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The Indian Trusts Act, 1882 MCQs Set-1
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1. Section 1 of the Indian Trusts Act, 1882 deals with:
a. Interpretation clause
b. Duties of trustee
c. Short title, commencement, and extent
d. Lawful purpose
2. The primary objective stated in the preamble is to:
a. Regulate criminal breach of trust
b. Define and amend the law relating to private trusts and trustees
c. Codify property law
d. Govern public endowments
3. The enactment date of the Act is:
a. 1st March, 1882
b. 26th January, 1950
c. 15th August, 1947
d. 13th January, 1882
4. The Act came into force on:
a. 1st March, 1882
b. 13th January, 1882
c. 1st April, 1882
d. 26th November, 1949
5. The short title of the Act is:
a. Trust Regulation Act, 1882
b. Indian Trust Law Act, 1882
c. Private Trust Act, 1882
d. The Indian Trusts Act, 1882
6. The Act extends to:
a. Only mainland India
b. Whole of India including Andaman and Nicobar Islands
c. Only Union Territories
d. Only states excluding islands
7. The authority empowered to extend the Act is:
a. Supreme Court
b. Parliament
c. Central Government
d. State Government
8. Extension of the Act is done through:
a. Judicial order
b. Official Gazette notification
c. Parliamentary resolution
d. Presidential ordinance
9. The Act does NOT affect:
a. Company law
b. Contract law
c. Criminal law
d. Muhammadan law relating to waqf
10. The Act does NOT affect relations governed by:
a. Statutory law only
b. Criminal law
c. Customary or personal law
d. International law
11. The Act does NOT apply to:
a. Private trusts
b. Trustee obligations
c. Public or private religious or charitable endowments
d. Beneficial interests
12. Trusts for distribution of war prizes are:
a. Fully governed by the Act
b. Partially governed
c. Not governed by the Act
d. Governed by courts only
13. Chapter II does NOT apply to:
a. Trusts created after commencement
b. Trusts created before commencement
c. Oral trusts
d. Government trusts
14. The Act primarily relates to:
a. Public trusts
b. Religious trusts
c. Government trusts
d. Private trusts and trustees
15. Section 2 of the Indian Trusts Act, 1882 deals with:
a. Interpretation clause
b. Duties of trustee
c. Repeal of enactments
d. Lawful purpose
16. The repeal under Section 2 applies to:
a. Judicial precedents
b. Statutes and Acts mentioned in the Schedule
c. All existing laws
d. Only future laws
17. The extent of repeal is determined by:
a. Court interpretation
b. Government discretion
c. The Schedule annexed to the Act
d. Parliamentary debates
18. The repeal operates in:
a. Entire India permanently
b. Only Union Territories
c. Territories where the Act extends for the time being
d. Only states
19. Section 3 of the Indian Trusts Act, 1882 deals with:
a. Revocation of trust
b. Duties of trustee
c. Lawful purpose
d. Interpretation clause and definitions
20. A “trust” is defined as:
a. A contractual obligation
b. An obligation annexed to ownership of property
c. A statutory duty
d. A moral responsibility
21. A trust arises from:
a. Court order
b. Written agreement only
c. Confidence reposed and accepted
d. Government notification
22. A trust can be for whose benefit?
a. Only trustee
b. Only government
c. Only family
d. Another or another and the owner
23. The person who reposes or declares the confidence is:
a. Trustee
b. Beneficiary
c. Author of the trust
d. Agent
24. The person who accepts the confidence is:
a. Beneficiary
b. Trustee
c. Author
d. Executor
25. The person for whose benefit the trust is created is:
a. Trustee
b. Agent
c. Beneficiary
d. Settlor
26. The subject-matter of the trust is called:
a. Trust obligation
b. Instrument of trust
c. Trust-property or trust-money
d. Beneficial interest
27. Beneficial interest means:
a. Ownership of property
b. Trustee’s liability
c. Right of beneficiary against trustee
d. Legal title of trustee
28. The document declaring the trust is called:
a. Agreement
b. Instrument of trust
c. Contract deed
d. Transfer deed
29. A “breach of trust” refers to:
a. Criminal offence only
b. Breach of contract
c. Violation of trustee’s duty imposed by law
d. Failure to register trust
30. The term “registered” means:
a. Registered under company law
b. Registered under income tax law
