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Gift: Definition, Essentials, and Irrevocability

1. Definition of Gift

A gift is a voluntary transfer of ownership of property without any consideration. It is a gratuitous transfer made by one person (the donor) to another (the donee).

Legal Definition (Section 122, Transfer of Property Act, 1882)

"A gift is the transfer of certain existing movable or immovable property, made voluntarily and without consideration, by one person (donor) to another (donee) and accepted by or on behalf of the donee."

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2. Essentials of a Valid Gift

For a gift to be legally valid, the following conditions must be fulfilled:

(i) There Must Be a Transfer of Property

• The property must be tangible and existing at the time of transfer.
• Future property cannot be gifted.

(ii) The Transfer Must Be Voluntary

• The donor must act freely and without coercion, fraud, or undue influence.
• Example: A person gifting property under threat is invalid.

(iii) The Gift Must Be Without Consideration

• A gift must be gratuitous (i.e., given without expecting anything in return).
• Even a small amount of consideration can make the transfer a sale instead of a gift.

(iv) There Must Be Acceptance by the Donee

• The donee must accept the gift during the lifetime of the donor.
• If the donee dies before accepting, the gift becomes void.

(v) Registration is Required for Immovable Property (Section 123, TPA)

• A gift of immovable property must be:
  1. Registered under the Registration Act, 1908.
  2. Signed by the donor and attested by at least two witnesses.
• A gift of movable property can be made without registration, but delivery of possession is necessary.

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3. "Ordinarily a Gift is Irrevocable"

A gift is generally irrevocable, meaning once it is given, it cannot be taken back. This principle ensures that gifts are freely and permanently transferred.

Legal Basis of Irrevocability

• Section 126 of TPA states that a gift cannot be revoked unless:
  1. Both donor and donee agree that the gift can be revoked under certain conditions.
  2. The gift falls under grounds that would make a contract voidable (e.g., fraud, coercion, or undue influence).

Exceptions: When Can a Gift Be Revoked?

1. Mutual Agreement – If both the donor and donee agree in advance that the gift can be revoked in certain circumstances.
2. Failure of Condition – If a gift is conditional and the condition is not met.
3. Fraud, Undue Influence, or Coercion – If the donor was tricked or forced into gifting.

Example:

• Irrevocable Gift: A father gifts a house to his son out of love. Once transferred, he cannot revoke it.
• Revocable Gift: A person gifts land on the condition that it will be used for a school, but the donee misuses it. The donor can seek revocation.

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4. Conclusion

A gift is a voluntary and irrevocable transfer of property without consideration. While Section 126, TPA allows revocation under specific circumstances, gifts are ordinarily irrevocable, ensuring certainty and finality in property transfers.