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Concept Of Gift in Transfer Of Property Property law

Concept Of Gift in Transfer Of Property Property law Submitted by: V. VINEETH REDDY 2013129 III

Submitted by:

V. VINEETH REDDY

2013129

III SEMESTER

DAMODARM SANJIVAYYA NATIONAL LAW UNIVERSITY

Visakhapatnam November 2014

ACKNOWLEDGEMENT:

I would like to express my gratitude towards our Vice-Chancellor Prof. R. G. B. Bhagavath kumar Sir, for the providing me an opportunity to improve my skills of writing and research through projects. I would specially like to thank our Economics Professor Mr. Ramachandradu Sir for the support he has provided me in completion of the project successfully.

THANK YOU

TABLE OF CONTENTS

S.N

CONTENTS

PAGE

O

NO

1

INTRODUCTION

4

2

DEFINITION OF GIFT

4

3

IDEA OF GIFT

5

4

TYPES OF GIFT

5

5

ESSENTIALS OF GIFT

8

6

GIFT DEED

8

7

TRANSFER OF GIFT DEED DEPENDING UPON THE

9

NATURE OF THE GIFT

8

TRANSFER PROCESS OF GIFT

11

9

MODE OF TRANSFER OF GIFT

12

10

ATTESTATION OF GIFT DEED

13

11

WHEN GIFT TAKES EFFECT

14

12

IRREVOCABLE GIFTS

14

13

REVOCATION

14

15

NO REVOCATION UNDER

18

REMAINING GROUNDS

16

BONAFIDE PURCHASER

18

19

CONCLUSION

19

20

BIBLIOGRAPHY

20

INTRODUCTION:

Gift is transfer of ownership without consideration transfer without consideration. Transfer without consideration is called gratuitous transfer. A gratuitous transfer may take place between two living persons or, it may take place only after the death of the transferor. Gift may therefore, be either inter vivos or, testamentary. Gift inter vivos is gratuitous transfer of ownership meaning within the meaning of section 5 of the transfer property act, 1882. Gift testamentary is called a will which is transfer by operation of law and is outside the scope of this act. A gift made during apprehension of death is called a gift mortis causa. Such gifts are also excluded from project 1 . The provisions of this Act are applicable only to gifts inter vivos.

Gifts are which cannot be revoked are called as irrevocable gifts and the gifts which can be revoked are mentioned in the transfer of property act and only those gifts can be revoked which fulfils the conditions of revocation as such and remaining other are irrevocable gifts.

DEFINITION OF GIFT:

Section 122 of the transfer of property Act, 1882 defines gift as under:

“gift is transfer of certain existing movable or immovable property made voluntarily and without consideration, by one person called the donor, to another, called the donee, and accepted by or on behalf of the donee”

Gift , as defined in this section, is gratuitous transfer of ownership in some existing property made voluntarily. The definition include gift of both movable as well as immovable property. The transferor is called donor and the transferee is called donee.

1 Under Muslim law a gift made in apprehension of death is called gift during marz ul maut and is interpreted as will. Gift made by a Muslim is called hiba. Both of these gifts are excluded from this chapter by section 129 of the Act.

Donor: Donor must be a competent person. For competency, the donor must have capacity as well as right to make the gift. If the donor had capacity to contract he deemed to have capacity to make gift. Thus, at the time of gift the donor must be of the age of majority and registered societies or firms or institutions are also competent to make gifts. Besides capacity, donor must also have the right to make gift. Gift being transfer of ownership, the donor must have ownership rights in the property at the time of gift.

Donee: Donee need not be competent to contract. Donee may be any person in existence at the date of making of gift. A gift made to minor or insane person or even in favour of a child in mother’s womb is provided it is lawfully accepted by a competent person on his or her behalf. Donee too may be juristic person. Juristic persons, such as, firms, companies or institutions are deemed to be competent done and gift made to them is valid. However donee must be ascertainable person. Gift made to public in general is void. If ascertainable, donee may be two or more persons.

THE IDEA OF GIFT:

A gift is a transfer of property without any monetary consideration by one person in favour of another and accepted by him or by a person on his behalf. A gift, where both the parties are Muslims is governed by the provisions of the quranic law, and not by the Transfer of property Act, as it is inconsistent with the provisions of this act.

There are certain essentials of a gift like donor and donee, subject matter of a gift, interest created by the donor, gift must be made with free and voluntary consent and acceptance of gift without consideration.

