Where a trustee exercises a statutory right (such as the right to convert a Crown lease to freehold) that accrues by virtue of trust property, the resulting interest is held in the trustee capacity unless there is a conscious act to acquire in another capacity with the fully informed consent of beneficiaries. The presumption of resulting trust arising from third-party funding of the acquisition does not displace the fiduciary obligations owed to existing trust beneficiaries. Alternatively, a constructive trust arises where the acquisition involves a conflict between fiduciary duty and personal interest.
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