Essentials of Endowment– The following are the essentials for the creation of a valid endowment–

1. Absolute Dedication of Property—It is necessary that the property is absolutely and in perpetuity dedicated for the worship of diety by the donor or the dedication is for a charitable purpose. It is necessary that the donor has divested himself of the beneficial interest in the property. But it is not necessary that the normal religious procedure for Sankalp, and construction is observed.

2. Object Must be Definite—It is necessary that the object of the dedication is definite, meaning thereby it should be made explicit as to for which diety, the dedication has been made or the charitable purpose for which the bequest has been made. A dedication to the Dharma is . invalid, the dedication being vague and uncertain.

3. Property Must be Definite–Any endowment is not valid unless some definite property is dedicated. Any uncertainty regarding the subject-matter of the bequest is fatal for its validity. Hence the a subject matter of the property given in the endowment must be specified For Example-A by means of a will has directed that the property he spent for a specified charitable purpose; but he did not meniioa in it the exact amount to be spent. Such a bequest will be invalid for uncertainity.

4. Person Setting or Creating the Endowment should be competent– Is necessary that the settler is major, of sound mind and is not legally disqualified for creating an endowment. A person governed by Mitakshara can only dedicate his separate or self-acquired property but not his coparcenary interest. But a person governed by Dayabhag school. ue, a father is competent to create an endowment of his whole property in which his coparcenary property is also included. Even a woman after the passing of Hindu Succession Act, 1956, can dedicate hi property as she is now an absolute owner of the property. Earlier her right of dedication was limited. A Karta of H.U.F can also make a gift inter vivos of small portion of joint Hindu family property for pious, religious and charitable objects.

5. Endowment must not be opposed to law— Inspite of the fact that the endowment must not be opposed to law, yet bequests to idols and temples are not treated invalid for transgressing the rule which forbids perpetuities. But an endowment created for saving the property from creditors is void or if it is made within two years of the insolvency of the transferor. Where a part of the property is dedicated for performing puja of a diety it does not give rise to a valid religious endowment.