Under section 122 of the transfer of property Act, 1882 gift defined as the transfer of certain existing movable and immovable property made voluntarily and without consideration, by one person called the donor, to another , called the donee and accepted by or on behalf of the donee.

TYPES OF GIFTS:

The two principal categories of gifts are:

Inter vivos gifts

Causa mortis gifts

Inter vivos gifts: Inter vivos is Latin for between the living or from one living person to another. A gift inter vivos is one that is perfected and takes effect during the lifetime of the donor and donee and that is irrevocable when made. It is a voluntary transfer of property, at no cost to the donee, during the normal course of the donor’s life.

A gift inter vivos differs from a sale, a loan, or barter since something is given in exchange for the benefit in each of such transfers. Whether the value given is a money or price, a percentage interest or an equivalent item of property, or a promise to repay, the element of exchange makes such transfers something other than a gift.

There are a number of special types of inter vivos gifts. Forgiveness of a debt is a gift of the amount of money owed, and destroying the promissory note signed by the debtor and handling it over to him or her can accomplish delivery. A share of stock in a corporation may ordinarily be given to someone else by having ownership transferred to the person on the books of the corporation or by having a new stock certificate issued in the person’s name. a life insurance policy can generally be given to someone by delivering the policy, but it is more expedient to express in writing that all interest in the policy is assigned, or transferred, to the donee and to notify the insurance company to that effect. Certain states require these formalities since state law strictly regulates insurance. Written transfer can only make gifts of land.

A donor can limit an inter vivos gift in certain ways. For example, he or she might give someone a life estate in his or her property. When the donee dies, the property reverts to the donor. A donor cannot place other restrictions on a gift if the restrictions would operate to make e gift invalid. If, for example, the donor reserves the power to revoke a gift, there is no gift at all.

Causa mortis Gifts: a gift causa mortis (Latin for “in contemplation of approaching death”) is one that is made in anticipation of imminent death. This type of gifts takes effect upon the death of the donor from the expected disease or illness. In the event

that the donor recovers from the peril, the gift is automatically revoked. Gifts causa mortis only apply to personal property.

A donor who is approaching death might make a gift by putting his or her intention in writing. This procedure is likely to be followed, when, for example, the donee is in another state, and personal delivery is thereby impractical. The delivery requirement is frequently relaxed when a causa mortis gift is involved, since a donor is less likely to be able to make an actual delivery as his or her death approaches. A symbolic delivery is frequently sufficient to show that a gift was made, provided at least some effort to make a delivery is exercised. The overt act aids a court in its determination as to whether a delivery has been made.

The difference between a gift causa mortis and a testamentary gift made by will is that a will transfer’s ownership subsequent to the death of the donor, but a gift causa mortis takes effect immediately. In most states, the donee becomes legal owner of the gift as soon as it is given, subject only to the condition that the gift must be returned if the donor does not actually die.

The requirements of causa mortis gift are essentially the same as a gift inter vivos. In addition, such a gift must be made with a view toward the donor’s death, the donor must die of the aliment, and there must be a delivery of the gift.

Gifts causa mortis are usually made in a very informal manner and are frequently made because dying people want to be certain that their dearest possessions go to someone they choose.

A donor who is approaching death might make a gift by putting his or her intention in writing. This procedure is likely to be followed, when, for example, the donee is in another state, and personal delivery is thereby impractical. The courts only permit the donee to keep the gift if the donor clearly intended the gift to take effect at the time it was made. If the gift is made in writing in a will and is intended to become effective only after the donor dies, the gift is a testamentary one. The law in each jurisdiction is very strict about the features that make a will valid. One requirement, for example, is that witnesses must sign the will. If the donor writes down that he or she is making a gift, but the writing is neither an immediate gift nor a witnessed will, the donee cannot keep the gift.

The delivery requirement is frequently relaxed when a causa mortis gift is involved, since a doctor is less likely to be able to make an actual delivery as his or her death approaches. A symbolic delivery is frequently sufficient to show that a gift was made, provided at least some effort to make a delivery is exercised. The overt act aids a court in its determination as to whether a delivery has been made.

A gift causa mortis is only effective if the donor actually dies. It is not necessary that the donor die immediately, but the person must die of a condition or danger that existed when the gift was made and without an intervening recovery. The donee becomes legal owner of the property in most states from the time the gift is made. The person must, however later return the gift if the donor does not actually die. If the donor changes his or her mind and revokes the gift, or recovers from the particular illness or physical injury, the gift is invalid. A donor also has the right to require that debts or funeral expenses be paid out of the value of the gift.

