Text of the provision
Art. 1448. There is an implied trust when property is sold, and the legal estate is granted to one party but the price is paid by another for the purpose of having the beneficial interest of the property. The former is the trustee, while the latter is the beneficiary. However, if the person to whom the title is conveyed is a child, legitimate or illegitimate, of the one paying the price of the sale, no trust is implied by law, it being disputably presumed that there is a gift in favor of the child.
Civil Code of the Philippines, Republic Act No. 386, approved June 18, 1949, effective August 30, 1950. Reproduced in full; verified verbatim against the LawPhil and ChanRobles official-text renderings.
What this article means
There is an implied (resulting) trust when property is bought with one person's money but titled in another — the title-holder is trustee, the payor is beneficiary. Exception: if title is put in the name of a child of the payor, a gift is presumed, not a trust.
Related provisions
- Article 1447 — Enumeration of Implied Trusts Not Exclusive.
- Article 1449 — Trust From a Donation.
Cases interpreting this article
- Authorities on this article will be added here as each is verified against primary sources.