Introduction
The
concept of the Karta is fundamental to understanding the Hindu Undivided Family
(HUF), a coparcenary system of property ownership and family governance. This
article explores the Karta's position within the HUF, their rights and powers,
and their corresponding duties.
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Who Can Be a Karta?
Traditionally, the senior-most male member of the HUF assumes the role of
Karta. However, the
Hindu Succession (Amendment) Act, 2005, now permits females to become
Kartas as well.
• Seniority: In the absence of a legal bar, the senior-most male member
has the right to become the Karta.
• Mutual Consent: Coparceners can appoint a junior male member as Karta
through mutual agreement ([Nopany Investments (Pvt.) Ltd. v. Santokh Singh, AIR
2001 SC 380]).
• Females as Kartas: Following the 2005 amendment, females
can be appointed as Kartas with the same rights and limitations as their
male counterparts.
Powers of the Karta
The Karta acts as the legal representative of the HUF,
wielding significant powers in managing its affairs. These powers are not
absolute and are subject to specific purposes and limitations:
1. Power to Represent
The Karta, as the head of the Hindu Undivided Family has the
authority to represent the entire family in all matters: legal, social, and
religious. He can enter into transactions on behalf of the family, and his
actions are binding on all members, Rajayya vs. Singa Reddy.
2. Power of Management
As upheld in the case of Bhaskaran vs. Bhaskaran, the Karta
has inherent power to manage and operate the HUF. This power is absolute, and
other coparceners cannot interfere unless his actions involve misappropriation,
fraud, or illegality.
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3. Power over Income and
Expenditure
The Karta exercises extensive control over the joint
family's income and expenditure. He is not bound to act like a trustee or agent
regarding saving or economizing. However, he must spend the income for the
family's benefit, including maintenance, education, marriage, religious
ceremonies, etc.
4. Power to Enter into Contracts
The Karta can enter into contracts on behalf of the entire
family, and these contracts are binding on all members.
5. Power to Compromise
The Karta can compromise disputes related to family property
or its management. This includes pending suits, family debts, and other
transactions. However, his actions can be challenged during partition if found
to be unfair.
Compromises involving minor coparceners require court
approval (Order 32 Rule 7 of the Code of Civil Procedure).
6. Power to Refer to Arbitration
The Karta has the authority to refer family disputes to
arbitration, and the arbitrator's award is binding on all members.
Also read: One-Liner
Guide to Indian Constitutional Law, Part II
7. Power over Individual Income
All coparceners contribute their income to the Karta, who
allocates funds according to each member's needs. While he can discriminate in
allocation, he cannot deprive anyone of their right to maintenance.
8. Power to Contract Debt
The Karta can incur debts for family purposes or business,
binding other coparceners only to the extent of their interest in the joint
property. Debts can also bind adult coparceners personally if they explicitly
or implicitly agree to the contract or ratify it later. Minors can be bound
upon attaining majority if they ratify the debt.
9. Power to Manage Family Business
The Karta has the authority to manage the joint family
business and can take steps necessary for its promotion.
Duties of Karta
1. Duty to Maintain
The Karta is liable to maintain all members of the joint
family, who have a right to both maintenance and residence. Failure to provide
maintenance can result in a legal action and claims for arrears of maintenance.
2. Duty to Marry Family Members
The Karta has a duty to arrange marriages for unmarried
members, especially daughters, as their marriage holds special significance in
Hindu law.
In the case of Chandra Kishore vs. Nanak Chand, it was held
that the Karta must bear the expenses of marriage from joint family funds or reimburse
them if incurred elsewhere.
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State its legal consequences.
3. Duty to Render Accounts
While not obligated to maintain accounts, the Karta must
provide them upon request by any coparcener during partition. He can be held
liable for any misappropriation or fraud.
4. Duty to Protect Property
The Karta can only alienate joint family property in
specific situations: legal necessity, benefit of the estate, or indispensable
duties. Any wrongful alienation can be challenged by coparceners.
Conclusion
the role of the Karta within Hindu Undivided Families is
pivotal, serving as the head and representative of the family unit. With
inherent powers encompassing management, representation, and decision-making,
the Karta holds significant responsibility in ensuring the well-being and
cohesion of the family. While empowered with rights to manage and make
decisions on behalf of the HUF, the Karta is equally bound by duties, including
the obligation to maintain family members and preserve the integrity of joint
family property. The amendments allowing females to become Kartas reflect the
evolving nature of the HUF concept.
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