ADVOCATE ANIL PANDEY 26 April 2023

One of the trustee passed away, and his successor already another trustee in the same trust.

Good Evening Learned Experts,

Sir, I am a legal officer in a Pvt Company, facts & queries are as follows:

1- There is a Trust Deed (Registered) for Public Charitable purpose (NGO). and Company is settlor/author having five members as trustee thereof.

2- Out of five members, 3 members are from same family i.e. Father, Mother, and son.

3- Now one trustee i.e. Father passed away, and remaining member are four now.

My Question:

1- Is any change required in trust deed? if yes then pl. enlighten.

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4 Replies

P. Venu (Advocate) 26 April 2023

No meaningful suggestion is possible unless the Trust Deed is perused.

T. Kalaiselvan, Advocate (Advocate) 26 April 2023

Whenever any person appointed a trustee disclaims, or any trustee, either original or substituted, dies, or is for a continuous period of six months absent from 3[India], or leaves 3[India] for the purpose of residing abroad, or is declared an insolvent, or desires to be discharged from the trust, or refuses or becomes, in the opinion of a principal civil court of original jurisdiction, unfit or personally incapable to act in the trust, or accepts an inconsistent trust, a new trustee may be appointed in his place by-

(a) the person nominated for that purpose by the instrument of trust (if any), or

(b) if there be no such person, or no such person able and willing to act, the author of the trust if he be alive and competent to contract, or the surviving or continuing trustees or trustee for the time being, or legal representative of the last surviving and continuing trustee, or (with the consent of the court) the retiring trustees, if they all retire simultaneously, or (with the like consent) the last retiring trustee.

Every such appointment shall be by writing under the hands of the person making it. On an appointment of a new trustee the number of trustees may be increased.

The Official Trustee may, with his consent and by the order of the court, be appointed under this section, in any case in which only one trustee is to be appointed and such trustee is to be the sole trustee.

The provisions of this section relative to a trustee who is dead include the case of a person nominated trustee in a will but dying before the testator, and those relative to a continuing trustee include a refusing or retiring trustee if willing to act in the execution of the power.

Rama chary Rachakonda (Secunderabad/Highcourt practice watsapp no.9989324294 ) 27 April 2023

The new Trustee shall hold the office of the Trustee for a period of five years or until his voluntary retirement or his death. Succession to the Trusteeship shall continue... succeeds as Trustee shall have the power to nominate his successor.