Trust Registration in Delhi, India
A trust is a form of arrangement in which the asset is transferred by the owner (the settlor) to another person (trustee) for the benefit of the class of persons known as beneficiaries. The interested parties, i.e., the trustor, and the trustee, must obtain a trust deed to transform the Trust into a legal entity. Such agreements help to clarify the scope of authority to the trustee who will manage the assets of the settlor. They are supposed to be neutral bodies who help others.
In our Constitution, the word trusts came into existence by the Indian Guests Act of 1892. This act also gives a legal definition of world trust. A trust can be Private or Public. In a public trust, the beneficiary is the general public; on the other hand, in Private trust the beneficiaries are individuals or families.
In general, setting up a trust isn’t a daunting errand as only two members are required to lay its foundation. To serve this purpose, the members need to prepare a trust deed on a non- judicial stamp paper. The trust deeds incorporate avalanches of detail, such as the Trust’s objective, aim, role, and responsibilities of the active members.
Such legal entities are set up via the Charitable Trust Registration process, a guideline prescribed under the Trust Act. Every charitable Trust needs a trust deed registration for the establishment purpose. Henceforth, the charitable trust registration is called a trust deed registration. At present, there are more than seven hundred thousand legally registered NGOs working in the country. However, the majority of them lack the official seal. The trustees need to refer to any documents other than a trust deed for cross-reference of actions within the Trust.