c. Registered under any court order
d. Registered under the law for registration of documents in force
31. A person has “notice” when:
a. He hears from others
b. He actually knows the fact
c. It is published publicly
d. It is recorded in court
32. Notice includes knowledge which would have been obtained but for:
a. Delay
b. Lack of resources
c. Wilful abstention or gross negligence
d. Absence of documents
33. Notice is imputed when information is received by:
a. Friend
b. Relative
c. Agent under specified circumstances
d. Stranger
34. The concept of notice via agent is governed by:
a. Indian Penal Code
b. Civil Procedure Code
c. Transfer of Property Act
d. Indian Contract Act, 1872 Section 229
35. Expressions defined in the Indian Contract Act, 1872 shall:
a. Be ignored
b. Have independent meanings
c. Carry the same meanings in this Act
d. Be modified by courts
36. Section 4 of the Indian Trusts Act, 1882 deals with:
a. Duties of trustee
b. Revocation of trust
c. Lawful purpose
d. Rights of beneficiary
37. A trust may be created for:
a. Any purpose
b. Any lawful purpose
c. Only charitable purpose
d. Only religious purpose
38. The purpose of a trust is unlawful if it is:
a. Beneficial
b. Written
c. Express
d. Forbidden by law
39. A purpose that would defeat the provisions of any law is:
a. Valid
b. Lawful
c. Unlawful
d. Optional
40. A fraudulent purpose makes the trust:
a. Unlawful
b. Valid
c. Conditional
d. Voidable
41. A purpose involving injury to person or property is:
a. Lawful
b. Enforceable
c. Optional
d. Unlawful
42. A purpose regarded as immoral or opposed to public policy is:
a. Conditional
b. Unlawful
c. Valid
d. Voidable
43. Every trust with an unlawful purpose is:
a. Void
b. Valid
c. Enforceable
d. Optional
44. Where lawful and unlawful purposes are inseparable:
a. Only unlawful part fails
b. Only lawful part survives
c. Trustee decides
d. Whole trust is void
45. If two purposes cannot be separated, the trust is:
a. Void
b. Partially valid
c. Fully enforceable
d. Voidable
46. The term “law” in Section 4 includes:
a. Only Indian law
b. Only statutory law
c. Customary law
d. Law of foreign country where immovable property is situated
47. The explanation applies when trust-property is:
a. Movable
b. Immovable and situated in a foreign country
c. Tangible
d. Intangible
48. A purpose not expressly forbidden but defeating law is:
a. Valid
b. Enforceable
c. Unlawful
d. Optional
49. Injury implied in the purpose makes it:
a. Lawful
b. Conditional
c. Valid
d. Unlawful
50. Determination of immorality or public policy is made by:
a. Trustee
b. Government
c. Beneficiary
d. Court
51. Section 5 of the Indian Trusts Act, 1882 deals with:
a. Duties of trustee
b. Trust of immoveable and moveable property
c. Revocation of trust
d. Rights of beneficiary
52. A trust relating to immoveable property is valid only if declared by:
a. Oral agreement
b. Registered non-testamentary instrument in writing
c. Mere possession
d. Court order
53. The instrument for immoveable property trust must be:
a. Oral
b. Implied
c. Written and signed
d. Notarized only
54. The declaration of trust for immoveable property must be signed by:
a. Beneficiary
b. Government
c. Author of trust or trustee
d. Registrar only
55. A trust of immoveable property can also be created by:
a. Agreement
b. Will
c. Delivery of possession
d. Court decree
56. A trust relating to moveable property is valid if:
a. Declared in writing only
b. Declared as required or ownership transferred to trustee
c. Registered compulsorily
d. Approved by court
57. Transfer of ownership to trustee is necessary in case of:
a. Immoveable property only
b. Moveable property
c. Public trust
d. Religious trust
58. The rules of Section 5 do NOT apply where:
a. Trust is oral
b. Trust is charitable
c. They would operate to effectuate a fraud
d. Trust is implied
59. Section 6 of the Indian Trusts Act, 1882 deals with:
a. Revocation of trust
b. Creation of trust
c. Duties of trustee
d. Rights of beneficiary
60. A trust is created when the author indicates:
a. Ownership
b. Possession
c. Intention with reasonable certainty
d. Registration
61. Intention to create a trust may be indicated by:
a. Written words only
b. Oral statements only
c. Words or acts
d. Court declaration
62. One essential element for creation of trust is:
a. Registration
b. Intention to create trust
c. Government approval
d. Consideration
63. The purpose of the trust must be:
a. Implied
b. Optional
c. Indicated with reasonable certainty
d. Registered
64. Identification of beneficiary in trust creation must be:
a. Vague
b. Optional
c. Reasonably certain
d. Registered
65. Trust-property must be:
a. Undefined
b. Optional
c. Clearly indicated
d. Registered only
66. Transfer of trust-property to trustee is required unless:
a. Trust is oral
b. Trust is registered
c. Trust is declared by will or author is himself trustee
d. Trust is charitable
67. Creation of trust is subject to:
a. Section 4
b. Section 5
c. Section 3
d. Section 2
68. Section 7 of the Indian Trusts Act, 1882 deals with:
a. Who may create trusts
b. Subject of trust
c. Beneficiary
d. Trustee
69. A trust may be created by:
a. Only a major
b. Every person competent to contract
c. Only a court
d. Only a trustee
70. A minor can create a trust:
a. Freely without restriction
b. Only orally
c. With permission of a Civil Court of original jurisdiction
d. Only through guardian without court
71. Creation of trust by a minor is subject to:
a. Personal choice
b. Trustee’s approval
c. Court discretion only
d. Law in force regarding disposal of trust-property
72. Section 8 of the Indian Trusts Act, 1882 deals with:
a. Subject of trust
b. Creation of trust
c. Revocation
d. Duties
73. The subject-matter of a trust must be:
a. Any interest
b. Only immoveable property
c. Property transferable to the beneficiary
d. Only money
74. The subject-matter must not be:
a. Tangible property
b. Merely beneficial interest under a subsisting trust
c. Transferable property
d. Immovable property
75. Section 9 of the Indian Trusts Act, 1882 deals with:
a. Trustee eligibility
b. Trust property
c. Beneficiary eligibility
d. Revocation
76. A beneficiary may be:
a. Only a major
b. Only a competent person
c. Only a trustee
d. Every person capable of holding property
77. A proposed beneficiary may renounce his interest by:
a. Disclaimer addressed to trustee
b. Court order
c. Oral statement only
d. Registration
78. Renunciation may also occur by:
a. Transfer of property
b. Filing suit
c. Oral refusal
d. Setting up a claim inconsistent with the trust
79. Section 10 of the Indian Trusts Act, 1882 deals with:
a. Creation of trust
b. Trustee eligibility and acceptance
c. Beneficiary rights
d. Trust property
80. A trustee may be:
a. Every person capable of holding property
b. Only a major
c. Only a court-appointed person
d. Only a competent person
81. Where trust involves discretion, trustee must be:
a. Minor
b. Beneficiary
c. Competent to contract
d. Court-appointed
82. Acceptance of trust is:
a. Mandatory
b. Optional
c. Compulsory by law
d. Automatic
83. A trust is accepted by:
a. Registration
b. Court order
c. Written agreement only
d. Words or acts indicating acceptance
84. A trustee may disclaim the trust:
a. Within reasonable period before acceptance
b. After acceptance
c. Only through court
d. Never
85. Disclaimer by trustee results in:
a. Transfer to beneficiary
b. Trust-property not vesting in him
c. Trust becoming void
d. Vesting in government
86. Disclaimer by one of several co-trustees results in:
a. Trust becomes void
b. Property returns to author
c. Property vests in remaining trustees
d. Property vests in court
87. Remaining co-trustees after disclaimer become:
a. Joint owners
b. Beneficiaries
c. Agents
d. Sole trustees
88. Section 11 of the Indian Trusts Act, 1882 deals with:
a. Trustee to inform himself
b. Trustee to protect title
c. Trustee to execute trust
d. Duties of beneficiary
89. A trustee is bound to:
a. Ignore directions
b. Fulfil the purpose of the trust
c. Act independently always
d. Follow court orders only
90. A trustee must obey directions of:
a. Beneficiary
b. Court
c. Government
d. Author of the trust
91. Directions of the author may be modified by:
a. Trustee alone
b. Consent of all competent beneficiaries
c. Court order only
d. Government notification
92. Where beneficiary is incompetent to contract, consent is given by:
a. Trustee
b. Guardian
c. Principal Civil Court of original jurisdiction
d. Registrar
93. A trustee is NOT bound to follow directions if:
a. They are written
b. They are registered
c. They are beneficial