ESSENTIALS OF GIFT

The essentials of gift are given below:

There must be transfer of ownership

The property must be existing property

Transfer is without consideration

The transfer is made voluntarily, i.e., free consent

Gift must be accepted by transferee

GIFT DEED

This document allows you to gift your assets or transfer ownership without any exchange of money. To gift immovable property, you just have to draft the document on a stamp paper, have it attested by two witnesses and register it. Registering a gift deed with the sub register of assurances is mandatory as per section 17 of the registration act, 1908, falling which the transfer will be invalid. Besides, such a transfer is irrevocable. Once property is gifted it belongs to the beneficiary and you cannot reverse the transfer or even ask for monetary compensation.

However, if you want to gift movable property like jewellery, registration is not compulsory. At the same time, a mere entry in an account book is not sufficient to

establish a transfer. Apart from physically handling over the property, you need to back it with a gift deed. The process is slightly different if you are gifting company shares. You will have to fill out the share transfer form and submit it to the company or registrar, and the transfer agent of the firm. Once again, get a gift deed drawn and executed to complete the transfer, but the document need not be registered.

TRANSFER OF GIFT DEPENDING UPON THE NATURE OF PROPERTY:

Section 123 of the transfer of property act, 1882 deals with transfer how effected. For the purpose of making a gift of immovable property, the transfer must be affected by a registered instrument signed by or on behalf of the donor and attested by at least two witnesses. For the purpose of making a gift movable property the transfer may be affected either by a registered instrument signed as aforesaid or by delivery. Such delivery may be made in the same way as goods sold may be delivered.

This section deals with formalities necessary for completion of a gift. Unless these formalities are completed, the legal title does not pass on to the donee and the gift is not enforceable at law. Section 123 of the transfer of property act, 1882 lays down two modes for effecting a gift depending on the nature of property. Registration is necessary for the gift of immovable properties. Where the property is movable, it may be effected by delivery of possession.

IMMOVABLE PROPERTIES:

A gift of immovable property must be made only through a registered document. Irrespective of valuation of property, registration is necessary for the gift of an immovable property. Gift of a piece of land valuing less than a rupees must also be registered. Registration of a document including a gift deed, implies that the transaction is in writing , signed by the executant (donor), attested by two competent persons and duly stamped before the registration formalities are officially completed. In Gomtibai vs muttulal 2 , the supreme court held that in the absence of the written instrument executed by donor, attestation by two witnesses, registration of this

2 AIR 1997 SC 127

instrument, and acceptance thereof by the donee, the gift of the immovable property is not complete.

Without due completion compliance of these formalities, the gifted property cannot be said to have been transferred to the done. The doctrine of part performance is not applicable to gifts. Therefore, the done that takes possession of a land under unregistered gift deed cannot defend his possession on being evicted. However following two points are important with regard to the requirement of registration:

Although registration of gift of immovable property is must but the gift is not

suspended till the registration. A gift may be registered and , made enforceable at law even after the death of the donor provided the essential conditions are fulfilled. Where the essential conditions for a valid gift are not fulfilled, registration shall not validate the gift.

The registration cannot validate a gift in the absence of any of the essential elements. On the other hand, without registration title cannot pass even if the essential ingredients are present. Accordingly, although a gift of immovable property may be made by registered deed, yet if it is not accepted by done the gift is inoperative 3 .

The case was under the government grants act, 1985(section 2). The ruler permitted the plaintiff to occupy and reside on a portion of the land after the closure of the orphanage. It was mentioned in that deed that the plaintiff and his heirs and successors would enjoy that land and might get their names recorded in the settlement records. The court said that it was in the nature of the grant rather than a gift. This was particularly so because there no indication in the document that the ruler as donor gifted the land, and the plaintiff as a done accepted the same. No witness signed or attested the document as is required in a gift transaction under section 123 of the Transfer of Property Act 4 .

MOVABLE PROPERTIES

3 Radhika Devi Vs Rajesh Kumar Niranjan, AIR 2009 Part 109

4 Sher khan vs state of Orissa, AIR 2008 ORI 1994

Gift of movable properties may be completed by delivery of possession, registration is optional it is not compulsory, accordingly gift of a movable property effected by delivery of possession is valid irrespective of the valuation the property. The mode of delivering the property to done depends upon the nature of the property 5 . All that is necessary is that done gets title as well as possession of the gifted property. Delivery of goods movables may be made by doing anything which the parties agree shall be treated as delivery or which has the effect of putting the property in possession of the transferee (donee).

