The government has updated the rules governing trust deeds to formally recognize and accommodate digital signatures, marking a progressive step toward modernizing legal documentation processes. This change is aimed at reducing the dependency on physical paperwork and manual verification, thereby speeding up the formation and amendment of trusts across the country. The use of digital signatures brings convenience, security, and legal enforceability to the process, aligning trust management with broader digital governance reforms.

Under the revised framework, trustees and settlors are now permitted to sign trust deeds using Class 2 or Class 3 digital signatures issued by licensed Certifying Authorities in India. These digital signatures are legally binding under the Information Technology Act, 2000, and are accepted by government departments and regulatory bodies. The updated rules also ensure that once the trust deed is digitally signed and uploaded to the appropriate online registration portal, it will be considered valid for all legal and regulatory purposes, subject to verification.

The integration of digital signature norms into the trust registration process also facilitates remote execution of documents, which is especially beneficial for trustees or beneficiaries located in different parts of the country or abroad. It reduces logistical delays, the risk of document tampering, and the cost associated with notarization and physical delivery. The Registrar of Trusts and other concerned authorities have been directed to update their systems to accept and process digitally signed documents, thereby ensuring uniform implementation of the new rules.

Legal experts and civil society organizations have welcomed this change, highlighting that it brings a higher level of transparency and traceability to the creation and amendment of trust deeds. It also complements the government’s broader objectives of promoting digital inclusion and improving the ease of compliance for nonprofit and charitable institutions. As awareness about the new rules spreads, it is expected that a significant number of new and existing trusts will transition to digital documentation, thereby contributing to a more efficient and secure legal environment for the management of trust affairs.