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2018 (12) TMI 349 - SC - Indian LawsGift Deed executed for consideration - Conditional gift - Whether a document styled as gift deed but admittedly executed for consideration, part of which has been paid and the balance promised to be paid, can be treated as formal document or instrument of gift? Held that:- Gift means to transfer certain existing moveable or immoveable property voluntarily and without consideration by one person called the donor to another called the donee and accepted by or on behalf of the donee as held by the Supreme Court in Naramadaben Maganlal Thakker Vs. Pranivandas Maganlal Thakker and Others [1996 (9) TMI 618 - SUPREME COURT] - A conditional gift with no recital of acceptance and no evidence in proof of acceptance, where possession remains with the donor as long as he is alive, does not become complete during lifetime of the donor. When a gift is incomplete and title remains with the donor the deed of gift might be cancelled. It was held in the case of RENIKUNTLA RAJAMMA (D) BY LRS. VERSUS K. SARWANAMMA [2014 (7) TMI 1284 - SUPREME COURT] that there is no provision in law that ownership in property cannot be gifted without transfer of possession of such property. However, the conditions precedent of a gift as defined in Section 122 of the Transfer of Property Act must be satisfied. A gift is transfer of property without consideration. Moreover, a conditional gift only becomes complete on compliance of the conditions in the deed. In the instant case, admittedly, the deed of transfer was executed for consideration and was in any case conditional subject to the condition that the donee would look after the petitioner and her husband and subject to the condition that the gift would take effect after the death of the donor - thus there was no completed gift of the property in question by the appellant to the respondent and the appellant was within her right in cancelling the deed. Appeal allowed - decided in favor of appellant.
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