ÐÌà  àMrs.€Little€testified€that€the€Ô_ÔLittlesÔ_Ô€found€a€house€in€Clarksville€they€wanted€to€purchase,€theÐ \+¬&+ ÐHouse,€but€could€not€obtain€financing€for€it€because€they€had€recently€filed€for€bankruptcy.€€She€alsoÐ H,˜', Ðtestified€that€it€was€agreed€that€the€Ô_ÔWatsonsÔ_Ô€would€purchase€the€House€and€the€Ô_ÔLittlesÔ_Ô€would€liveÐ 4-„(-ýB ÐÔ_Ôthere€and€make€the€payments€on€the€House.€€The€Watsons€did€not€disagree€as€to€their€reason€forÐ ° Ðpurchasing€the€House.€€Mrs.€Watson€testified€that€she€and€her€husband€decided€to€purchase€theÐ œì ÐHouse€after€the€Littles€decided€to€move€to€Clarksville€and€were€unable€to€obtain€financing€for€theÐ ˆØ ÐHouse.€€She€stated€that€she€and€her€husband€had€purchased€the€House€for€her€sister€to€use€becauseÐ tÄ Ðthey€were€trying€to€help€out€family.€€Mr.€Watson€testified€that€he€and€his€wife€bought€the€House€forÐ `° Ðthe€Littles€to€live€in.€€He€also€stated€that€he€had€allowed€the€Littles€to€live€in€the€House€for€the€costÐ L œ Ðof€the€mortgage€and€insurance€because€they€were€family.Ð 8 ˆ ÐÌà  àMr.€and€Mrs.€Watson€purchased€the€House€in€September€of€1989€using€Mr.€Watsonððs€VAÐ  ` Ðeligibility.€€They€made€the€financing€arrangements€and€paid€the€down€payment€and€closing€costs,Ð ü L  Ðtotaling€about€$3,000.€€Both€Watsons€testified€that€shortly€after€the€purchase€they€orally€offered€toÐ è 8  Ðlet€the€Littles€purchase€the€home€from€them€by€securing€their€own€financing.€€Mrs.€Little€testifiedÐ Ô$  Ðthat€neither€she€nor€her€husband€had€attempted€to€secure€financing€to€purchase€the€home.׃×Ý ƒ#ÃÝòòÚ  Ú1Ú  ÚóóÝ  Ý×  ×€€Ð À  ÐÌà  àThe€Littles€paid€all€the€mortgage€payments€and€the€insurance.€€Mrs.€Watson€testified€that€sheÐ ˜è  Ðhad€Mrs.€Little€pay€the€mortgage€directly€to€the€mortgage€company€by€sending€the€statements€to€Mrs.Ð „Ô  ÐLittle€as€they€came€in;€she€also€had€Mrs.€Little€pay€the€insurance€on€the€House.€€Mrs.€Little€testifiedÐ pÀ Ðthat€she€believed€she€and€her€husband€had€repaid€the€down€payment€and€costs€to€the€Watsons,€butÐ \¬ Ðhad€no€proof€documenting€those€payments.€€Mrs.€Watson€testified€that€the€Littles€had€not€repaid€anyÐ H˜ Ðof€the€down€payment€or€closing€costs.Ð 4„ ÐÌà  àMr.€Watson€testified€that€the€Watsons€had€paid€for€and€done€the€work€on€repairs€to€theÐ  \ ÐHouse.€€Mrs.€Little€testified€that€the€Watsons€had€done€some€repairs€around€the€home,€but€that€sheÐ øH Ðand€Mr.€Little€had€made€improvements,€including€a€concrete€patio.Ð ä4 ÐÌà  àApproximately€nine€(9)€years€after€the€Littles€moved€in,€the€Watsons€gave€a€lease€to€Mrs.Ð ¼  ÐLittle€to€sign€ð ðto€protect€their€interest€in€the€House.ðð׃T×Ý ƒ#ÃÝòòÚ  Ú2Ú  ÚóóÝ  Ý×  ×€€Mrs.€Little€testified€that€she€rememberedÐ ¨ø Ðsigning€the€lease€but€that€she€did€not€remember€reading€it,€but€Mrs.€Watson€testified€Mrs.€Little€readÐ ”ä Ðthe€lease.€€Ð €Ð ÐÌà  àThe€Littles€lived€in€the€House€and€made€the€payments€continuously€since€its€purchase€inÐ X ¨ Ð1989.€€They€brought€this€suit€because€they€thought€that€the€Watsons€had€placed€the€House€on€theÐ D!” Ðmarket€for€sale€and€indicated€they€were€going€to€keep€any€profit€from€the€sale.€€Mrs.€Little€testifiedÐ 0"€  Ðthat€she€and€her€husband€were€retired€and€would€be€financially€unable€to€move€out€of€the€House.