Lecture-

8
Transfer of Property
(Property)

Persons Competent to Transfer (S. 7)

• Every person competent to contract, and
• Entitled to transferable property, or authorised to
dispose of transferable property not his own,
is competent to transfer such property either wholly
or in part, and either absolutely or conditionally, in
the circumstances, to the extent and in the manner,
allowed and prescribed by any law for the time
being in force.

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8
Transfer of Property
(Property)
Essentials of a Valid Transfer
• The property must be transferable.
• Transferor must be competent.
• Transferor must also have the right to transfer.
• Transferee must also be competent as required by
the TPA.
• Necessary formalities prescribed by law for the
transfer must also be completed.
• A transfer of property may be made without writing
in every case in which a writing is not expressly
required by law (S. 9).
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Transfer of Property
• Operation of transfer (S 8) (Property)
• Unless a different intention is expressed or necessarily implied, a transfer of
property
• passes forthwith to the transferee all the interest which the transferor is then
capable of passing in the property, and in the legal incidents thereof.
– Such incidents include, where the property is land, the easements annexed
thereto, the rents and profits thereof accruing after the transfer, and all things
attached to the earth;
– and, where the property is machinery attached to the earth, the moveable
parts thereof;
– and, where the property is a house, the easements annexed thereto, the rent
thereof accruing after the transfer, and the locks, keys, bars, doors, windows,
and all other things provided for permanent use therewith;
– and, where the property is a debt or other actionable claim, the securities
therefor (except where they are also for other debts or claims not transferred
to the transferee), but not arrears of interest accrued before the transfer;
– and, where the property is money or other property yielding income, the
interest or income thereof accruing after the transfer takes effect.
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Transfer of Property
Modes(Property)
of Transfer
• Delivery of Possession: Where writing is not necessary under the TPA,
the property may be transferred orally, i.e. only by delivery of possession.
• Registration: Where registration is necessary, the transfer must be in
writing. The TPA provides that the following transfers must be made only
through a written deed duly registered:
o Sale of immovable property exceeding Rs. 100 (S. 54)
o Sale of reversion or other intangible property irrespective of its value (S. 54)
o Simple mortgage irrespective of the amount secured (S. 59)
o Other kinds of mortgage (except mortgage by deposit of title deeds) where the
sum secured exceeds Rs 100 (S. 59)
o Gift of an immovable property (S. 123)
o Leases from year to year or for a term exceeding one year or reserving a yearly
rent (S. 107)
o Exchange of immovable property exceeding Rs 100 (S. 118)
o Transfer of actionable claims (registration is not necessary, writing is sufficient)
(S. 130)

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