Tracing into an Overdrawn Bank Account — When does Money Cease to Exist?

The law relating to tracing is complicated, littered with inconsistencies and possibly now verging on a state of disarray. The complications are ever increasing as the topic becomes inevitably intertwined with the law relating to constructive trusts and restitution. This article concentrates on a specific aspect of the law of tracing, namely, the extent to which one can trace money paid into an overdrawn bank account.