€Ð #l! ÐMrs.€Little€estimated€the€value€of€the€House€at€approximately€$54,000,€and€estimated€thatÐ $X" Ðapproximately€$31,000€was€owed€on€the€mortgage.€€Mr.€Watson€testified€that€neither€he€nor€his€wifeÐ ô$D # Ðhad€ever€asked€the€Littles€to€leave€and€that€the€House€was€not€on€the€market€prior€to€the€filing€of€thisÐ à%0!$ Ðlawsuit.Ð Ì&"% Їà  àThe€trial€judge,€after€hearing€the€testimony€of€the€witnesses,€found€that€the€House€was€titledÐ ° Ðin€the€Watsons€but€that€they€bought€the€House€for€the€benefit€of€the€Littles€and€that€the€Littles€hadÐ œì Ðpaid€all€mortgage€payments€on€the€property.€€Therefore,€the€court€found,€a€resulting€trust€was€created,Ð ˆØ Ðsubject€however€to€the€condition€that€the€Littles€were€to€refinance€the€property€so€as€to€release€theÐ tÄ ÐWatsons€from€liability€under€the€mortgage.€€Further,€the€court€found€that€there€was€a€conflict€in€theÐ `° Ðtestimony€regarding€repayment€of€the€$3,000€down€payment€which€all€parties€agreed€was€to€be€paid.€Ð L œ ÐThe€court€resolved€that€conflict€in€favor€of€the€Watsons€by€holding€that€the€Littles€must€repay€thatÐ 8 ˆ Ðamount€plus€interest.€€The€court€further€ordered€that€if€the€Littles€obtained€financing€for€the€HouseÐ $ t Ðand€repaid€the€down€payment€with€interest€within€ninety€(90)€days,€ð ðthe€court€will€find€that€theÐ  ` Ðconditions€of€the€resulting€trust€have€been€satisfied€and€the€property€will€be€decreed€to€be€theirs.ððÐ ü L  ÐÌà  àOne€month€after€the€entry€of€the€order€the€Littles€submitted€to€the€court€proof€that€they€hadÐ Ô$  Ðobtained€new€financing,€paid€off€the€mortgage€that€was€in€the€Watsonsðð€name,€and€paid€the€WatsonsÐ À  Ð$4,658.25,€which€represented€the€$3,000€down€payment€plus€interest.€€The€court€then€entered€a€finalÐ ¬ü  Ðjudgment€for€the€Littles€ordering€that€ð ð[a]ll€right,€title€and€interest€of€Samuel€Watson€and€Wife,Ð ˜è  ÐMarguerite€Watson€in€the€realty€.€.€.€is€divested€out€of€them€and€vested€in€Oscar€Little€and€Wife,Ð „Ô  ÐHelen€Little,€in€fee€simple€as€tenants€by€the€entirety.ðð€€Ð pÀ ÐÌà  àThe€Watsons€appeal€that€final€judgment€to€this€court.Ð H˜ ÐÌà@ÑÑ ìàII.€€Resulting€TrustsˆÐ  p ÐÌà  àThe€issue€presented€in€this€case€is€whether€the€trial€court€erred€in€holding€that€the€transactionÐ øH Ðbetween€the€parties€herein€created€a€resulting€trust.€€Resulting€trusts€are€a€tool€of€equity€available€toÐ ä4 Ðcourts€to€prevent€a€failure€of€justice.€€òòÔ‡X XXX ÔEstate€of€Wardell€ex€rel.€Wardell€v.€Dailyóó,€674€S.W.2d€293,Ð Ð  Ð295€(Tenn.€Ct.€App.€1983)Ô#†X XXX À(#Ô€(quoting€òòWells€v.€Wellsóó,€556€S.W.2d€769,€771€(Tenn.€Ct.€App.€1977)).€Ð ¼  ÐSuch€trusts€ð ðenable€a€court,€without€violating€all€rules€of€logic,€to€reach€an€interest€in€property€Ð ¨ø Ðbelonging€to€one€person€yet€titled€in€and€held€by€another.ðð€€òòIdóó.€€This€court€has€often€cited€and€appliedÐ ”ä Ðthe€definition€of€a€resulting€trust€found€in€Ô€X XXX ÔòòGibsonððs€Suits€in€Chanceryóó€ðð382€(Inman,€7th€ed.€1988):Ð €Ð ÐÌà8  àResulting€trusts€are€those€which€arise€where€the€legal€estate€is€disposed€of,€orÐ X ¨ Ðacquired,€without€bad€faith,€and€under€such€circumstances€that€Equity€infers€orÐ D!” Ðassumes€that€the€beneficial€interest€in€said€estate€is€not€to€go€with€the€legal€title.