5 Section 33 of the sales of goods act, 1930

TRANSFER PROCESS OF GIFT

Gift how to be made: section 122 defines gift to mean the transfer of certain moveable or immoveable property made voluntarily and without consideration by one person to another and accepted by or on behalf of the latter. But how the gift becomes effective is given under section 123. It is seen that the gift of the immovable property should be only to transferring the right, title and interest by the donor to the donee by a registered instrument signed by or on behalf of the donor and must be attested by at least two witnesses. In the absence of any registered instrument signed on gift and acceptance thereof by the donee, the said property could not be said to have been legally transferred. Therefore gift is not completed in eyes of law.

GIFT TAX OFFICER VS DR V SRINIVASAN, 29 JANUARY 2002 6 :

In this case the high court held that section 123 of the transfer of property act provides that for the purpose of making a gift of immovable property, the transfer must be effected by a registered instrument signed by or on behalf the donor, not attested by at least two witnesses. The act does not any exception to the general law as found in section 123 of the transfer of property act. Therefore, in order to effectuate a valid gift, the requirements of section 123 of the transfer of property act require a registered instrument. There was no registered instrument in May, 1956 and mere delivery of possession would not satisfy the requirements of section 123 of TP Act, it would therefore follow that there was no gift in the year 1956.

Therefore in this case, it was held by the hon’ble madras high court that mere delivery would not satisfy the requirements. In the case of the assesse also mere agreement to sell the property on 13 th april 1981, and mere delivery of property at that time did not constitute any gift 7

Immovable properties:

6 gift tax officer vs dr v srinivasan, 29 january 2002:

7 1980 124 ITR 233 (mad)

Where immovable property is gifted, the transfer must be effected by a registration instrument signed by or on behalf of the donor, and attested by at least two witnesses. A gift of immovable property is invalid without registration even if intended donee is put in possession. An oral gift is void in law unless there is a specific statutory provision dispensing with formalities for gifts as laid in act.

REGISTERED GIFT DEED

Registered gift deed- denial of execution of, by person by whom it purports to have been executed is on the party relying upon deed and burden has to be discharged by calling atleast one of attesting witnesses to prove execution- where burden has not been discharged, deed cannot be used as evidence of gift. Section 123 of TP Act requires specific mode in the matter of execution of gift of immoveable property. The gift of the immoveable property can be made only by the execution of the registered deed attested by two witnesses. The law prescribes the specific mode that it must be effected by a registered instrument or deed signed by or on behalf of the donor and attested by at least two witnesses. Section 68 of the indian evidence act requires the production of at least one of the attesting witnesses to prove its execution. Compliance with section 68 and 69 of the indian evidence act is necessary to make gift deed admissible in evidence. None of the attesting witnesses of the deed has been examined in this case to prove the execution thereof. The deed dated 29-11-1960 could not be used as evidence and its execution cannot be said to have been proved 8 .

MODE OF TRANSFER OF GIFT:

Transfer of property under mode of transfer gift deed may provide for transfer of existing property to donee at future date and or on happening of certain events intention of the donor to be gathered by reading deed as a whole- no word thereof to be ignored meaningless- effect to be given to every part of the deed – where deed in favour of two minors donees jointly concludes with words “you shall enjoy property and live as you wish after you have attained majority and got married”, the words to be interpreted that gift would take effect only when donees as marriage between them

