Suit can be Maintained by President as Representative of Trust in Terms of Trust Deed for and on behalf of Trust: Madras HC [Read Order]

A Single Bench of the Madras High Court observed that a suit can be maintained by the President as the representative of a trust in terms of the trust deed for and on behalf of the trust.

The suit had been filed by a Trust represented by its President. It is true that the Trust Deed had not been produced at the time of filing of the suit, the same had now been produced before this Court along with an application to receive the Trust Deed and also the exemption certificate granted by the Income Tax Department.

V.Chandrakanthan, counsel for the applicants in the application to reject the plaint would submit that the suit had been instituted by the Trust and submitted that originally the Trust had entered into a Tenancy Agreement and thereafter, a Sale Agreement.

The Counsel also submitted that no trust deed had been filed along with the plaint to show that the plaintiff legally registered the Trust under the Indian Trust Act and further submitted that the plaintiff had not produced any authorization letter or document along with the plaint to show that the President of the Trust is entitled to represent the Trust. Hence, the Trust has no locus standi to file a suit by itself.

P.T.Perumal, counsel for the respective respondents in both the applications would submit that the plaintiff in filing the application is trying to plugin the defects in the plaint. The Counsel also submitted that the suit framed by the Trust represented by only one of the trustees cannot be maintainable.

The Counsel further submitted that the Registry ought not to have accepted the plaint filed by the Trust without it establishing itself to be a Trust. No Trust Deed had been filed along with the plaint to substantiate the Trust is in existence and therefore, and wondered how the Registry of this Court had accepted the plaint and had issued summons in the suit.

A Single Bench comprising Justice K Kumarsh Babu observed that “A Suit can be maintained by a representative of the Trust in terms of the Trust Deed for and on behalf of the Trust. In the present case, the Trust Deed produced by the plaintiff would suggest that the President who is one of the trustees is entitled to file a suit.”

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