The plaintiffs brought a motion for partial default judgment after the defendants were noted in default in a dispute arising from a failed property management investment venture.
The plaintiffs sought declarations that the defendants held several properties in trust and requested punitive damages.
The court held that a purchase money resulting trust arose for three properties where the plaintiffs directly advanced funds for the purchase but did not take legal title.
For two additional properties, the court found that the elements of unjust enrichment were satisfied and imposed a constructive trust.
The court declined to award punitive damages, finding the defendants’ misconduct did not reach the threshold of malicious and high‑handed conduct required for such damages.