8 Flora magaret vs A .lawrence, 2000(6)kar.LJ 27B.

didn’t take place held: a reading of the section 123 along 122 and 5 of the act, it appears to be me that in the matter of gift also, transfer or conveyance of the property may be provided to take place in present or future. The gift deed may also provide that the transfer may be effective on the happening of certain conditions in future. In other words, person making the gift may provide that the interest in gifted property will stand conveyed or transferred as per deed either in present or in future. In the deed, it has to be looked into to ascertain the intention of the parties, whether the transfer has been effected in present or in future, expression lastly used in the document, “you shall enjoy the above mentioned property and live, as you wish after you attained majority and got married”. These expressions have to be taken as controlled by the expression used earlier that the intention of the author is that the right and title as an absolute owner of the property should pass on to the donees on the fulfilment of those conditions. That as the document appears to have fulfilled been executed with object of the marriage and the effect of it is that donees could get absolute ownership under the deed of the fulfilment, both of these conditions, namely, attaining the age of majority by both of them and they getting married and until and unless this had so happened, the property had to remain in possession of the husband of the donor. This action shows that till the happening till the happening of the condition ,namely the attaining age of majority by the two donees and they are getting married, the property had remain in possession of the husband of the donor, so, the property had not been transferred to the donees, the transfer could take effect only on the donees attaining majority and getting married. That as the marriage did not take place in the present case and the plaintiff did not marry the defendant’s daughter, deed did not become effective to transfer the title of the property to the plaintiff and defendant and the title of the property re-examined with donor. Mere execution of the deed of cancelation at the subsequent stage will not lead to the conclusion that the gift deed had been acted upon. This deed cancelling the gift deed might have been executed as a matter of mere precaution and for safety protection 9 Hutchgowda vs smt. Jayyama and another, 1996(2) kar, LJ 751

ATTESTATION OF GIFT DEED:

9 Hutchgowda vs smt. Jayyama and another, 1996(2) kar, LJ 751

In the present case, the gift deed in question has been registered and the sub register makes the necessary endorsements. P.W. 2 has sworn that he had attested the deed. But he has no where stated in his evidence that the executrix namely, gangavva affixed her signature or mark to the gift deed in his presence or acknowledged to him, that she had affixed her signature or mark to the gift deed. Therefore, his evidence does not satisfy the ingredients of definition attested. Hence it would have to be held that attestation by P.W 2 and another person required by law, has not been proved. Therefore though gangavva appears to have admitted execution of the giftdeed as is seen from the endorsement of the sub registrar, it will have to be held that the gift deed though registered does not satisfy the requirements of section 123 of the transfer of property Act. When that is so, no title in law can be said have passed from gangavva to plaintiffs, even assuming that did not have such title to transfer-

Anant somappa pattar vs kalappa devendrappa yarakad, 10 1987(2) kar LJ sh.N.177:

ILR 1985 Kar.1432

Gift- proof of attestation. Where the attestor called as witness says he does not know who else attested and there is no other evidence, held, the gift deed was not proved as required by law-

Kempamma vs honnammma 11 , 1979(1) kar.LJ.sh. N.85

GIFT WHEN TAKES EFFECT :

a gift takes effect from the date of the execution of the deed of gift and not from date of its registration. A gift takes effect as soon as the instrument of gift, is duly executed and attested is handed over to the donee and the gift has been accepted by the donee. A gift of movable or immovable property by registered instrument is complete as soon as the donee accepts the same. Delivery of possession is not necessary unless it is case of oral gift under any custom

  • 10 1987(2) kar LJ sh.N.177: ILR 1985 Kar.1432

  • 11 1979(1) kar.LJ.sh. N.85

IRREVOCABLE GIFTS:

The literal meaning of revocation is suspension so the meaning of irrevocable gifts is the gifts that cannot be suspended. The gifts which cannot be suspended as such are called as irrevocable gifts

In the transfer of property act there was no specific provision for the irrevocable gifts but it is implied that the gifts which cannot be revoked are obviously irrevocable in nature in order to understand this ground first we have to know the gifts which can be revoked and the remaining other would be irrevocable. Section 126 of the transfer of property act deals with the gifts that can be revoked and the process of revocation of such type of revocable gifts

WHEN A GIFT MAY BE SUSPENDED OR REVOKED:

The donor and donee may agree that on happening of any specified event which does not depend upon the will of the donor a gift shall be suspended or revoked, but a gift which the parties shall be revocable wholly or in a part, at the mere will of the donor, is void wholly or in part as the case may be

A gift may be also revoked in any of the case ( save want or failure of consideration ) in which, if it were a contract, it might be rescinded. Save as aforesaid, a gift cannot be revoked. Nothing contained in this section shall be deemed to affect the rights of the transferees for consideration without notice.

TOKHA VS BIRU

In this case the donor made gift or immovable property in favour of donee in lieu of services to be provided to her by the donee and subsequently after 3 months another agreement was executed that in case the donee failed to maintain the donor the gift would be revoked

It was held that the deed of gift and agreement would not form part of the same transaction and could not be read together and given effect to

THAKUR RAGHUNATH JI MAHARAJ VS RAMESH CHANDRA

The property was gifted for a specific charitable purpose. The condition attached was that if the college building was not constructed within six months. The donor would be entitled to the property. The condition was held to be permissible.