d. They are impracticable, illegal, or injurious
94. Section 12 of the Indian Trusts Act, 1882 deals with:
a. Trustee to protect title
b. Trustee to execute trust
c. Trustee to inform himself of trust-property
d. Trustee liability
95. A trustee must acquaint himself with:
a. Beneficiary’s status
b. Nature and circumstances of trust-property
c. Court procedures
d. Author’s intention only
96. A trustee must obtain transfer of trust-property:
a. Always
b. Never
c. At his discretion
d. Where necessary
97. A trustee must get trust-money invested on:
a. Safe securities
b. Insufficient or hazardous securities
c. Government bonds only
d. Personal accounts
98. Such investment duty is subject to:
a. Court order
b. Government rules
c. Instrument of trust
d. Beneficiary consent
99. Section 13 of the Indian Trusts Act, 1882 deals with:
a. Trustee to inform himself
b. Trustee to protect title to trust-property
c. Trustee to execute trust
d. Trustee appointment
100. A trustee must maintain and defend:
a. Contracts
b. Agreements
c. All suits relating to trust-property
d. Personal claims
101. A trustee must take steps for:
a. Profit maximization
b. Personal benefit
c. Government compliance
d. Preservation of trust-property
102. Protection of title depends on:
a. Trustee’s choice
b. Nature and value of trust-property
c. Court discretion only
d. Beneficiary request
103. Steps taken by trustee must be:
a. Arbitrary
b. Optional
c. Reasonably requisite
d. Mandatory in all cases
104. Duties under Section 13 are subject to:
a. Government orders
b. Instrument of trust
c. Court decree
d. Beneficiary consent
105. Section 14 of the Indian Trusts Act, 1882 deals with:
a. Care required from trustee
b. Trustee liability
c. Trustee not to set up adverse title
d. Trustee duties
106. A trustee must not:
a. Act prudently
b. Protect trust-property
c. Follow instructions
d. Set up title adverse to beneficiary
107. The prohibition applies when trustee acts:
a. For himself or another
b. Only for himself
c. Only for beneficiary
d. Only for court
108. Setting up adverse title against beneficiary is:
a. Permitted
b. Optional
c. Conditional
d. Prohibited
109. Section 15 of the Indian Trusts Act, 1882 deals with:
a. Trustee to execute trust
b. Care required from trustee
c. Trustee to inform himself
d. Trustee to protect title
110. A trustee must deal with trust-property:
a. Arbitrarily
b. As directed by court only
c. As a man of ordinary prudence would deal with his own property
d. Only as per beneficiary wishes
111. The standard of care required is:
a. Extraordinary diligence
b. No care
c. Absolute liability
d. Ordinary prudence
112. In absence of contract, trustee is not responsible for:
a. Any act
b. Loss, destruction or deterioration of trust-property
c. Beneficiary’s actions
d. Court orders
113. Trustee’s exemption from liability applies when:
a. He acts negligently
b. He acts fraudulently
c. He deals prudently with trust-property
d. He ignores directions
114. The standard applied to trustee’s conduct is based on:
a. Court discretion
b. Government rules
c. Beneficiary’s opinion
d. Conduct of an ordinary prudent man
115. Section 16 of the Indian Trusts Act, 1882 deals with:
a. Trustee to be impartial
b. Conversion of perishable property
c. Trustee liability
d. Trustee duties
116. Conversion is required when trust is for:
a. Single beneficiary
b. Trustee only
c. Several persons in succession
d. Court
117. Conversion applies when property is:
a. Immovable only
b. Permanent
c. Profitable
d. Of wasting nature or future/reversionary interest
118. Trustee must convert property into:
a. Movable property
b. Permanent and immediately profitable property
c. Beneficiary’s choice
d. Government securities only
119. Conversion is not required if:
a. Trustee refuses
b. Beneficiary objects
c. Instrument shows contrary intention
d. Court orders otherwise
120. Section 17 of the Indian Trusts Act, 1882 deals with:
a. Trustee duties
b. Trustee liability
c. Trustee to execute trust
d. Trustee to be impartial
121. A trustee must be impartial when:
a. Only one beneficiary exists
b. Multiple beneficiaries exist
c. Court directs
d. Government orders
122. Trustee must not:
a. Act prudently
b. Follow trust
c. Advantage one beneficiary over another
d. Maintain accounts
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