REGISTERED TRUST AND ITS UTILITY UNDER THE CORPORATE

WORLD:

STUDY OF INDIAN TRUST LAW WITH COMPARISON TO

INTERNATIONAL REGIME

PRESENTED BY:
KURAT SHAH
 INDEX
ACKNOWLEDGMENT.

AN INTRODUCTION.

 THE INDIAN TRUST LAW.

 THE INTERNATIONAL TRUST LAW REGIME.

 CASE LAWS UNDER INDIAN & INTERNATIONAL LAW.

CONCLUSION & SUGGESTIONS.

BIBLIOGRAPHY.
 CHAPTER 1
AN INTRODUCTION

TRUST

MEANING
 HISTORY OF TRUST
 KEY ELEMENTS
 CREATION
TYPES OF TRUST

 
 
 
 
 
 
 
What exactly is trust according to Giddens
He defined it as follows:

"Trust may be defined as confidence in the

reliability of a person or system, regarding a
given set of outcomes or events, where that
confidence expresses a faith in the probity of
love of another, or in the correctness of
abstract principles (technical knowledge)."
 A SIMPLE DEFINITION FROM
A LEGAL VIEWPOINT 

A trust is a disposition of property to a person

or persons jointly in whom the legal title then
vests in the confidence that the benefits will be
applied to the advantage of one or more other
persons or some other object permitted by
law. 
The trust, was the product of a peculiar history and division of labor
between medieval english courts.

 A parallel system of courts, known as chancery or equity courts, then

emerged and demonstrated a willingness to enforce intention in ways
previously unrecognized.

A belated companion act, the statute of wills in 1540, specifically

authorized wills of land for the first time.

"Antitrust law" emerged in the 19th century when industries

created monopolistic trusts.
KEY ELEMENTS
CREATION
 TYPES OF TRUST

CONSTRUCTIVE TRUST: 
Not created by an agreement between a settlor and the trustee. A constructive trust
is imposed by the law as an "EQUITABLE REMEDY.“

DYNASTY TRUST
 Also known as a generation-skipping trust. A type of trust in which assets are
passed down to the grantor's grandchildren, not the grantor's children.

EXPRESS TRUST:
A settlor deliberately decides to create a trust, over their assets, either now, or
upon his or her later death.
 
HYBRID TRUST:
The trustee must pay a certain amount of the trust property to each beneficiary fixed
by the settlor.
 INCENTIVE TRUST:
A trust that uses distributions from income or principal as an
incentive to encourage or discourage certain behaviors on the part of
the beneficiary.

OFFSHORE TRUST:
Strictly speaking, an offshore trust is a trust which is resident in any
jurisdiction other than that in which the settlor is resident.

PRIVATE AND PUBLIC TRUSTS:

A  private trust has one or more particular individuals as its
beneficiary. By contrast, a public trust (also called a charitable trust)
has some charitable end as its beneficiary

SPENDTHRIFT TRUST :
Is a trust put into place for the benefit of a person who is unable to
control their spending. It gives the trustee the power to decide how
the trust funds may be spent for the benefit of the beneficiary.
 CHAPTER 2

THE INDIAN TRUST LAW

TYPES OF ORGANIZATIONS
TAX LAWS
APPLICABLE LAWS
RELEVANT LEGAL FORMS
SPECIFIC QUESTIONS REGARDING LOCAL LAW
 TYPES OF ORGANISATION

TRUSTS
The public charitable trust is a possible form of not-for-profit entity in india. 
Typically, public charitable trusts can be established for a number of purposes,
including the relief of poverty, education, medical relief, and any other object of
general public utility.
 
Indian public trusts are generally irrevocable. 

No national law governs public charitable trusts in india, although many states
(particularly maharashtra, gujarat, rajasthan, and madhya pradesh) have public
trusts acts. 
 SOCIETIES
Societies are membership organizations that may be registered for charitable
purposes. 

 Societies are governed by the societies registration act 1860.

