Varsani & Ors v Jesani & Ors [1998] EWCA Civ 630 (3 April 1998)

Varsani & Ors v Jesani & Ors [1998] EWCA Civ 630 (3 April 1998)

The court has jurisdiction under s.13(1)(e)(iii) Charities Act 1993 to make a scheme for the division of the charity's assets between the two groups, as the original purpose has ceased to provide a suitable and effective method of using the property due to the schism. It is unnecessary to determine which group...

Source-derived case information.

Citation
[1998] EWCA Civ 630
Parties
Plaintiffs/respondents: Premji Devraj Varsani & Others; First Defendant/appellant: Jinabhai Ramji Jesani; Second Defendant/appellant: Mavji Karsan Patel; Intervener: Her Majesty's Attorney-General
Jurisdiction
England and Wales
Judgment Date
03 April 1998
Procedural Posture
Civil Appeal / Appeal From High Court Judgment
Outcome
Appeal dismissed
Legal Topics
Cy Près Doctrine, Charitable Trusts, Schism in Religious Charities, Jurisdiction to Make Schemes, Interpretation of Charitable Purposes
Charity Law Trusts Religious Law Cy Près Doctrine Charitable Trusts Schism in Religious Charities Jurisdiction to Make Schemes Interpretation of Charitable Purposes

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Parties

Premji Devraj Varsani & Others

Plaintiffs/respondents

Jinabhai Ramji Jesani

First Defendant/appellant

Mavji Karsan Patel

Second Defendant/appellant

Her Majesty's Attorney-General

Intervener

Procedural Posture

Civil Appeal / Appeal From High Court Judgment

Legal Issues

  1. 1 Does the court have jurisdiction to make a scheme for division of a religious charity's assets following a schism?
  2. 2 Is it necessary to determine which group adheres to the original faith before making such a scheme?
  3. 3 Does s.13(1)(e)(iii) Charities Act 1993 apply in these circumstances?

Ratio Decidendi

The court has jurisdiction under s.13(1)(e)(iii) Charities Act 1993 to make a scheme for the division of the charity's assets between the two groups, as the original purpose has ceased to provide a suitable and effective method of using the property due to the schism. It is unnecessary to determine which group adheres to the original faith, as the impasse cannot be resolved by the court and the spirit of the gift supports a scheme benefiting both groups.

Court Disposition

Appeal dismissed

Orders

  • Appeal of the minority group dismissed with costs
  • Attorney-General to pay his own costs