Jaffer v. Hirji

Summary

**Jaffer v. Hirji, 887 F.3d 111 (2d Cir. 2018)** **Topics:** Constructive trust (implied promise in confidential relationship); adverse possession (close family relationship presumption); New York law. **Holdings:** (1) Affirmed dismissal of adverse possession claim because plaintiffs, who were family members living on the property with permission, failed to plead a "distinct assertion of a right hostile to" the record owner. (2) Vacated summary judgment on constructive trust claim, holding that a genuine dispute existed as to whether the property was transferred in reliance on a confidential relationship, giving rise to an implied promise to allow indefinite occupancy, even without an express promise or fraud. **Key Rule:** Under New York law, a constructive trust may be imposed on the basis of an implied promise arising from a confidential relationship, not solely as a fraud-rectifying remedy.

Holdings

1. Judgment on the pleadings was proper because plaintiffs failed to plead affirmative facts showing that their possession was hostile and under a claim of right, given the close family relationship.
2. Summary judgment was improper because there is a genuine dispute of material fact as to whether Ahmed transferred the property to Naushad in reliance upon a confidential relationship, which can support an implied promise under New York law.

Questions Presented

1. Whether the District Court erred in granting judgment on the pleadings on plaintiffs' adverse possession claim.
2. Whether the District Court erred in granting summary judgment on plaintiffs' constructive trust claim.

Disposition

other