€Ð 0"€  ÐThese€trusts€are€sometimes€called€presumptive€trusts,€because€the€law€presumes€themÐ #l! Ðto€be€intended€by€the€parties€from€the€nature€and€character€of€their€transactions.€€TheyÐ $X" Ðare,€however,€generally€called€resulting€trusts,€because€the€trust€is€the€result€whichÐ ô$D # ÐEquity€attaches€to€the€particular€transaction.Ðà%0!$Ð Ð  ÐÌòòSmalling€v.€Terrellóó,€943€S.W.2d€397,€400€(Tenn.€Ct.€App.€1996);€òòEstate€of€Wardell€ex€rel.€Wardellóó,Ð ¸'#& Ð674€S.W.2d€at€295.Ð ¤(ô#' ÐÌà  àThe€Tennessee€Supreme€Court€has€adopted€the€following€as€a€comprehensive€statementÐ |*Ì%) Ðregarding€the€creation€and€application€of€resulting€trusts:Ð h+¸&* Їà8  àTÔ‡X XXX Ôhe€imposition€of€a€resulting€trust€is€an€equitable€remedy;€the€doctrine€of€resultingÐ ° Ðtrust€is€invoked€to€prevent€unjust€enrichment.€€Such€a€trust€is€implied€by€law€from€theÐ œì Ðacts€and€conduct€of€the€parties€and€the€facts€and€circumstances€which€at€the€timeÐ ˆØ Ðexist€and€surround€the€transaction€out€of€which€it€arises.€€Broadly€speaking,€aÐ tÄ Ðresulting€trust€arises€from€the€nature€or€circumstances€of€consideration€involved€inÐ `° Ða€transaction€whereby€one€person€becomes€invested€with€a€legal€title€but€is€obligatedÐ L œ Ðin€equity€to€hold€his€legal€title€for€the€benefit€of€another,€the€intention€of€the€formerÐ 8 ˆ Ðto€hold€in€trust€for€the€latter€being€implied€or€presumed€as€a€matter€of€law,€althoughÐ $ t Ðno€intention€to€create€or€hold€in€trust€has€been€manifested,€expressly€or€by€inference,Ð  ` Ðand€there€ordinarily€being€no€fraud€or€constructive€fraud€involved.€Ðü L Ð Ð  ÐòòÌIn€re€Estate€of€Nichols€v.€Nicholsóó,€856€S.W.2d€397,€401€(Tenn.€1993)€(quotingÓÓ€76€òòAm.€Jur.óó€2d€òòTrustsóóÐ Ô$  Ððð€166€at€197-98€(1992)).€€Ô#†X XXX À/#ÔÐ À  ÐÌà  àResulting€trusts€can€be€and€generally€are€proved€by€parol€evidence.€€òòLatshaw€v.€Latshawóó,€787Ð ˜è  ÐS.W.2d€9,€11€(Tenn.€Ct.€App.€1989);€òòEstate€of€Wardellóó,€674€S.W.2d€at€295.€€However,€to€sustain€aÐ „Ô  Ðresulting€trust€based€on€parol€evidence,€it€is€necessary€to€overcome€the€combined€weight€of€theÐ pÀ Ðopposing€evidence€and€the€presumption€in€favor€of€a€written€instrument€which€reflects€legal€title€inÐ \¬ Ðanother.€€To€succeed,€the€evidence€in€favor€of€the€resulting€trust€must€be€clear,€cogent€andÐ H˜ Ðconvincing.€€òòRowlett€v.€Guthrieóó,€867€S.W.2d€732,€735€(Tenn.€Ct.€App.€1993);€òòLatshawóó,€787€S.W.2dÐ 4„ Ðat€11;€òòEstate€of€Wardellóó,€674€S.W.2d€at€295.€€The€clear,€cogent€and€convincing€evidence€rule€is€anÐ  p Ðintermediate€standard€of€proof€lying€between€the€preponderance€and€the€reasonable€doubt€standards.€Ð  \ ÐòòEstate€of€Acuff€v.€OððLingeróó,€56€S.W.3d€527,€534€(Tenn.€Ct.€App.€2001).€€Under€that€standard,€theÐ øH Ðparty€with€the€burden€of€proof€must€persuade€the€factfinder€that€his€factual€contentions€are€ð ðhighlyÐ ä4 Ðprobable.ðð€€òòId.€óóat€537.€€On€appeal,€this€court€must€determine€òòde€novo€óówhether€the€Littles€have€provedÐ Ð  Ðtheir€case€by€clear,€cogent€and€convincing€evidence.€òò€Id.óó׃×Ý ƒ#ÃÝòòÚ  Ú3Ú  ÚóóÝ  Ý×  ׀Р¼  ÐÌÓ  ÓIII.€€Requisite€Elements€and€the€ProofÐ ”ä ÐÓç:ÓÌà  àThe€resulting€trust€found€by€the€court€herein€rests€upon€the€payment€of€consideration€for€theÐ l¼ Ðproperty.