On October 29, 2025, the Second Department issued a decision in Guambana v. Molina, 2025 NY Slip Op. 05942, affirming the imposition of a constructive trust based on the abuse of a confidential or fiduciary relationship, explaining:
A constructive trust is the formula through which the conscience of equity finds expression. The four factors to be considered in ascertaining whether the imposition of a constructive trust is warranted are the existence of a fiduciary or confidential relationship, a promise, a transfer in reliance thereon, and unjust enrichment. However, since it is an equitable remedy, a constructive trust is necessarily flexible to accomplish its purpose. Therefore, these factors are guidelines, not inflexible elements. A constructive trust may still be imposed even if all four elements are not established. The remedy is given broad scope to flex in response to all human implications of the transaction and to satisfy the demands of justice.
Here, the Supreme Court properly granted that branch of the plaintiff’s cross-motion which was for summary judgment on the cause of action to impose a constructive trust. The plaintiff’s submissions in support of her cross-motion established, prima facie, the existence of a fiduciary or confidential relationship between herself and the defendant, a promise that the defendant would transfer the property to her, a transfer of funds in reliance thereon, and that the defendant was unjustly enriched. In opposition, the defendant failed to raise a triable issue of fact. Contrary to the defendant’s contention, under the circumstances presented, the plaintiff was not required to have an interest in the property prior to obtaining the defendant’s promise that it would be conveyed.
(Internal quotations and citations omitted).