Sachin made an unconditional gift of property to Amit but continued in possession of gifted property. Sachin revoked the gift deed transferred it to Naresh. Amit wants to recover possession from Naresh. Discuss it in the

CS Executive · Economic, Business and Commercial Laws · PYQS · June 2019
Sachin made an unconditional gift of property to Amit but continued in possession of gifted property. Sachin revoked the gift deed transferred it to Naresh. Amit wants to recover possession from Naresh. Discuss it in the light of provisions of Transfer of Property Act, 1882 whether Naresh can withhold the gifted property?

Answer & Explanation:

According to Section 122 of the Transfer of Property Act, once a gift is accepted by the donee/his legal representatives during life time of donor, the donor cannot revoke it. One of the essential feature of gift is that it cannot be revoked at the will and pleasure of the grantor. A gift which comes into existence on the fulfilment of a condition, that is to say, a gift which is subject to a condition precedent is also valid. But in this case, as gift is unconditional, therefore, after its acceptance, Sachin cannot revoke gift deed. Applying section 41 of the Transfer of Property Act dealing with transfer by ostensible owner, in present case, Sachin (donor) is not ostensible owner as he is not holding the property with the consent of Amit (real owner). Therefore, Naresh (transferee), cannot, invoke the protection of Section 41. Amit would succeed in the case and Naresh cannot withhold the gifted property.

Topics: Transfer of Property Act, 1882

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