SITUATION:

• A trust property has not been used for 20 years or more.

• Out of 5 trustees, only 1 trustee is alive.

• You want to know what legal complications arise.

1. Key Legal Issues:

A. Failure of Trusteeship

• If trustees die, resign, or are incapable, and no new trustees are appointed, the trust can fail to function properly.

• A single surviving trustee cannot perform all trust acts, especially where quorum or minimum number of trustees is required (as per original trust deed or law).

B. Doctrine of Lapse/Abandonment of Trust Property

• If the trust property is unused for a long time (e.g., 20+ years), beneficiaries or interested persons can argue that the trust purpose has failed, or that the property is being wasted.

• Court intervention may be necessary to revive or repurpose the trust.

C. Legal Doctrine: Cy-Pres (only for Public Trusts)

• Under public trust law, if original trust purposes cannot be fulfilled, the Court (Charity Commissioner or Civil Court) may apply the cy-pres doctrine: modify the object but maintain the general charitable intention.

D. Risk of Adverse Possession or Encroachment

• If the trust property remains unused and unmanaged, there is a risk of outsiders claiming possession (adverse possession) if the trust does not protect its title properly.

E. Mismanagement Allegations

• If the surviving trustee does not act, there could be charges of breach of fiduciary duty.

2. Relevant Laws and Sections:

(i) Indian Trusts Act, 1882 (for private trusts)

• Section 73: When trustee dies, and no further trustee is appointed, the legal representatives or Court can intervene.

• Section 70: Duty of trustee to preserve trust property.

• Section 36: Trustee must act in accordance with trust deed.

• Section 34: Trustee can approach Civil Court for directions.

(ii) Bombay Public Trusts Act, 1950 (for public trusts, especially Gujarat & Maharashtra)

• Section 41A: Charity Commissioner can issue directions for proper management.

• Section 47: Filling up of vacancies among trustees.

• Section 50: Filing suit for recovery of possession, declaration, or directions regarding trust.

3. Practical Legal Complications:

✅ Trust cannot function properly if only one trustee remains and no proper decision-making happens.

✅ Beneficiaries or stakeholders can file a suit for:

• Appointment of new trustees.

• Administration Scheme framed by the Court.

✅ Charity Commissioner (for public trusts) or Civil Court (for private trusts) can take steps to:

• Reconstitute the trust.

• Repurpose the trust property under cy-pres (only in public trust).

✅ If property is encroached, surviving trustee (or beneficiaries) must file suit for possession/recovery.

✅ Delay and long inaction can lead to adverse possession claims if outsiders occupy the property.

4. What Actions Can Be Taken Now?

🔵 By the surviving trustee:

• Move Civil Court (private trust) or Charity Commissioner (public trust) for appointment of new trustees.

🔵 By beneficiaries / interested persons:

• File a petition under Section 50 of Bombay Public Trusts Act or Civil Suit for reconstitution and management.

🔵 File for court supervision:

• If deadlock arises, seek scheme of management from Court.

🔵 Immediate protection of property:

• If any risk of illegal possession exists, immediately file for injunction and possession protection.

5. Important Supreme Court and High Court Judgments:

🛡️ Deoki Nandan v. Murlidhar (1956 AIR 133)

Public trusts are under obligation of court and beneficiaries; even trustees have no personal rights to waste property.

🛡️ State of Gujarat v. Manoharsinhji Pradyumansinhji Jadeja, (1997) 2 SCC 140

Trustees must act diligently; court can modify trust terms under Cy Pres doctrine if original objects fail.

🛡️ Sunder Dass v. Ram Prakash, (1977) 2 SCC 662

Survivorship rights of trustees — new trustees can and must be appointed when vacancies occur.

6. Short Conclusion:

⚡ Trust cannot be left idle for long.
⚡ Surviving trustee must approach Court or Charity Commissioner for appointment of new trustees.
⚡ Beneficiaries can initiate action for administration.
⚡ Trust property must be protected immediately to prevent claims of adverse possession.
⚡ If needed, revival, scheme framing, or repurposing through Court orders must happen.

Gujarati Translation (ગુજરાતી ભાષામાં ટ્રાંસલેશન)

જો ટ્રસ્ટ પ્રોપર્ટીનો ઉપયોગ 20 વર્ષ કે તેથી વધુ સમયથી ન થયો હોય અને પાંચમાંથી માત્ર એક જ ટ્રસ્ટી હયાત હોય, તો કઈ કાનૂની ગૂંચવણો ઊભી થઈ શકે? | એડવોકેટ પરેશ એમ મોદી