Skip to content

CS Professional · CSR and Social Governance · Societies and Trusts

Under a family trust, the sole trustee dies. The deed names no appointer, the author is dead, and no trustee survives or can act. Beneficiaries Asha and Vikram disagree on who should be appointed. Asha petitions the principal Civil Court of original jurisdiction. Which statement correctly describes the Court's approach?

The Court must weigh the author's wishes, the wishes of any person empowered to appoint, whether the appointment will promote or impede execution of the trust, and the interests of all beneficiaries. Under Section 74 a petition suffices and no suit is needed.

  1. AThe Court must appoint the person Asha names, as the first petitioner
  2. BThe Court must have regard to the author's wishes, the wishes of any person empowered to appoint, whether the appointment will promote or impede the trust, and the interests of all beneficiariesCorrect
  3. CThe Court must appoint only the Official Trustee
  4. DThe Court may act only after a regular suit is instituted

Explanation

Section 74 allows the beneficiary to apply by petition without instituting a suit when appointment under Section 73 is impracticable. The Court must consider the author's wishes, the wishes of any empowered person, whether the appointment promotes or impedes execution, and, with several beneficiaries, the interests of all. It is not bound by one beneficiary's preference.

Did you get it right without looking?

One question tells you little. A timed set on Societies and Trusts shows your real accuracy, how long you take and where you lose marks.

Practise Societies and TrustsFree diagnostic mock

More Societies and Trusts questions