• Can a private trust dispose off immovable property without permission from any government authority

My question is can a private trust formed for the benefit of a minor dispose off immovable property by the settlor or trustees signing the conveyance deed or a permission required from any govt. authority since this is a private trust not public trust ? the trust deed has given the powers to the trustees
Asked 4 years ago in Property Law
Religion: Hindu

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22 Answers

Competent Court's permission is required for the private trust formed for the benefit of a minor to sell its immovable properties.

Shashidhar S. Sastry
Advocate, Bangalore
5116 Answers
314 Consultations

5.0 on 5.0

Hello,

  1. The Trust can dispose of the immovable property only after seeking permission from the court. A court order needs to be obtained for the sale/disposal.
  2. As the Trust is formed for the benefit of the minor, it will have to be established before the court that the sale/disposal of the property is for the benefit and welfare of the minor.

S J Mathew
Advocate, Mumbai
3547 Answers
175 Consultations

5.0 on 5.0

The Delhi High Court has said prima facie no trust property can be held, sold, mortgaged or exchanged without prior permission of the court.

The order would operate against all trusts irrespective of whether they are religious or not, including properties belonging to the church, temples, wakf.. justice Vikramajit Sen said.


 

Ajay Sethi
Advocate, Mumbai
94718 Answers
7530 Consultations

5.0 on 5.0

A private trust can do anything but underlying all those acts should be the welfare of the person community or society for whom the trust has been formed. Therefore youmay do anything unless it is detrimental to the beneficiaries.

Rahul Mishra
Advocate, Lucknow
14088 Answers
65 Consultations

5.0 on 5.0

It should be registered with sub registrar office in Mumbai 

Ajay Sethi
Advocate, Mumbai
94718 Answers
7530 Consultations

5.0 on 5.0

Charity Commissioner, Maharashtra. You can register the trust through online also.

Shashidhar S. Sastry
Advocate, Bangalore
5116 Answers
314 Consultations

5.0 on 5.0

Any trust made for the benefit of a minor can perform without the intervention of court if it is going to acquire property in the name of the minor. 

However for selling the property it requires the permission of court without which the sale would be voidable at the option of the minor on his attaining majority. 

Devajyoti Barman
Advocate, Kolkata
22822 Answers
488 Consultations

5.0 on 5.0

Hello,

  1. You can register the Private Trust  with the registrar or sub-registrar having
    authority to register properties in your locality. You need to get a Trust Deed drafter for registration.
  2. To help you with the draft, you may contact a lawyer from the Kaanoon.com" panel.

S J Mathew
Advocate, Mumbai
3547 Answers
175 Consultations

5.0 on 5.0

Hi

Trust has to be a registered trust irrespective of public or private.

Trust need permission from a civil court to dispose off the trust property.

The registration can be initiated in the office of the Charity Commissioner who has jurisdiction over the trust.

Charity commissioner office address Maharastra,

Office of the Charity Commissioner Maharashtra State, Mumbai, 3rd floor, 83, Dr. Annie Besant Road,Worli, Mumbai 400 018

Thresiamma G. Mathew
Advocate, Mumbai
1642 Answers
212 Consultations

5.0 on 5.0

  • The office of the Charity Commissioner maintains a register containing all details of the Trust; viz., Reg.No., name and address of the Trust, names of all the Trustees (Past & Present), mode of succession of Trusteeship objects of the Trust, particulars of documents creating a Trust, description of movable and immovable properties, particulars of encumbrances on trust property etc.
  • This register is known as P.T.Register. A certified copy of the P.T. Registrar in Schedule-I (vide Rule 5) can be obtained by applying in simple application with Rs.10/- Court fee stamp by paying prescribed fees for the same. It is advisable for all the trusts to have a certified copy of P.T. Register entry.



Ganesh Kadam
Advocate, Pune
12930 Answers
255 Consultations

4.9 on 5.0

A prior permission of the jurisdictional court is required to be obtained to deal with the immovable property of  minor in any form. 

You will have to establish that the sale is for the benefit of minor. 

Agam Sharma
Advocate, New Delhi
617 Answers
6 Consultations

5.0 on 5.0

- As per Delhi High Court, Trust property cannot be sold /mortgaged or exchanged without without prior permission of the court. This order is applied for all trust , whether public or private.

- A private trust is created for the benefit of a particular group of individuals known as the beneficiary.

- Further , after drafting a trust deed , it can be registered from the office of the sub-registrar , having jurisdiction of your area.

Mohammed Shahzad
Advocate, Delhi
13222 Answers
198 Consultations

5.0 on 5.0

The Delhi High Court has said prima facie no trust property can be held, sold, mortgaged or exchanged without prior permission of the court

As per section 11 of the Indian Trusts Act, 1882:

Trustee to execute trust.—The trustee is bound to fulfil the purpose of the trust, and to obey the directions of the author of the trust given at the time of its creation, except as modified by the consent of all the beneficiaries being competent to contract. Where the beneficiary is incompetent to contract, his consent may, for the purposes of this section, be given by a principal Civil Court of original jurisdiction. Nothing in this section shall be deemed to require a trustee to obey any direction when to do so would be impracticable, illegal or manifestly injurious to the beneficiaries. 

T Kalaiselvan
Advocate, Vellore
84917 Answers
2195 Consultations

5.0 on 5.0

It doesnt require govt permission but consent of all trustee and beneficiaries in majority needs to be taken care of. In case of minor permission of court is required

Prashant Nayak
Advocate, Mumbai
31951 Answers
179 Consultations

4.1 on 5.0

Where there is no settler and 7 or more people come together, the registration is done under the Societies Act. However, in Maharashtra and Gujarat State, all Societies registered under the Act of 1860 are also required to register as a trust under the BPTA 1950.

 

T Kalaiselvan
Advocate, Vellore
84917 Answers
2195 Consultations

5.0 on 5.0

1. Since the trust is formed for the benefit of the minor the properties of trust cannot be sold without the prior permission of the competent court.

2. The permission would be granted by the competent court only if it is proved that sale is for the benefit of minor.

Ashish Davessar
Advocate, Jaipur
30763 Answers
972 Consultations

5.0 on 5.0

1. Trust (Private of Public Trusts) are registered with the district Charity Commissioner (Worli, Mumbai).

2. Property of Trust CANNOT be sold without written permission /order of registering authority, means the district Charity Commissioner.

Hemant Agarwal
Advocate, Mumbai
5612 Answers
25 Consultations

5.0 on 5.0

that is not legally permissible

the beneficiary of the trust has to consent

since beneficiary is a minor, court's permission will be needed

without such permissions any disposal of the trust property will not be binding on the beneficiary and will be voidable at his instance 

Yusuf Rampurawala
Advocate, Mumbai
7512 Answers
79 Consultations

5.0 on 5.0

Trust property can't be sold without court's permission. 

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

The registration process is done by the office of the sub-registrar. 

Mohammed Mujeeb
Advocate, Hyderabad
19299 Answers
32 Consultations

4.7 on 5.0

Yes trustees can dispose off the Properties for benefits of beneficiary without taking permission from any govt authorities. 

Mohit Kapoor
Advocate, Rohtak
10687 Answers
7 Consultations

5.0 on 5.0

It has to be registered at the registrar office.

Rahul Mishra
Advocate, Lucknow
14088 Answers
65 Consultations

5.0 on 5.0

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