Legal Question in Real Estate Law in New York
property ownership rights
My ex-girlfriend and I wanted to own a house we could fix up and sell. To get a better mortgage rate only her name was on the mortgage. We had agreed that it was to be our house and we'd get married and fix it up for a small profit when she finished school. For 3 years we split every payment down the middle and most of the repairs were evenly split as well, the others I payed for completely. Now all of a sudden she claims it is her house and it was never part of my house and I have no rights to it. I moved out during the last of the 4 years we have had the property with a confirmed agreement that I will still get half of the selling price minus taxes since i was gone and anymore repair fees. Do I still have rights to this property? I do have records of all payments to her and elsewhere.
2 Answers from Attorneys
Re: property ownership rights
Contracts for the sale of real property are supposed to be in writing, i.e. you were purchasing 1/2 the property from your girlfriend and this agreement should have been in writing to conform to the Statute of Frauds. However, this defect should not prevent you from arguing for your share of the property. You could also take the line of argument that your girlfriend fraudulently induced you to give her the money. You have the records and could make a case in court for your position.
If you have further questions or concerns, please contact me via my website at www.lawrefs.com.
Re: property ownership rights
Although Ms. Walsh is correct, she fails to acknowledge a legal theory in NY called "Constructive Trust."
A constructive trust is an equitable remedy available �[w]hen property has been acquired in such circumstances that the holder of the legal title may not in good conscience retain the beneficial interest� (Beatty v Guggenheim Exploration Co., 225 NY 380, 386).
Generally, the remedy requires four elements: (1) a confidential or fiduciary relationship, (2) a promise, expressed or implied, (3) a transfer in reliance thereon, and (4) unjust enrichment.
Pursuant to your question you may satisfy 3 of the 4 criteria, with the exception of a transfer in reliance. Therefore, if there was a transfer of the house to the ex-girlfriend you may have a cause of action for the value of the house under the theory of a constructive trust.
Mike.