€€That€is,€the€Littles€paid€the€mortgage€and€insurance€with€the€understanding€and€expectationÐ X ¨ Ðof€at€least€a€beneficial€interest€in€the€House.€€In€such€situations,€if€a€resulting€trust€arises,€it€does€soÐ D!” Ðfrom€the€fact€of€payment€of€consideration,€and€not€from€any€agreement€of€the€parties.€€òòLivesay€v.Ð 0"€  ÐKeatonóó,€611€S.W.2d€581,€584€(Tenn.€Ct.€App.€1980)€(citingòò€Greene€v.€Greeneóó,€272€S.W.2d€483,€487Ð #l! Ð(Tenn.€Ct.€App.€1954)).€€With€regard€to€those€trusts€arising€from€transactions€involving€payment€ofÐ $X" Ðconsideration€by€one€party€with€title€going€to€the€other,€the€purpose€of€resulting€trusts€has€been€Ð ô$D # Ðexplained€as€follows:Ð à%0!$ ÐÐ Ì&"% Ðà8  àIt€is€said€that€the€source€and€underlying€principle€of€all€resulting€trusts€is€the€equitableÐ ° Ðtheory€of€consideration.€€That€theory€is€that€the€payment€of€a€valuable€considerationÐ œì Ðdraws€to€it€the€beneficial€ownership;€that€a€trust€follows€or€goes€with€the€realÐ ˆØ Ðconsideration,€or€results€to€him€from€whom€the€consideration€actually€comes;€that€theÐ tÄ Ðowner€of€the€money€that€pays€for€the€property€should€be€the€owner€of€the€property.€Ð `° ÐPomeroyððs€Eq.€Jur.€(5th€ed),€secs.€981,€1031,€1037;€2€Lawrence€on€Eq.€Jur.€(1929Ð L œ Ðed.),€sec.€565.Ð8 ˆÐ Ð  ÐÌòòSmalling,óó€943€S.W.2d€at€400;òòóó€òòLivesayóó,€611€S.W.2d€at€584òò;€Greeneóó,€272€S.W.2d€at€487òòóó.€Ð  ` ÐòòóóÌà  àAs€a€general€principle,€a€resulting€trust€upon€land€must€arise€at€the€time€of€the€purchase,Ð è 8  Ðattach€to€the€title€at€that€time,€and€not€arise€out€of€any€subsequent€contract€or€transaction.€€òòSmallingóó,Ð Ô$  Ð943€S.W.2d€at€400€(citing€òòLivesayóó,€611€S.W.2d€at€584);€òòRowlettóó,€867€S.W.2d€at€735.€€Consequently,Ð À  Ðit€has€been€held€that€the€beneficiary€of€a€resulting€trust€must€have€actually€made€payment,€or€incurredÐ ¬ü  Ðan€absolute€obligation€to€pay,€as€part€of€the€original€transaction€of€the€purchase€of€the€property.€òòÐ ˜è  ÐRowlettóó,€867€S.W.2d€at€735;€òòLivesayóó,€611€S.W.2d€at€584.€€Ð „Ô  ÐÌà  àAn€examination€of€the€application€of€this€rule€is€helpful.€€In€òòGreeneóó,€for€example,€we€held€Ð \¬ Ðthat€an€agreement€between€a€brother€who€was€the€titled€owner€of€a€farm,€and€his€sister€who€lived€onÐ H˜ Ðthe€farm€with€him,€kept€house€and€worked€on€the€farm,€did€not€create€a€resulting€trust€in€the€sisterððsÐ 4„ Ðfavor€because:€(1)€some€tracts€included€in€the€farm€were€inherited€by€the€brother,€and€thus€the€sisterÐ  p Ðcould€claim€no€equitable€interest€therein;€(2)€the€sister€had€deeded€her€interest€in€the€original€familyÐ  \ Ðtract€to€her€brother€and€could€not€claim€a€trust€resulting€from€that€conveyance€in€contravention€to€theÐ øH Ðdeed€which€stated€the€transfer€was€made€for€valuable€consideration;€and€(3)€although€she€testifiedÐ ä4 Ðthat€she€and€her€brother€had€an€agreement€to€live€and€work€together€and€acquire€properties€and€thatÐ Ð  Ðshe€carried€out€that€agreement€by€contributing€work,€services,€and€money,€there€was€no€proof€as€toÐ ¼  Ðthe€cost€of€the€realty€and€personalty€acquired€and€no€proof€as€to€the€value€of€her€contributions.