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Acceptance of Gift can be inferred by Implied Conduct of Donee: Supreme Court

Team SoOLEGAL 11 Dec 2020 3:19pm

Acceptance of Gift can be inferred by Implied Conduct of Donee: Supreme Court

On Tuesday, 8th December, 2020, Supreme Court was hearing a petition which was filed by the appellant challenging the proceedings which was initiated under Rajasthan Imposition of Ceiling on Agricultural Holdings Act, 1973. The Court was of the view that, the approval of a gift can be derived from the implied conduct of the donee.

The single bench concluded that the particular case was beyond the control of Section 6 of Rajasthan Imposition of Ceiling on Agricultural Holdings Act, 1973 because the particular land was transferred as a way of gift in the year 1970. The Court also held that, transfer of land as a way of registered gift deed by the appellant in favour of his son was valid in the eyes of law. Putting aside the decision, Division Bench noted that the receipt of the gift does not indicate approval of the gift by the donee, rather it seems that the donee was not even aware of the gift.

Justice NV Ramana, Justice S. Abdul Nazeer and Justice Surya Kant were hearing the plea and the main issue before the Supreme Court was that whether a registered gift deed is valid in the eyes of law. The Court by referring Section 122 of Transfer of Property Act, 1882 held that, the particular section states that a gift must be made voluntarily for making it as a valid gift. Giving a gift to the donee it means a complete dispossession of the property by the donor.  The gift must be accepted by the donee at any time within the lifetime of the donor.

By referring a case, Asokan Vs. Lakshmykutty[1], the Court has held that, the word acceptance generally mean that receiving a thing given by another person who is the donor and also retaining it. The above fact may be determined by the circumstances surrounding it such as accepting the possession of the property by the donee or by being in possession of the gift certificate itself. The acceptance of gift must be executed by the donee within the lifetime of the donor. Thus, being an act of voluntarily obtaining, acceptance can be inferred by the tacit actions of the donee.



Tagged: Supreme Court   Agricultural Holdings Act   Justice NV Ramana   Justice S. Abdul Nazeer   Justice Surya Kant   Transfer of Property Act  
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