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CS Executive · Setting Up of Business, Industrial and Labour Laws · Non-Corporate Entities

Under the Indian Trusts Act, 1882, which set of matters must the author of a trust indicate with reasonable certainty by words or acts for a trust to be created?

The author must indicate with reasonable certainty his intention to create a trust, the purpose of the trust, the beneficiary and the trust-property. Unless declared by will or the author is trustee, he must also transfer the property to the trustee.

  1. AIntention to create a trust, purpose, beneficiary and trust-propertyCorrect
  2. BIntention, purpose, name of the trustee and the trust's registration number
  3. CPurpose, beneficiary, trustee's remuneration and trust deed date
  4. DBeneficiary, trust-property, trustee's qualifications and the duration of the trust

Explanation

The Act lists four matters: intention to create a trust, the purpose, the beneficiary and the trust-property. The author must also transfer the property to the trustee unless the trust is declared by will or the author is himself the trustee. Trustee remuneration, registration number or duration are not among the four.

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