òò€€óóThus,Ð ¨ø Ðthe€court€determined€that€she€failed€to€meet€her€burden€to€prove€the€elements€of€a€resulting€trust€byÐ ”ä Ðfailing€to€offer€any€proof€of€the€proportional€amounts€of€her€contributions€to€the€consideration€paidÐ €Ð Ðfor€the€propertyòò.€€Greeneóó,€272€S.W.2d€at€487.€€Ð l¼ ÐÌà  àIn€òòSmallingóó,€this€court€found€that€the€proof€did€not€support€the€imposition€of€a€resulting€trustÐ D!” Ðbecause€the€testimony€of€the€potential€beneficiary€was€inconsistent€with€any€intention€or€expectationÐ 0"€  Ðthat€she€receive€a€beneficial€interest€in€real€property€in€return€for€various€mortgage€payments€sheÐ #l! Ðmade€on€that€property,€which€was€owned€by€her€sister.€€òòSmallingóó,€943€S.W.2d€at€397.€€She€startedÐ $X" Ðmaking€payments€nine€years€after€her€sister€purchased€the€property€at€issue€because€her€sister€neededÐ ô$D # Ðfinancial€help.€€òòIdóó.Ð à%0!$ ÐÌà  àOn€appeal,€the€Watsons€assert€that€no€resulting€trust€existed€because€the€Littles€did€not€makeÐ ¸'#& Ðany€payment€toward€the€House€at€the€time€it€was€purchased;€the€Watsons€paid€the€down€payment€andÐ ¤(ô#' Ðclosing€costs.€€We€think,€however,€the€critical€inquiry€is€whether€the€House€was€purchased€by€theÐ )à$( ÐWatsons€for€the€Littles€with€the€understanding,€at€the€time€of€the€purchase,€that€the€Littles€would€payÐ |*Ì%) Ðfor€the€House.€€It€is€undisputed€that€the€Littles€made€all€mortgage€and€insurance€payments€from€theÐ h+¸&* Ðbeginning,€and€we€do€not€believe€the€fact€they€did€not€pay€the€down€payment€is€fatal€to€the€findingÐ ° Ðof€a€resulting€trust.Ð œì ÐÌà  àWe€reach€this€conclusion€for€several€reasons.€€First,€the€fundamental€question€is€whether€theÐ tÄ Ðparty€claiming€the€beneficial€interest€actually€paid€consideration€for€that€interest.€€A€trust€results€toÐ `° Ðthe€party€actually€paying€the€consideration€on€the€theory€that€the€party€paying€for€the€property€shouldÐ L œ Ðbe€the€owner€of€the€property.€€òòGreeneóó,€272€S.W.2d€at€487.€€Where€payment€of€consideration€for€theÐ 8 ˆ Ðpurchase€of€the€property€is€clear,€the€inquiry€becomes€whether€that€payment€was€made€underÐ $ t Ðcircumstances€indicating€an€equitable€interest.€€Payment€of€the€consideration€for€property€actuallyÐ  ` Ðcreates€a€presumption€that€the€payor€has€a€beneficial€interest.Ð ü L  ÐÌà8  à.€.€.€the€theory€of€resulting€trust€being€founded€upon€a€natural€equity€that€one€whoÐ Ô$  Ðpays€for€the€property€should€enjoy€it,€unless€he€intended€by€the€vesting€of€title€toÐ À  Ðconfer€a€beneficial€interest€upon€the€grantee,€as€a€rule€a€resulting€trust€arises€byÐ ¬ü  Ðoperation€of€law€where€one€person€furnishes€the€consideration€for€property€and€theÐ ˜è  Ðtitle€is€taken€in€another€„€at€least€upon€adequate€proof€that€the€consideration€has€beenÐ „Ô  Ðfurnished.€.€.€.€€Stated€otherwise,€a€resulting€trust€ordinarily€will€be€presumed€in€favorÐ pÀ Ðof€one€who€provides€purchase€money€for€land€taken€in€the€name€of€another.Ð\¬Ð Ð  ÐÌÓ  Ó.€.€.€.€Ð 4„ ÐÓÊVÓÌà8  à.€.€.€in€imposing€a€resulting€trust,€the€court€presumes,€absent€contrary€evidence,€thatÐ  \ Ðthe€person€supplying€the€purchase€money€for€the€property€intends€that€its€purchaseÐ øH Ðwill€inure€to€his€benefit,€and€the€fact€that€title€is€in€the€name€of€another€is€for€someÐ ä4 Ðincidental€reason.€€ÐÐ Ð Ð  ÐÌ76€òòAm.