1. Legal aspects of
Corporate Business

2. Saurastra university, Rajkot
Submitted to, dr.daksha p. HOD OF DEPARTMENT OF COMMERCE SAURASTRA UNIVERSITY, RAJKOT
SUBMITTED BY,
VIBHA C. BARIYA
Roll no. 03
Mcom sem. 2
Saurastra university, Rajkot

3. index Law relating to Societies: Law relating to Trusts:
General concept relating to registration of societies;
Registration of societies;
Property of societies;
Claim by or against the society
Dissolution of societies;
Law relating to Trusts:
General concept relating to trusts;
Registration of trusts;
Duties and liabilities of trustees;
Disabilities of trustees;
Rights and liabilities of the beneficiary

4. Structure of a Non Profit Organization in India;
In Indian non profit organization can be registered as
Trusts
Societies
Section 25 companies

5. General concept relating to registration of societies;
Meaning of society:
As per the act “ a Society may be defined as a company or an association of persons united together by mutual consent to deliberate, determine and act jointly for the same purpose ”.
As per the section 1 of the act any seven or more persons associated for any literary, scientific, or charitable purpose .

6. Registration of society:
Place of registration office,
Signing of Memorandum of association,
Rules & Regulation of societies
Affidavit
Payment of registration certificate
Registration certificate

7. Property of societies;
As per the Section 5 of the societies registration act provides for the vesting of property of the society.
It provides that the property, movable and immovable, belonging to a society registered under this act, if not vested in trustees, shall be deemed to be vested, for the time being, in the governing body of such society, and in all proceedings, civil and criminal, may be described as the property of the governing body of such society by their proper title.

8. Claims by and against societies;
As per Section 6 of the societies act 1860,
Society may sue and be sued in the name of president, chairman or principal, secretary or trustees as determined by the rule and regulation of the society.
As per Section 7 of the societies act 1860,
No Claims or proceeding in any civil court shall abate or discontinue if the person in whose name the claim has been brought has died or ceased to fill the character. Such claims shall be continued in the name of or against the successor of such person.

9. Dissolution of societies
Section 13 of the societies act 1860 contains the provision relating to dissolution of society.
The following steps of dissolution of society as per the section 13:
To submit the proposal
Convene a special meeting
Resolution for dissolution by voting
Settlement of claims and liabilities

10. General concept relating to trusts:
Meaning of trust:
Trust is a general word implying the obligations towards other when someone holds cash or immovable or movable property on behalf of others.
Definitions:
As per the section 3 of the Indian Trust Act 1882,
“A Trust is an obligation annexed to the ownership of property and arising out of a confidence response in and accepted by the owner or declared and accepted by him, for the benefit of another or of another and the owner”.

11. Author : The person who reposes or declares the confidence is called the ‘ author of the trusts’.
Trustee : The person who accepts the confident is called the ‘trustee’ .
Beneficiary: person for whose benefit the confidence is accepted or trust is created is called the ‘beneficiary’.
Trust property: the subject matter of the trust is called ‘ trust property’ which is cash or movable or immovable property.
Instrument of trust: Instrument declaring or creating the trust is called the ‘ instrument of trust’ .

12. Creation of a trust: Lawful purpose – Section 4
Trust of property – Section 5
Creation of trust – Section 6
Who may create trusts – Section 7
Subject of trust – Section 8
Who may be beneficiary – Section 9
Who may be trustee – Section 10

13. Types of trusts:
Types Of
Trust
Public Trusts
Private Trusts

14. Registration of Trusts in Registrar:
Two copies of trust deed,
Xerox copy must have original signature
Two photo of each trustee/Settlor
Payment or fees of registration
All trustee & Settlor are required to be present in the office of registrar
Two witnesses are required to be present.

15. Duties and liabilities of trustees:
Trustee to execute trust(section 11)
Trustee to inform himself of state of trust-property(section 12)
Trustee to protect title to trust property(section 13)
Not to set up adverse title(section 14)
Care required from trustee(section 15)
Conversion of perishable property(section 16)
Trustee to be impartial(section 17)
Trustee to prevent damage to the trust property(section 18)
Accounts and information(section 19)
Investment of trust - money(section 20)

16. Liabilities:
Liability for a breach of trust(section 23)
No set-off allowed to trustee(section 24)
Non liabilities for predecessor’s default(section 25)
No liability for the acts and defaults of co-trustee(section 26)
Several liability of co-trustees(section 27)

17. Disabilities of trustees;
Trustee cannot renounce after acceptance(section 46)
Trustee cannot delegate(section 47)
Co-trustees cannot act singly(section 48)
Control of discretionary power(section 49)
Trustee may not charge for services(section 50)
Trustee may not use trust property for his own profit(section 51)
Trustee may not buy trust property(section 52)

18. Rights and liabilities of the beneficiary:
Rights of beneficiary:
Right to rents and profits(section 55)
Right to specific execution(section 56)
Right to inspect and take copies of instrument of trust, accounts, etc. (section 57)
Right to transfer beneficial interest(section 58)
Right to sue for execution of trust(section 59)
Right to proper trustees(section 60)

19. Liabilities of beneficiary:
Liability of beneficiary joining in breach of trust(section 68)
Rights and liabilities of beneficiary’s transferee(section 69)

20. THANK YOU