• Gift deed question

In 1977 , Mr.X has given  one acre land as Registered Gift Dead to his Grand Daughter Miss.Z ,mentioning in the registered gift dead Mr.X  would  enjoy the property until he survives and after his death , Miss.Z can enjoy the property but can’t sell it.
All children of Miss.Z  can enjoy the property and sell it . (names are not mentioned since they are not born)


Question :

1)	In today’s world if gift dead is registered the transfer is done ,there is no conditional gift dead . The condition apply only for WILL. Correct me if I am wrong.
So how far is this   gift dead valid.       
2)	If it is valid , to whom the gift transfer is done it is to Miss.Z or children ,who has rights to sell the property? MIss.Z or Miss Z children since Mr.X has passed
3)	What are the possibility of Hindu Succession Act 1956-Section 14 i.e  Absolute right for women here .
4)	Is there any possibility Miss.Z will receive the entire property as Absolute right if the conditional gift dead is not valid ?
Asked 9 months ago in Civil Law from Visakhapatnam, Andhra Pradesh
1. You are wrong. A gift deed can also be conditional. It is open to a donor to impose conditions of his linking while gifting the property.

2. The ultimate beneficiaries of the gift deed are children of Z if there is no fetter on their right to sell the property.

3. Section 14 does not come into play here. 

4. If the gift deed is conditional then absolute ownership does not pass to Miss.Z.
Ashish Davessar
Advocate, Jaipur
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1)	In today’s world if gift dead is registered the transfer is done ,there is no conditional gift dead . The condition apply only for WILL. Correct me if I am wrong.
So how far is this   gift dead valid.    
==Conditions can be imposed in Gift Deed. But the clause is incomplete, as there are no ultimate beneficiary of the property, since there are no body born to Z. Hence, the conditions should be changed so that there should be clarity.    

2)	If it is valid , to whom the gift transfer is done it is to Miss.Z or children ,who has rights to sell the property? MIss.Z or Miss Z children since Mr.X has passed
==Since X has passed away, the title goes to Z, but Z cannot sell the property, she can enjoy the fruits of it.  If by the time of death of Z there are no children to Z, then the property will go to the heirs of X. 

3)	What are the possibility of Hindu Succession Act 1956-Section 14 i.e  Absolute right for women here.
==You have not mentioned whether X is male or female, hence it is difficult to give answer. 

4)	Is there any possibility Miss.Z will receive the entire property as Absolute right if the conditional gift dead is not valid ?
==No, since condition is imposed in the gift, she cannot claim.  

Ravinder Pasula
Advocate, Hyderabad
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Hi, 
The gift executed by Mr.X in favour of Miss.Z will be construed as unconditional gift. Once when Miss.Z gets the property it becomes her absolute property. She can deal with the property any which we she wants. The conditional part of gift deed (life time rights on MissZ,,, title passing to children etc) will be null and void because of the fact that law states that any property obtained in whatsoever manner by a woman ( including gift, life time rights, maintenance, stridhan,will, partition etc) will become her absolute property.  
So, you can be rest assured that the life time rights awarded byMr.X in favour of MissZ through gift deed will transform in to absolute right by operation of law. Hope this helps.
Rajgopalan Sripathi
Advocate, Hyderabad
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Yes.

 in your case sec 14(1) will not apply as the gift deed ( it is gift deed and the children were not born to donee at all at the time of gift. the chances of she begetting a child were not known to her or her grand father at all).

It is important to note that in order to determine the absolute ownership of a woman it is not necessary to take cognizance only of the terms of instrument or the decree of the Court but also the attendant circumstances under which the instrument was executed or the decree was passed.

Case reference : In Brahmavart Sanatan Dharm Maha Mandal v. Kanhayalal Bagla and others, the Apex Court observed that the deceased created a will in clear cut terms that the property owned by him is being bequeathed to his wife with the right to deal with the property in whatsoever a manner she wishes and she was also allowed to take adoption of a son.

