Under the Indian Trusts Act, 1882, which of the

following is NOT a ground for the extinguishment of a trust?

A When its purpose is completely fulfilled Correct Answer Incorrect Answer

B When its purpose becomes unlawful Correct Answer Incorrect Answer

C When the fulfilment of its purpose becomes impossible Correct Answer Incorrect Answer

D When the trust property is sold at market value Correct Answer Incorrect Answer

E When a revocable trust is expressly revoked Correct Answer Incorrect Answer

Solution

As per Section 77 , a trust is extinguished in the following cases:

When its purpose is completely fulfilled (clause a).
When its purpose becomes unlawful (clause b).
When its purpose becomes impossible due to destruction of trust property or otherwise (clause c).
When a revocable trust is expressly revoked (clause d).

The sale of trust property at market value does not extinguish a trust unless it directly affects the trust's purpose.

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