## Facts

- The case involved a voluntary transfer of property within a family context.
- The property was transferred without consideration provided for the transfer.
- The parties disputed whether the transferee held the property on trust for the transferor or whether the transfer was intended as a gift.
- The court examined the relationship between the parties and the circumstances of the transfer.

## Issues

1. Whether the presumption of resulting trust arises in voluntary transfers where no consideration is given.
2. What evidence is required to rebut the presumption of resulting trust in such circumstances.
3. How the parties’ intentions and the context of the transfer affect the application or rebuttal of the presumption.

## Decision

- The Court of Appeal held that the presumption of resulting trust arises in cases of voluntary transfers without consideration.
- The court determined that this presumption is not absolute and can be rebutted by evidence of a contrary intention.
- In this case, the evidence provided was found insufficient to rebut the presumption, as there was no clear or convincing indication that the transferor intended to make a gift.
- The presumption therefore remained and the transferee was considered to hold the property on trust for the transferor.

## Legal Principles

- The presumption of resulting trust is a longstanding equitable doctrine, arising when a person transfers property to another without consideration.
- This presumption can be rebutted, but the burden lies on the party challenging it to produce clear and convincing evidence that the transferor intended to make a gift or otherwise relinquish beneficial ownership.
- The context, including the nature of the relationship between the parties and contemporaneous evidence of intention, is relevant in assessing whether the presumption has been rebutted.
- The quality and reliability of the evidence are critical; informal or undocumented arrangements, especially in family contexts, make rebutting the presumption challenging.

## Conclusion

Lohia v Lohia [2001] EWCA Civ 1691 confirms that the presumption of resulting trust operates in voluntary property transfers unless compelling evidence demonstrates a genuine intention to gift; in its absence, the transferee holds the property on trust for the transferor.
