FORMATION OF TRUSTS, APARTMENTS
FORMATION OF TRUSTS
A trust is a legal arrangement in which one or more individuals, known as the “trustees,” hold property or assets on behalf of beneficiaries. In India, the formation of trusts is governed by the Indian Trusts Act, 1882.
To form a trust in India, the following steps must be followed:
Preparation of a trust deed: A trust deed is a written document that outlines the terms and conditions of the trust, including the objectives of the trust, the names of the trustees, the powers and duties of the trustees, and the rights of the beneficiaries.
Execution of the trust deed: The trust deed must be executed by the settlor, who is the person creating the trust, and the trustees. In the case of a private trust, the trust deed must be signed by the settlor and the trustees in the presence of two witnesses. In the case of a public trust, the trust deed must be executed by the settlor in the presence of two witnesses and registered with the relevant authorities.
Appointment of trustees: The settlor must appoint one or more individuals as trustees, who will hold the trust property and manage the trust on behalf of the beneficiaries.
Transfer of property: The settlor must transfer the property or assets to be held in trust to the trustees.
Registration of the trust: If the trust is a public trust, it must be registered with the relevant authorities.
Once the trust is formed, the trustees must manage the trust in accordance with the terms and conditions outlined in the trust deed. They must also act in the best interests of the beneficiaries and ensure that the trust property is used for the purposes specified in the trust deed.
Overall, the formation of trusts in India requires careful planning and attention to detail to ensure that the trust is legally valid and that the rights of the beneficiaries are protected. It is advisable to seek the assistance of a qualified legal professional when forming a trust in India.
FORMATION OF APARTMENTS
The formation of apartments in India is governed by the Real Estate (Regulation and Development) Act, 2016 (RERA) and the respective state laws.
To form an apartment in India, the following steps must be followed:
Formation of a promoter or builder company: The first step in forming an apartment is to form a promoter or builder company, which will be responsible for the construction and development of the apartment complex.
Obtainment of necessary approvals: The promoter or builder company must obtain all necessary approvals and licenses from the relevant authorities, including the municipal corporation, the local development authority, and the fire department.
Preparation of the project plan: The promoter or builder company must prepare a detailed project plan, including the design, specifications, and cost estimates for the apartment complex.
Marketing of the project: The promoter or builder company must market the project to potential buyers and investors, and provide them with information about the project, including the plans, specifications, and estimated costs.
Registration under RERA: The promoter or builder company must register the project with the Real Estate Regulatory Authority (RERA) of the respective state. RERA requires that all details of the project, including the plans, specifications, and estimated costs, be disclosed to potential buyers and investors.
Construction of the apartments: The promoter or builder company must construct the apartments in accordance with the plans and specifications approved by the relevant authorities.
Delivery of the apartments: Upon completion of the construction, the promoter or builder company must deliver the apartments to the buyers and transfer the ownership rights to them.
Overall, the formation of apartments in India requires careful planning, compliance with the relevant laws and regulations, and a commitment to delivering quality and affordable housing to the people. It is advisable to seek the assistance of a qualified legal professional when forming an apartment in India.