€Juróó.€2d€òòTrustsóó€ðð€179€at€208„09€(1992)€and€ðð€169€at€203€(1992).Ð ¨ø ÐÌà  àSecondly,€our€Supreme€Court€has€adopted€the€position€that€resulting€trusts,€being€a€court„Ð €Ð Ðmade€equitable€remedy,€are€to€be€implied€from€the€acts€and€conduct€of€the€parties€and€theÐ l¼ Ðcircumstances€which€exist€at€the€time€of€and€surround€the€transaction€from€which€the€trust€arises€and:€Ð X ¨ ÐÌÔ‡X XXX Ôà8  àWhile€resulting€trusts€generally€arise€(1)€on€a€failure€of€an€express€trust€or€theÐ 0"€  Ðpurpose€of€such€a€trust,€or€(2)€on€a€conveyance€to€one€person€on€a€consideration€fromÐ #l! Ðanother€„€sometimes€referred€to€as€a€ððpurchase„moneyðð€resulting€trust€„€they€may€alsoÐ $X" Ðbe€imposed€in€other€circumstances,€such€that€a€court€of€equity,€shaping€its€judgmentÐ ô$D # Ðin€the€most€efficient€form,€will€decree€a€resulting€trust€„€on€an€inquiry€into€theÐ à%0!$ Ðconsideration€of€a€transaction€„€in€order€to€prevent€a€failure€of€justice.€.€.€.€ÐÌ&"%Ð Ð  ÐÔ#†X XXX WZ#ÔÌòòIn€re€Estate€of€Nicholsóó,€856€S.W.2d€at€401.€€Thus,€the€Court€recognized€that€although€a€ð ðpurchase„Ð ¤(ô#' Ðmoneyðð€resulting€trust€is€one€common€example€of€the€situation€in€which€a€resulting€trust€will€beÐ )à$( Ðimposed,€courts€may€impose€resulting€trusts€in€other€situations€where€justice€requires€it€ð ðon€inquiryÐ |*Ì%) Ðinto€the€consideration€of€a€transaction.ðð€òò€Idóó.€€Inòò€Nicholsóó,€the€Supreme€Court€adopted€part€of€a€well„Ð h+¸&* Ðknown€treatise€as€a€ð ðcomprehensive€statement€regarding€the€creation€and€application€of€resultingÐ ° Ðtrusts,ððòò€Id.óó,€and€the€same€treatise€offers€further€guidance€on€the€issue€at€hand:Ð œì ÐÌà8  àWhere€consideration€is€required€for€the€creation€of€a€resulting€trust,€as€for€example,Ð tÄ Ðin€the€context€of€a€purchase€money€resulting€trust,€such€trust€is€created€by€virtue€ofÐ `° Ðthe€consideration€advanced€before€or€at€the€time€the€legal€title€passes,€and€not€fromÐ L œ Ðconsideration€thereafter€paid,€unless€occurring€or€advanced€immediately€thereafterÐ 8 ˆ Ðso€as€to€be€in€fact€part€of€the€same€transaction.€€However,€in€this€regard,€there€is€noÐ $ t Ðdifference€in€principle€between€paying€money€toward€the€purchase€price€at€the€timeÐ  ` Ðof€the€delivery€of€a€deed€and€contracting€at€that€time€to€pay€the€same€sum€later€andÐ ü L  Ðthen€paying€it€as€promised,€and€in€this€regard€the€view€has€been€set€forth€that€theÐ è 8  Ðincurring€of€an€obligation€before€or€at€the€time€of€the€conveyance€is€not€a€prerequisiteÐ Ô$  Ðfor€the€imposition€of€a€resulting€trust.ÐÀ Ð Ð  ÐÌ76€Aòòmóó.€Jòòuróó.€2d€òòTrustsóó€ðð€168€at€200„01€(1992).Ð ˜è  ÐÌà  àThus,€an€obligation€to€pay€undertaken€at€the€time€of€transfer€of€title,€accompanied€by€actualÐ pÀ Ðpayment€later,€is€sufficient€to€create€a€resulting€trust€based€on€consideration.€€This€rationale€isÐ \¬ Ðconsistent€with€the€basic€principles€underlying€the€equitable€remedy€of€resulting€trusts.€€It€alsoÐ H˜ Ðrecognizes€the€common€situation€where€the€purchase€price€is€not€paid€all€at€once€but€instead€is€paidÐ 4„ Ðover€time€or€through€a€mortgage.€€While€some€authorities€would€require€that€the€requisite€obligationÐ  p Ðbe€to€the€grantor€or€lender,€we€believe€the€better€reasoning€is€that€adopted€by€the€Supreme€Court€ofÐ  \ ÐNorth€Carolina€in€òòCline€v.