Content

Chapter -1
Introduction
Chapter -2
EXCEPTIONS
Chapter -3
UNDERSTANDING THE PRINCIPLE
Chapter -4
OTHER IMPORTANT CONDITIONS
Chapter -5
Modes of Election
Chapter -6
COMPENSATION
Chapter -7
Conclusions

Chapter -8
Bibliography
 Chapter -1
Introduction
The doctrine of election is stated in Sec. 35 of the Transfer of Property Act
alongside Section 180 to 190 of the Indian Succession Act.

It states that when a party transfers a property over which he does not hold any
right of transfer and entailed in that transaction is the benefit conferred upon the
original owner of the property, such title-holder must elect his option to either
validate such transfer of property or reject it; upon rejection, the benefit shall be
relinquished back to the transferor subject never the less :

Where the transfer has been through gratuitous means and the transferor
has become incapable of making a new transfer.

In all cases where the transfer is for consideration.

An illustration to further explain :

A owns a property that is worth Rs 800. B professes to transfer the same to C

through the Rs1000 instrument to A. But the A, the owner opts/elects to retain his
property and thus, forfeits the gift of Rs 1000.
 Chapter -2
EXCEPTIONS
When the owner who is considering the election between retaining the property
and accepting a particular benefit, chooses the former, he is not bound to relinquish
any extraneous benefit that he gains through the transaction.

The acceptance of the benefit by the original owner shall be deemed to be as

election by him to validate the transfer, if he is aware of his responsibilities and the
circumstances that might influence a prudent man into making an election.

This knowledge of the circumstances can be assumed if the person who gains the
benefit enjoys it for a period of more than two years. Further discussion over this
has been made under the heading of Modes of Election.

If the original owner does not elect his option within a year of the transfer of
property, the transferor would require him to elect his choice. Even after the
reasonable time, if he still does not also still elect, the original owner shall be
assumed to have elected the validation of the property transfer as his choice.

In context of a minor, the period of election shall be stalled till the individual
attains majority unless he is represented by a guardian.
 Chapter -3
UNDERSTANDING THE PRINCIPLE
In simple words, a person utilizing the benefits of an instrument also has to carry
the burden attached. This doctrine is founded upon a model wherein a person
persuades another to act in a manner to his prejudice and derives any advantage
from that, then he cannot turn around and claim that he was not liable to perform
his part as it was void. This doctrine is universal and is applicable to Hindus,
Muslims as well as Christians.

So, this doctrine contains the principle that the exercise of a choice by a person left
to himself of his own free will to do one thing or another binds him to the choice
which he has voluntarily made, and is founded on the equitable doctrine that he
who accepts benefit under an instrument or transaction of his choice must adopt the
whole of it or renounce everything inconsistent with it. Thus, it is a general rule
that a person cannot approbate and reprobate. Also, the election is confined to the
case of a gift or Will and does not apply in case of a legal remedy.

Conditions precedent for equity of election:

A transfer of property by a person who has no right to transfer;

As a part of the same transaction, he must confer some benefit on the owner
of the property and

Such owner must elect either to confirm such transfer or to dissent from it.
 Chapter -4

OTHER IMPORTANT CONDITIONS

Proprietary Interest

Election over a property is not asked to made by a person unless he holds a

proprietary interest which are disposed off in derogation of the persons rights.

So, election cannot take place if the property that is decided by the transferor to be
disposed does not happen to be owned by any individual to whom an interest is
being provided through the transfer. Also, it cannot take place if the transferor does
not provide any benefit on the individual who is the original owner of the
property.

As part of the same transaction

One cardinal condition for the doctrine of election to be executed is that the benefit
conferred upon the original owner should be as part of the same contract by which
he transfers the property over which he holds no right to transfer.

In the landmark case of Ramayyar v. Mahalaxmi, a widow had given a gift in

excess of her powers and had then provided a will which stated that excluding the
properties which I have already given away, I will make the following
dispositions. The Court ordered that the plaintiff under the will was not excluded
from the election doctrine from contesting the previous gift which wasnt the issue
of the will at all.

It is to be noted that different nature of two properties is not a bar to election by the
owner like in the case of Ammalu v. Ponnammal where a person who was
managing the properties of the daughter of his deceased brother, died leaving a will
bequeathing a portion of it to B. It was held that the doctrine of election did apply
for the niece.

Donors Intention

In order to create a situation of election, it is important that the intention of the

testator should be clear with regard to disposing of the property which he does not
own. Parol evidence is not acceptable and thus the intention must be prima facie
clear.

Indirect Benefit

The benefit that the original owner is conferred with has to be direct in nature and
if indirect, he does not need to elect. This principle is explained in Section 184 of
Indian Succession Act, 1925 and states that when the devisee who claims
derivatively through another does not take under the deed, and is not bound by the
equity attaching thereto.

Difference in Capacity

An individual can in one capacity utilize a benefit while can dissent or reject that
benefit in another capacity. It means to explain that it is possible to facilitate two
roles of an individual wherein he can for example, accept legacy for an estate while
in his personal competence, he could retain the property.
 Chapter -5
Modes of Election

The election by the owner can either be direct or indirect. In direct election, it is
simply through communication about the elected choice or option. Though, in case
of an indirect election, the acceptance of the benefit by the original owner is
subject to two conditions:

1. He has to be aware of his duty to elect, and

2. There must be proof of knowledge of circumstances which would influence

the judgment of a reasonable man in making an election :

Enjoyment for two years of the benefit by the person on whom it is conferred with
any dissent.

The election shall be presumed when the donee acts in such a manner with the
property gifted to him that it becomes impossible to return it to the original owner
in its original state.

Difference between English Law and the Indian Law Perspective

The English law depends upon the principle of compensation which means that if
the original owner does not choose to validate the transfer, he can keep the
property and also the benefit accrued, subject to compensation provided to the
donee, to the extent of the property he had suffered a loss for.

But in the Indian law context, this doctrine is influenced by the principle of
forfeiture which states that if the original owner does not choose to validate the
transfer, the donee incurs a forfeiture of the conferred benefit which goes back to
the transferor.
 Chapter -6
COMPENSATION

Estimated cost of the property which is attempted to be transferred towards the

transferee is the approximation of the compensation that he shall receive. However,
in context of immovable properties, there arises the issue of changing value of the
property according to the lapse of time. Thus, this valuation is to take place at the
date of the instrument becoming operational rather than at the time of election.
 Chapter -7

Conclusions
Section 35 of the Transfer of Property Ac, 1882 explains the concept of the
Doctrine of Election. This project tries to deal with the various nuances involved in
the doctrine through the usage of various landmark judgments. Herein, special
emphasis has been placed upon providing a clear understanding of the conditions
necessary for the election by the original owner to take place. The differences
between the Indian Law perspective as well as the English Law perspective is
brought out through critical analysis of the provisions i.e. Principle of forfeiture
and Principle of compensation. Various aspects such as Proprietary Interest,
Compensation estimated, indirect benefit, the intention of the donor etc have been
dealt and explained for the enhanced understanding over the model of Doctrine of
Election