633A.2106 Resulting trusts. 1. Where the owner of property gratuitously transfers the property and manifests in the trust instrument an intention that the transferee should hold the property in trust but thetrust fails, the transferee holds the trust estate as a resulting trust for the transferor or thetransferor’s estate, unless either of the following is true: a. The transferor manifested in the trust instrument an intention that no resulting trust should arise. b. The intended trust fails for illegality and the policy against unjust enrichment of the transferee is outweighed by the policy against giving relief to a person who has entered intoan illegal transaction. 2. Where the owner of property gratuitously transfers the property subject to a trust which is properly declared and which has been fully performed without exhausting the trust estate,the trustee holds the surplus as a resulting trust for the transferor or the transferor’s estate,unless the transferor manifested in the trust instrument an intention that no resulting trustof the surplus should arise. 3. If the transferor’s estate is the recipient of property under this section and the administration of that estate has ust instrument an intention that no resulting trustof the surplus should arise. 3. If the transferor’s estate is the recipient of property under this section and the administration of that estate has been closed and there is no question as to the properrecipients of the property, it is not necessary to reopen the estate administration for thepurpose of distribution. 99 Acts, ch 125, §13, 109; 2000 Acts, ch 1150, §8C2001, §633.21062005 Acts, ch 38, §54CS2005, §633A.2106Referred to in §633A.4701 Sat Dec 23 12:13:07 2023 Iowa Code 2024, Section 633A.2106 (18, 0)
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