€Clineóó,€255€S.E.2d€399€(N.C.€1979),€wherein€that€court€stated:Ð øH ÐÌà8  àHowever,€as€òòBogertóó€points€out,€in€a€large€number€of€cases€the€person€claiming€aÐ Ð  Ðresulting€trust€proves€a€payment€on€the€purchase€price€made€to€the€grantee€or€grantorÐ ¼  Ðafter€the€delivery€of€the€deed€but€pursuant€to€a€promise€made€to€the€grantee€before€theÐ ¨ø Ðdeed€was€delivered.€€Although€it€seems€that€this€Court€has€not€considered€theÐ ”ä Ðapplication€of€the€resulting€trust€doctrine€to€this€specific€situation€other€jurisdictionsÐ €Ð Ðhave.€€òòSee€Bogertóó,€ðð€456,€n.€25,€where€the€authorities€are€collected.€€In€discussing€theÐ l¼ Ðð ðlarge€group€of€cases€[in€which]€the€person€claiming€a€resulting€trust€proves€paymentÐ X ¨ Ðafter€the€delivery€of€the€deed,€pursuant€to€a€promise€made€to€the€grantee€.€.€.€beforeÐ D!” Ðdelivery€of€the€deed,ðð€òòBogertóó€offered€the€following€example€and€comments:Ð0"€ Ð Ð  ÐÌà8  àð ðA€is€bargaining€for€land€to€be€bought€from€B,€and€A€seeks€the€aid€of€C€in€financingÐ $X" Ðthe€sale.€€It€is€agreed€between€A€and€C€that€A€shall€pay€part€of€the€price€at€the€timeÐ ô$D # Ðof€the€delivery€of€the€deed€from€B€to€A,€and€that€A€shall€give€a€note€and€mortgage€toÐ à%0!$ ÐB€for€the€remainder€of€the€purchase€price;€and€C€agrees€with€A€that€C€will€makeÐ Ì&"% Ðpayments€to€A€in€the€future€which€A€agrees€to€use€to€help€him€in€meeting€hisÐ ¸'#& Ðobligations€to€B.€€Here€C,€the€third€party,€does€not€promise€the€grantor,€B,€anything.€Ð ¤(ô#' ÐThe€consideration€received€by€the€grantor€for€his€deed€consists€of€cash€paid€by€theÐ )à$( Ðgrantee,€A,€and€a€note€and€mortgage€executed€by€the€grantee,€A,€alone.€€Cððs€promiseÐ |*Ì%) Ðto€the€grantee,€A,€is€not€to€pay€the€purchase€price,€because€technically€one€can€payÐ h+¸&* Ðthe€purchase€price€only€to€the€seller€of€the€land.€€Cððs€agreement€with€A€is€to€make€aÐ ° Ðpayment€to€A€which€will€enable€A€to€pay€the€purchase€price.ððМìÐ Ð  ÐÌòòà  àBogertóó,€ðð€456€at€673.Ð tÄ ÐÌà8  àð ðIf€the€promise€of€C€has€been€performed€by€the€making€of€the€agreed€payment€to€A,Ð L œ Ðthe€grantee,€after€delivery€of€the€deed€to€A,€the€authorities€hold€that€C€obtains€aÐ 8 ˆ Ðresulting€trust€arising€at€the€date€of€Cððs€payment,€but€relates€back€in€effect€to€the€timeÐ $ t Ðof€the€taking€of€title€by€the€grantee,€A.ðð€€òòBogertóó€justifies€this€result€in€either€of€twoÐ  ` Ðways:€ð ð(1)€by€a€finding€that€Cððs€promise€to€A€and€his€performance€of€it€are€equivalentÐ ü L  Ðin€practical€effect€to€a€payment€of€part€of€the€price€of€the€land€at€the€time€of€theÐ è 8  Ðdelivery€of€the€deed;€or€(2)€by€an€argument€that€even€if€Cððs€conduct€is€somethingÐ Ô$  Ðtotally€distinct€from€paying€part€of€the€purchase€price€to€the€grantor,€there€is€groundÐ À  Ðfor€an€inference€or€presumption€of€an€agreement€between€the€prospective€grantee€andÐ ¬ü  ÐC€that€C€should€have€an€equitable€interest€in€the€land€corresponding€to€the€amountÐ ˜è  Ðof€his€payment€to€the€grantee.ðð€€òòIdóó.€at€674.€€Certainly€the€logic€of€such€an€inferenceÐ „Ô  Ðis€as€cogent€in€this€situation€as€it€is€in€that€of€the€classic€purchase„money€resultingÐ pÀ Ðtrust.