ABSTRACT
This chapter considers the nature of charities within the context of charitable entities and institutions, and distinguish charitable legal entities from other legal entities. Charitable trusts are established to benefit the community, not a specific individual, and thus are public, and are enforced by the Attorney-General. If a charitable trust fails, it will not return to the settler under a resulting trust, and nor will it pass to the Crown under bona vacantia. Instead, it can be applied cy-près by the court, or other governing body, in a way that is as near as possible to the intentions of the settler. The chapter outlines the general principles of this doctrine. One of the key benefits for charitable entities is that of fiscal advantages. Charitable organisations may be distinguished from other not-for-profit organisations on the basis of a number of principles and the legal form or structure to give effect to their activities.
