Ratcliff v. Phi Pi Phi Housing Corp.

Plaintiff contends that the allegations of the complaint are sufficient to raise a constructive trust in his favor because they show, (a) that defendants took the deed without consideration and for the purpose of managing and caring for the property “for the benefit of all interested parties,” and (b) that defendants lulled the bondholders into inactivity to protect their interests by false representations that they were taking care of the bondholders’ interests and accumulating funds to discharge the principal and interest.

Standing alone, the allegations concerning the purpose for which…