€€There€is€no€difference€in€principle€between€paying€money€toward€the€purchaseÐ \¬ Ðprice€at€the€time€of€the€delivery€of€a€deed€and€contracting€at€that€time€to€pay€the€sameÐ H˜ Ðsum€later€and€then€paying€it€as€promised.€€òòSee€Idóó.€at€672,€673.Ð4„Ð Ð  ÐÓ  ÓÌÓ¾vÓòòClineóó,€255€S.E.2d€at€405„06.Ð  \ ÐÌà  àA€similar€result€and€logic€was€applied€in€òòNovak€v.€Novakóó,€57€Cal.€Rptr€564€(Cal.€Ct.€App.€Ð ä4 Ð1967),€wherein€the€court€determined€that€a€sonððs€payment€of€part€of€the€initial€costs€of€purchasingÐ Ð  Ða€home€in€which€his€elderly€father€lived€and€made€all€the€mortgage€payments€was€a€loan€to€the€fatherÐ ¼  Ðand€that€the€son€was€a€trustee€of€his€fatherððs€beneficial€interest.€The€court€held€that€the€individualÐ ¨ø Ðclaiming€a€beneficial€interest,€in€that€case€the€father,€€need€not€have€made€an€express€promise€toÐ ”ä Ðrepay€the€loan;€ð ðhis€promise€may€be€implied€from€the€circumstances€in€which€event€the€trustee€ofÐ €Ð Ðthe€resulting€trust€holds€legal€title€merely€as€security€for€the€repayment€of€the€loan.ðð€€òòIdóó.€57€Cal.€Rptr.Ð l¼ Ðat€567.€€Ð X ¨ ÐÌà  àThe€undisputed,€and€therefore€clear€and€convincing,€evidence€herein€is€that€the€Littles€madeÐ 0"€  Ðall€mortgage€and€insurance€payments€on€the€House€for€ten€years€and€made€those€payments€directlyÐ #l! Ðto€the€mortgage€and€insurance€companies.€€Thus,€we€conclude€that€the€Littles€paid€consideration€forÐ $X" Ðthe€purchase€of€the€House.€€It€is€also€undisputed€that€the€Watsons€bought€the€House€for€the€LittlesÐ ô$D # Ðto€live€in€and€solely€because€the€Littles€could€not€obtain€financing€at€that€time.€€The€partiesðð€conductÐ à%0!$ Ðand€the€circumstances€surrounding€the€purchase€are€consistent€with€an€understanding€that€theÐ Ì&"% ÐWatsons€purchased€the€House€for€the€benefit€of€the€Littles.€€Had€the€Littles€been€able€to€obtainÐ ¸'#& Ðfinancing€in€1989,€the€House€would€have€been€bought€by€them€and€they€would€have€made€the€sameÐ ¤(ô#' Ðcontribution€to€consideration€for€the€House€except€for€the€down€payment€and€closing€costs.€€TheÐ )à$( Ðpartiesðð€conduct€for€nine€years€after€the€purchase€is€consistent€with€an€understanding€that€the€LittlesÐ |*Ì%) Ðhad€a€beneficial€interest€in€the€House.Ð h+¸&* Їà  àConsequently,€we€find€there€was€clear€and€convincing€evidence€regarding€the€circumstancesÐ ° Ðof€the€transaction€that€entitle€the€Littles€to€a€beneficial€interest€in€the€House.€€The€Watsons€wereÐ œì Ðinvested€with€legal€title€to€the€House€under€such€circumstances€that€equity€requires€a€finding€thatÐ ˆØ Ðthey€held€the€property€for€the€benefit€of€the€Littles.€€A€resulting€trust€was€correctly€found€by€the€trialÐ tÄ Ðcourt.€€€€€Ð `° Ðà@‹‹#ìàIV.€ConclusionˆÐ L œ ÐÌà  àFor€the€reasons€stated€above,€we€affirm€the€judgment€of€the€trial€court€finding€a€resulting€trustÐ $ t Ðand€the€final€judgment€transferring€title€to€the€Littles€after€the€Watsons€were€repaid€their€initial€costsÐ  ` Ðwith€interest€and€refinancing€was€obtained.€€The€costs€of€appeal€are€taxed€to€the€appellants,€Mr.€andÐ ü L  ÐMrs.€Watson,€for€which€execution€may€issue€if€necessary.Ð è 8  ÐÌÌÌà  àà ` àà ¸ àà  àà h àà À àà  à___________________________________€Ð ˜è  Ðà  àà ` àà ¸ àà  àà h àà À àà  àPATRICIA€J.€COTTRELL,€JUDGEÐ „Ô  Ð