Karta of family

Karta means manager of joint family and joint family properties. He is the person who takes care of day to day expenses of the family looks after the family and protects the joint family properties.

Who can be a Karta:-
It is a presumption that ordinarily senior most male member is the Karta and Karta is always a member in the family no outsider or stranger can become a Karta. The senior most male member so long as he is alive may be, aged, infirm or ailing continues as Karta. By his death Kartaship will pass on to next senior most male member. In the presence of senior most male member a junior cannot act as Karta but if all coparcener agree, a junior also can become a Karta.
Karta owes his position by consent or agreement of all coparceners.
 

Powers of Karta:-
With in joint family Karta has vast powers with limitations.
1) Power of management:- He is the head of the family, his management powers are absolute. He may manage the family affairs and family property and business the way he likes for the benefit of estate, no one can question his management.

2) Right to Income:- It is general rule that all members who works or do business out of joint family property must hand over income to Karta. It is for Karta to allot funds to the members and look after needs and requirements, so long as family remains joint, no member can ask for any specified share in the income.

3) Right to representation:- He represent the family, represents the family in all matters, legal, social and religious. He can enter into any transaction on behalf of the family, his acts are binding on the entire joint family.

4) Power to compromise:- He has power to compromise all disputes relating to family property or their management. He can compromise pending suits, family debts, and other transactions. However if his act is not bonafide can be challenged in a partition.

5) Power to refer a dispute to arbitration:- Karta has power to refer any dispute to arbitration and Arbitrator’s award is binding on all the members.

6) Power of acknowledgement and to contract debts:- Karta has power to acknowledge on behalf of the family any debt due to the family, also has power to pay debt or to make pack payment of debt.
He has power to contract debts for the family such debts incurred in the ordinary course of business are binding on entire joint family. Even Karta when takes loan or execute promissory note for family purpose or for family business joint family is liable to pay such loan.

7) Power to enter into contract:- Karta has power to enter into contract and such contract is enforceable against the family.

8) Power of alienation:- Nobody in the family has power to alienate joint family property. However Karta has power of alienation under 3 circumstances.
a) Legal necessity
b) Benefit of estate.
c) Indispensable duties.