Faulkner v. Hendy
103 Cal. 15 ·
Supreme Court of California · Filed
Published · citable
Holding
The court held that a trustee who commingles trust funds with personal assets and cannot account for profits derived from their use is entitled to a presumption favoring the beneficiary only when profits are reasonably ascertainable; where tracing profits becomes factually impossible due to the nature of the business and commingling, the beneficiary’s remedy is limited to legal interest on the misappropriated principal.
Statutes construed
- CCP § 638
- CCP § 644
- CCP § 670