SEC. 25 COMPANIES 

Company is a company with limited liability that may be formed for "promoting
commerce, art, science, religion, charity or any other useful object," provided that
no profits, if any, or other income derived through promoting the company's objects
may be distributed in any form to its members. 
 APPLICABLE LAWS

 CONSTITUTION OF INDIA
ARTICLES 19(1)(C) AND 30; 

 INCOME TAX ACT, 1961; 

 PUBLIC TRUSTS ACTS OF VARIOUS STATES; 

 SOCIETIES REGISTRATION ACT, 1860; 

 INDIAN COMPANIES ACT, 1956, SECTION 25; 

 FOREIGN CONTRIBUTION (REGULATION) ACT, 1976;

 CHAPTER 3

THE INTERNATIONAL TRUST LAW

REGIME

UNITED STATES OF AMERICA.

UNITED KINGDOM
UAE.
 U.S.A

UNITED STATES TRUST LAW is the body of law regulating the legal instrument
for holding wealth known as a trust.
IN AUGUST 2004, THE NATIONAL CONFERENCE OF COMMISSIONERS ON
UNIFORM STATE Laws created the first attempt to codify generally accepted
common law principles in anglo-american law regarding trusts into a uniform
statutory code for the fifty states, called THE UNIFORM TRUST CODE (UTC).
The UTC attempts to standardize the general composition of both trust forms and
their requirements, but does not generally attempt to address
the procedural questions as to overall subject-matter jurisdiction and other aspects
of proceedings involving trusts. 
 U.K
English trusts law is the original and foundational  law of trusts in the world, and
a unique contribution of english law to the legal system.
The law of trusts developed in the middle ages from the time of the crusades
under the jurisdiction of the king of England.

NEW UK TRUST LAW brings greater flexibility, by Amanda Banks, Tax-

News.com, London UK LAW FIRM,
Boodle Hatfield
has observed that new trust legislation, due to enter into force on april 6, will allow
those looking to establish new trusts greater flexibility.
 U.A.E

For years wealthy families in the UAE have used family trusts to hold
“off-shore” assets.

In a major announcement made in june 2008, DUBAI INTERNATIONAL

FINANCIAL CENTRE (DIFC) now proposes regulations establishing a clear
legal framework and process to facilitate the establishment of “single
family” trusts in the UAE, which would be suitable to hold “on-shore” UAE
assets (both within and outside the DIFC).

The DIFC TRUST LAW Sets out the duties and powers of a trustee and
defines the relationships between trustees and beneficiaries and their
respective interests in the trust assets.
 CHAPTER 4

CASE LAWS DEALING WITH TRUSTS

UNDER
INDIAN AND INTERNATIONAL LAW.
 INDIAN CASE LAWS

RADHANTA DEB V.COMMISSIONER OF HINDU RELIGIOUS ENDOWMENT

ORISSA AIR 1981 SC 798(1981)2SCC226:

Classification of trusts private and public trusts was given in this case.

DALGOBINDA SETHI V. KANIKA MAZUMDAR AIR 1987 ORI 60

ABDUL RAHMAN V. SMT.ANGER BALA AIR 1974 CAL 16

ABDUL SAMAD KHAN V. BIBIJAN AIR 1925 MAD 1149

ABRAHAMS WILL TRUSTS1967)2ALL ER 1175

INTERNATIONAL CASE LAWS
A NEW ZEALAND CASE STUDY
SCOTLAND CASE STUDY
AUSTRALIAN CASE STUDY
WASHINGTON CASE STUDY
 CHAPTER 5

 SUGGESTIONS AND CONCLUSION

Trust can be used for various purposes, the most important being
inheritance planning. On death of the settlor, assets transferred in to a
trust can be utilized for the beneficiaries without having to wait for the
probate to be completed.
These trusts can also be used for managing investments. As offshore
vehicles are tax-neutral, the wealth and the income that these
investments generate will not be taxed.
Confidentiality is another attraction of offshore trusts. As legal
owners of these trusts are the trustees, the settlor does not have to
disclose assets transferred in to these trusts to tax authorities. Only
taxable benefits received from the trust needs to be disclosed.
 BIBLIOGRAPHY

LIST OF BOOKS

LIST OF ARTICLES

LIST OF CONVENTIONS/ACTS

LIST OF WEBSITES

LIST OF CASES

 ABBREVIATIONS