Requirements for establishment of title trust relationship

In order to establish a title trust relationship with respect to real estate, there should be an agreement between the truster and the trustee on the establishment of a title trust relationship. However, only the fact that the owner of this house was registered in the name of the defendant in the relationship with which the Plaintiff obtained a building permit under the name of the defendant at the time of the construction of this house, the title trust relationship with respect to this house cannot be deemed to have been established due to such agreement between the

Kimio-right

Attorney Lee Jong-do, Counsel for the defendant-appellant

Seoul High Court Decision 80Na4223 delivered on May 15, 1981

The judgment below is reversed, and the case is remanded to Seoul High Court.

According to the reasoning of the judgment below, the court below confirmed the fact that the plaintiff constructed the main house on the building site which is owned by the defendant, and that the owner of the main house on the house register is registered in the name of the defendant due to the relation to which the building was permitted under the name of the defendant at the time of the construction, and therefore, it is clear that the building is owned by the plaintiff, but it is entrusted to the defendant, so the defendant is liable to implement the procedure for the registration of ownership transfer

However, in order to establish a title trust relationship with respect to real estate, there should be an agreement between the truster and the trustee on the establishment of a title trust relationship. Thus, in order to establish a title trust relationship with respect to this house between the plaintiff and the defendant, the plaintiff expressed his/her intention to trust the ownership in the public register on this house to the defendant, and the defendant's declaration of intention to accept it should be concluded. Thus, the agreement on this issue is concluded because the plaintiff was registered in the name of the defendant as the owner of the house on the house register in the relationship with which a building permit was granted under the defendant's name at the time of the construction of this house, such agreement cannot be deemed to have been established in the title trust relationship with respect to this house due to the above agreement between the plaintiff and the defendant, and even though there was no evidence to acknowledge it, the court below did not examine and determine whether there was an agreement on the title trust between the plaintiff and the defendant on the records, and did not err in the misapprehension of legal principles on the title trust contract, which affected the conclusion of the judgment below.

Therefore, the judgment of the court below is reversed, and the case is remanded to Seoul High Court. It is so decided as per Disposition by the assent of all participating Justices on the bench.

Justices Jeong Jong-tae (Presiding Justice) Kim Jong-young (Presiding Justice)