Question
This case arises from a principal appealing the damages it was awarded by a court from its agent. The defendant William Pompa had breached his
This case arises from a principal appealing the damages it was awarded by a court from its agent. The defendant William Pompa had breached his duty of loyalty to plaintiff Wall Systems, Inc., by working for both Wall Systems and a competitor at the same time. Pompa also accepted three kickbacks from subcontractors in connection with his work for Wall Systems. As part of the remedy, the trial court also placed a constructive trust on a joint bank account held by Pompa and his wife Jill Pompa.
During the appeal, Jill Pompa asserted that the trial court had erred in putting a constructive trust on the joint bank account. What is a constructive trust and under what conditions may a court impose one? Wall Systems acknowledged that while there was no evidence that William Pompa had deposited the profits he received from his disloyal activities, "that it is fair to infer that he did, because the defendant testified that he deposited his paychecks from MK Stucco there, and there was no evidence that he and Jill Pompa had other bank accounts." Is this argument enough to show that the trial court was correct?
Source:Wall Systems, Inc. v. Pompa, 154 A. 3d 989 (2017)
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