Absence of Trust Deed Not Fatal; Public Trust Can Be Inferred From Purpose, Beneficiaries and Long-Term Use: Kerala High Court

The Kerala High Court has held that the absence of a formal trust deed or express declaration of trust does not prevent a court from recognising the existence of a public religious and charitable trust. The Court observed that a constructive public trust may be inferred from the nature of the beneficiaries, the purpose for which the property is used, and the surrounding circumstances indicating dedication to public religious or charitable objects.

Justice Mohammed Nias C.P. delivered the ruling while allowing an appeal against a trial court judgment that had dismissed a suit filed under Section 92 of the Code of Civil Procedure, 1908. The plaintiffs alleged that certain properties associated with Christian missionary activities constituted a public religious and charitable trust and sought relief relating to their administration.

The Court noted that public trusts can arise even without formal documentation where the beneficiaries are an unascertained and fluctuating section of the public rather than specific individuals. Examining the historical records, transfer documents and long-standing use of the properties for prayer halls, schools, orphanages, burial grounds and other charitable institutions, the Court found sufficient evidence of dedication to public religious and charitable purposes.

The Court further observed that the properties had consistently been used for the benefit of worshippers, students, widows, orphans and other members of the public connected with the charitable activities of the institution. Finding that these circumstances established a constructive public trust, the High Court set aside the trial court's decision and remanded the matter for consideration of issues relating to trust administration, accounts and framing of a management scheme.

Case: C.C. Moses & Ors. v. Steward Co. Ltd. & Ors.

Court: Kerala High Court

Citation: 2026:KER:40643