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    Question

    What happens if the purpose of a trust becomes unlawful

    after its creation?  
    A The trust continues as originally intended Correct Answer Incorrect Answer
    B The trust is suspended temporarily Correct Answer Incorrect Answer
    C The trust is considered void Correct Answer Incorrect Answer
    D The trustee assumes ownership of the trust property Correct Answer Incorrect Answer
    E The trust is modified automatically Correct Answer Incorrect Answer

    Solution

    According to Section 6 of the Indian Trusts Act, 1882, a trust becomes void if its purpose becomes unlawful after its creation due to changes in the law or other circumstances. The property is returned to the settlor or their legal representatives.  

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