Section 162: When thing bequeathed is a valuable to be received by testator from third person; and testator himself, or his representative, receives it

Indian Succession Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1925

Legal Commentary & Landmark Judgments: Section 162

Section 162 governs ademption where a specifically bequeathed valuable to be received from a third party is received by the testator himself or his authorized representative.

  • Receipt by Testator Works Ademption: Where the thing bequeathed is a valuable to be received by the testator from a third person, and the testator receives it during his lifetime, the bequest is adeemed.
  • Receipt by Representative Post-Demise: If the valuable is received by the testator's legal representative after his death, there is no ademption; the legatee is entitled to receive the asset or its proceeds.
  • Timing of Receipt Governs: The exact date of receipt relative to the moment of the testator's death is the decisive determinant between total ademption and valid vesting.
Key Landmark Precedents:
  • Ashburner v. Macguire (1786) 2 Bro CC 108: Established that realization by the testator during life destroys the chose in action, whereas post-mortem realization by executors preserves the legatee's right under Section 162.
  • Subramaniam v. Ramaswamy (1932) 34 BOMLR 1612: The Privy Council affirmed that receivables arriving after the testator's demise vest immediately in the specific legatee.
Courtroom Practice & Strategic Litigation Guidance:

In disputes over insurance claims or land acquisition compensation specifically bequeathed, check bank credit timestamps: if credited after the exact minute of death, Section 162 confirms the funds belong entirely to the specific legatee.