Transfer for illegal purpose requires transferee to hold property for transferor when the illegal purpose is not executed or retention defeats law. Where an owner transfers property to another for an illegal purpose but the purpose is not carried into execution, or the transferor is less guilty than the transferee, or permitting retention would defeat statutory provisions, the transferee must hold the property for the benefit of the transferor, converting the transferee's title into an equitable holding rather than enforcing the illegal transaction.
Cases where this provision is explicitly mentioned in the judgment/order text; may not be exhaustive. To view the complete list of cases mentioning this section, Click here.
Provisions expressly mentioned in the judgment/order text.
Transfer for illegal purpose requires transferee to hold property for transferor when the illegal purpose is not executed or retention defeats law.
Where an owner transfers property to another for an illegal purpose but the purpose is not carried into execution, or the transferor is less guilty than the transferee, or permitting retention would defeat statutory provisions, the transferee must hold the property for the benefit of the transferor, converting the transferee's title into an equitable holding rather than enforcing the illegal transaction.
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