Gift

Hindu law defines Gift as the creation of

another person’s proprietary right after the
extinction of one’s own proprietary right in
the subject matter of the gift.
 Properties that may be gifted
i. A Hindu governed by Mitakshara law may dispose of his separate or self-acquired property
by gift but not his coparcenery property.
ii. A Hindu governed by Dayabhaga law can dispose of his separate as well as coparcenery
interest by gift but that is subject to the claims of maintenance.
iii. A father or Karta of a Mitakshara Joint family may dispose a small portion of joint family
property by gift.
iv. A female may dispose of a small portion of her Stridhana by gift
v. A widow may dispose of a small portion of property inherited by her from her husband by
gift for pious purpose.
vi. Unless prohibited by custom the owner of an impartible estate may dispose of it by gift.
 Formalities of gift
A gift is normally offered to the donee by the donor. After the offer two formalities are
to be fulfilled depending o the nature of gift—
a. Acceptance of Gift
b. Delivery of possession
 a. Acceptance of gift
Regarding the acceptance of gift Dayabhaga and Mitakshara School have
different opinion. According to Mitakshara, a gift is not complete without the
consent of the donee and therefore acceptance is mandatory to make a gift
valid. But under Dayabhaga a gift is complete if the donor gives away the
property.

According to Section 122 of the Transfer of Property Act 1882 which is also
applicable on this matter, ‘Acceptance of gift is essential to complete a gift.”

Gift is not valid if the donee dies before acceptance. An acceptance to the
offer of gift may be express or implied. (Hari Kishan vs. Nageswari - 1956)
 b. Delivery of possession
Under Hindu law, gift need not be in writing and, therefore, delivery of
possession is essential to complete the gift.

According to section 123 of the Transfer of Property Act 1882—

i. 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.
ii. For the purpose of making a gift of movable property the transfer may be
affected by a registered instrument or by delivery without a registered
instrument.
 Revocation of gift
Normally a gift can not be revoked if it is complete. But on following grounds
a gift may be revoked or cancelled—

1. If it is obtained by fraud or mistake

2. A gift may be revoked for reasons for which a contract may be rescinded
(except without consideration) under section 126 of the Transfer of Property
Act 1882.
 Death-bed gift
Death bed gifts are those which are made in contemplation of death. Hindu
law makes no difference between death-bed gifts and ordinary gifts.
 Questions
1. What is gift?
2. What properties may be gifted?
3. What are the formalities need to be fulfilled
to make a valid gift?
4. When a gift can be revoked?