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Section 250: Administration limited to property in which person has beneficial interest

Indian Succession Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1925
Section 249 All 391 Sections of Indian Succession Act Section 251

Legal Commentary & Landmark Judgments: Section 250

Section 250 provides for the grant of Administration Limited to Trust Property where the deceased was a trustee and had no beneficial interest in the property.

  • Trust Property Administration: Where a person dies possessed of property as a trustee, and had no beneficial interest therein on his own account, administration may be granted limited to that trust property.
  • Grant to Beneficiary or Successor Trustee: The grant is made to the person beneficially interested in the trust, or to his representative, or to a successor trustee.
  • Insulation from Personal Debts: Trust property covered by a Section 250 grant is wholly shielded from the personal debts and creditors of the deceased trustee.
Key Landmark Precedents:
  • Embassy Property Developments v. State of Karnataka (2020) 13 SCC 308: The Supreme Court reaffirmed that trust properties in which the deceased had no beneficial ownership form no part of his personal estate and are governed by specialized transfers like Section 250.
  • In re goods of Bholanath AIR 1931 Cal 580: Held that Section 250 enables trust beneficiaries to obtain title deeds and recover trust assets without being entangled in the personal liabilities of the deceased trustee.
Courtroom Practice & Strategic Litigation Guidance:

Where a sole trustee dies leaving trust real estate registered in his personal name, the successor trustee should petition under Section 250 for administration limited to the trust property; the deceased's personal creditors cannot attach this property.

Section 249 All 391 Sections of Indian Succession Act Section 251