Indian Kanoon - Search engine for Indian Law

Before answering this question, I observe that the suit is instituted by one of the beneficiaries for dissolution of the Trust by an order of this Court.

In my opinion, consideration of clauses 4(a) and 4(b) of the Trust Deed is of paramount importance.

According to clause 4(a), Jaswant and Hemprakash would enjoy the income of the trust properties for their lives. But the trustees had a discretion, which had to be taken by majority decision, to hand over the trust money to these persons, after they attained the age of 25 years, in equal shares.

Thus, it is very difficult to deny these applicants the claim to be joined as parties to the suit and contest the prayer of the above beneficiaries for dissolution of the Trust. By dissolution of the trust they would get nothing whereas by operation of clause 4(b) there is a possibility for Gaurav and Shaleen to get something on the death of their father. That is their interest in this suit, in my opinion.

I am also of the view that it is very doubtful whether the trustees can now, by majority, hand over the trust monies to Jaswant and Hemprakash in terms of clause 4(a) of the Trust Deed. This is so because clause 4(b) of the Trust Deed has come into operation. They could only do so if clause 4(b) of the Trust Deed did not come into operation by virtue of the bachelorhood of Jaswant Kumar Surana or Hemprakash Surana. Otherwise, if clause 4(a) of the Trust Deed, regarding handing over of the entire trust money to Hemprakash and Jaswant Kumar, could be effected now, it would render clause 4(b) of the Trust Deed, which has come into operation, otiose.