Along with this it was stated that the adopted son will only acquire rights in the property given to the wife after her death. The property thus left with her and she being the soul owner had unlimited right in the property. She was at liberty to dispose of that property and adopted son cannot make any claim and restrict her mother with the help of provision under Section 14(1) & (2) of the Hindu Succession Act.
Rajgopalan Sripathi
Advocate, Hyderabad
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1) gift deed is valid. as per the gift deed Z would only have life interest in property but no powers to sell the same . only the unborn children can sell the property 

2) only children of Z can sell the property 

3) section 14(2) specifically provides that it shall not apply to any property acquired by gift deed which prescribe restricted estate in such property 

4) Z would not be absolute owner of property . 

5) Section 13 of Transfer of property act provides that the property cannot transfer directly to an unborn person but it can be transferred for the benefit of an unborn person. For transfer of property for the benefit of unborn person two conditions are required to be fulfilled:

a)      Prior life interest must be created in favor of a person in existence at the date of transfer, and

b)      Absolute interest must be transferred in favor of unborn person.

6) in your case life interest is created in favour of Z and absolute interest in favour of unborn children of Z 
Ajay Sethi
Advocate, Mumbai
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1) Miss Z had no powers to sell the property as she had only life interest in the property . 

2) the children on Z should within period of 3 years of attaining majority challenged sale of property by Z 

3) the provisions of section 14 of Hindu succession act would not be applicable to facts of present case 
Ajay Sethi
Advocate, Mumbai
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I know what s.14 says, it is not applicable.
Ashish Davessar
Advocate, Jaipur
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445 Consultations
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1)	In today’s world if gift dead is registered the transfer is done ,there is no conditional gift dead . The condition apply only for WILL. Correct me if I am wrong.
Your question has been properly addressed in the settled case by Supreme court in the fllowing case whose gist is give below the title:

Supreme Court of India
Renikuntla Rajamma (D) By Lr vs K.Sarwanamma on 17 July, 2014

f the gift was conditional and there was no acceptance of the donee it could not operate as a gift. Absolute transfer of ownership in the gifted property in favour of the donee was absent in that case which led this Court to hold that the gift was conditional and had to become operative only after the death of the donee. The judgment is in that view clearly distinguishable and cannot be read to be an authority for the proposition that delivery of possession is an essential requirement for making a valid gift.

19. In the case at hand as already noticed by us, the execution of registered gift deed and its attestation by two witnesses is not in dispute. It has also been concurrently held by all the three courts below that the donee had accepted the gift. The recitals in the gift deed also prove transfer of absolute title in the gifted property from the donor to the donee. What is retained is only the right to use the property during the lifetime of the donor which does not in any way affect the transfer of ownership in favour of the donee by the donor.
Hope the above clears your doubt.




2)	If it is valid , to whom the gift transfer is done it is to Miss.Z or children ,who has rights to sell the property? MIss.Z or Miss Z children since Mr.X has passed

As far as Mr X is concerned, he has divested the property to Z with mere lifetime interest in it and it cannot be said to vest on the people who do not exist, therefore the donee, i.e., Z becomes the absolute owner having marketable title without any condition forbidding her from alienating the property, you may refer to the provisions of section 123 of TP act for further clarifications.





3)	What are the possibility of Hindu Succession Act 1956-Section 14 i.e  Absolute right for women here .

This becomes the absolute property of Z hence a gift as per the married women property act shall become her absolute property.


4)	Is there any possibility Miss.Z will receive the entire property as Absolute right if the conditional gift dead is not valid ?
The conditions further shall not be held as valid, she becomes the absolute owner by the virtue of the registered gift deed in her favor.
T Kalaiselvan
Advocate, Vellore
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he Below is the section14 I recite , you mean to say the sub section (2) in  Section 14 mentioned  below will not be applicable for this registered gift dead ?
Miss.Z has sold the property when her children  are minors without any permission .The children of Miss.Z can’t claim the property now since they become majors just an year back?

The provisions of law mentioned by you are applicable to this instant case.  She becomes the absolute owner of the property and she has full rights to sell or transact with the property in any manner.  There is no minor children interest involved in it. 
T Kalaiselvan
Advocate, Vellore
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127 Consultations
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