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Indian Trusts Act: Parties in A Trust
Indian Trusts Act: Parties in A Trust
Indian Trusts Act: Parties in A Trust
There is a major notion among many that it is only the elite sector of the
society who can create trusts. However, that is not true! A trust can be
created by not just the high –net worth individuals but even by ordinary
men and women. The provisions of the Indian Trust Act, 1882 (referred to
as “The Act” in this article) governs only private trusts.
Parties in a Trust
Author/Settlor/Trustor /Donor : The person who wants to
transfer his property and reposes confidence on another for the
creation of the trust.
Trustee : The person who accepts the confidence for the creation
of the trust
Beneficiary: The person who will benefit from the trust in the near
future.
Objectives of a Trust in General
The main objective is that the trust should be created for a lawful purpose.
For example, if Mr X had stolen money from a bank and given it to Mr Y
with the intention of giving the money to poor children then, in this case the
trust itself is void as the very main purpose is unlawful.
Is forbidden by law
Is fraudulent
Types of Trusts
Private Trusts: A private trust is for a closed group. In other
words, the beneficiaries can be identified. Eg: A trust created for the
relatives and friends of the author.
Public Trusts: A public trust is created for a large group, i.e. the
public in large. Eg: Non-Profit NGO’S Charitable Institutions for the
general public.
Trust Name
______________________________________
2. Trustee :
Grandfather Name :
Aadhar Card :
Pan card :
Photo :
Mobile No. :
3. Trustee :
Grandfather Name :
Aadhar Card :
Pan card :
Photo :
Mobile No. :
4. Trustee :
Grandfather Name :
Aadhar Card :
Pan card :
Photo :
Mobile No. :
Witnesses
1) __________________________
a. Aadhar Card
b. Mobile No.
2) ____________________________
a. Aadhar card
b. Mobile No.
Trust Deed