The donee remained as a trustee under fiduciary relationship with the donor. The donor was allowed to claim back the property on breach of the condition mentioned in the agreement executed along with the gift deed.

The donors suit for the land was maintainable

SYNOPSIS

Revocation by mutual consent

Revocation by rescission as contracts

No revocation under any other grounds

Subsequent conduct of the donee after acceptance- irrelevant

Bona fide purchaser

REVOCATION BY MUTUAL CONSENT:

Donor and donee may agree that the gift shall be revoked upon the happening of an event not dependent on the will of the donor. The condition revoking the gift must be express, it should not be merely in the form of a wish or desire. In other words, the condition on the non-fulfilment of which the donor may the gift must be expressly laid down in the deed. A gift of certain properties was executed in lieu of the past and future services rendered by donee to donor. But failure of donee to render services to donor or to maintain donor in future, was not a specified to be condition for the revocation of the gift. The himachal Pradesh court 12 held that since the condition of revocation of gift upon donees failure to render services to donor was not laid down in the deed, it was unconditional gift, and therefore it cannot be revoked by the donor.

12 (1973) KER. 64

Where a condition has not been expressly laid down in the gift deed, it might be treated simply as the wish or desire of the donor and is not a condition upon the breach of which gift could be made revocable by donor

However, even though a condition is not laid down in the gift deed itself, and has been provided under a mutual agreement separately but forms part of the transaction of gift, the condition would be valid and enforceable. In Thakur raghunathe jee maharaj vs Ramesh Chandra case: 13

The property was gifted for a specific charitable purpose. The condition attached was that if the college building was not constructed within six months. The donor would be entitled to the property. The condition was held to be permissible. The donee remained as a trustee under fiduciary relationship with the donor. The donor was allowed to claim back the property on breach of the condition mentioned in the agreement executed along with the gift deed. The donor’s suit for the land was maintainable.

The condition for revocation of gift is a condition subsequent. It must be valid under the provisions of law for conditional transfers. The condition totally prohibiting the alienation of property is void under section 10 of this act, therefore, if the gift made revocable with such condition, the condition itself being void, the gift is not revoked- judgment of jagdeo singh vs nandan mahto 14

REVOCATION BY RESCISSION AS CONTRACTS:

Gift is gratuitous transfer of ownership made voluntarily. If it could be proved that the gift was not made voluntarily, i.e the consent of the donor was not free the gift must be revoked. Gift is always preceded by an express or implied contract, offer by donor and acceptance by donee. If the preceding contract itself is rescinded or revoked there is no question of taking place of transfer made under it

Accordingly, under section 126 a gift is revoked also on any grounds on which it might be rescinded in contracts

  • 13 AIR 2001 SC 2340

  • 14 AIR 1982 Patna 32

According to indian contracts act the contract can be rescinded if the consent to an agreement is made by

Coercion

Undue influence

Fraud

Misrepresentation 15

The period of limitation for the revocation of gifts on the grounds of fraud, coercion, misrepresentation or undue influence is three years from the date on which such facts are known such facts are known to the plaintiff ( donor) 16

NO REVOCATION UNDER ANY OTHER GROUND:

Except on the ground of the above mentioned conditions gift cannot be revoked under any other conditions

A gift

is

deed was validly executed in favour of the donee. It was held that a

simultaneous claim by the donor that the gift deed was revoked unilaterally by him and lodged registration was not valid as there was no participation by the donee- judgment in the case sheel arora vs madam mohan bajaj

SUBSEQUENT

CONDUCT OF DONEE AFTER ACCEPTANCE-

IRRELEVANT

BONA FIDE PURCHASER:

The last paragraph of this section protects the interest of a bona-fide transferee for value without notice of donor’s right of revocation for example: a makes a gift of his house to b with a condition that he shall revoke the gift if b son does not take up studies of law after graduation. B sells his house to c. c has no notice of any such condition. After graduation b son does not join law course. A cannot revoke the gift

  • 15 Consent to agreement under ICA 1872

  • 16 1937 A.C. 226

because c interest shall be effected. If c has notice of such condition or that c was a gratuitous transferee, A could have revoked the gift.

Conclusion
Conclusion
Bibliography
Bibliography