McGoey Crawley Estate, a 2025 decision of Nova Scotia Supreme Court, offers important insights into the creation and administration of trusts in estate planning. When Frances passed away in 2023, she had set aside $147,000 from a GIC she inherited to create an education fund for her grandsons. She transferred these funds to her daughter, Adelle, before her death, with the clear intention of setting up a trust for her grandsons’ education.

However, Frances’ other daughter, Michele, and her grandson, Finnegan, contested the transfer. They argued that the $147,000 should have been part of Frances’ estate, not transferred to Adelle, claiming that there was no clear intent to create a trust. They relied on the doctrine of resulting trust, which presumes that property transferred without a clear intention to gift is held in trust for the original owner’s estate.

Adelle and the estate countered that Frances had explicitly intended to create a trust for her grandsons’ education, in line with the provisions in her will. The transfer was made to avoid delays in accessing the funds and to minimize taxes. The estate argued that this was a valid, express trust established during Frances’ lifetime.

In its analysis, the court emphasized the certainty of intention, noting that while specific legal language wasn’t necessary to create a trust, clear intent was paramount. The court found that Frances had clearly intended for the funds to be held in trust for her grandsons, as supported by the facts surrounding the transfer. Frances had discussed her intentions with Adelle and her son Harold before her death, which further confirmed her intentions.

The court also considered the certainty of subject matter, affirming that the $147,000 from Frances’ GIC was identifiable and properly designated as the trust property. In addition, the certainty of objects was met, as the beneficiaries—the five grandsons, Benjamin, Liam, Finnegan, Jack, and Luke—were clearly identified.

Despite the argument for a resulting trust, the court found that the estate had sufficiently proven the existence of an express trust. It was clear that Frances wanted the funds to be used exclusively for the education of her grandsons, and the funds were properly transferred to Adelle for that purpose.

The court ultimately rejected the application of a resulting trust, siding with the estate and confirming the validity of the express trust. The decision underscores the importance of clear communication when transferring assets in estate planning. When a testator’s intentions are documented and supported by evidence, courts are more likely to uphold the validity of a trust.

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