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Section 166: Stock specifically bequeathed sold but replaced, and belonging to testator at his death

Indian Succession Act • Official Statutory Text & Practice Guide

Statutory Regulation
Legal Standard
Competent Court / Tribunal
Act 1925
Section 165 All 391 Sections of Indian Succession Act Section 167

Legal Commentary & Landmark Judgments: Section 166

Section 166 provides that where stock specifically bequeathed is sold by the testator and an equal quantity of the same stock is bought by him, the legacy is nevertheless adeemed.

  • Severance by Intervening Sale: Where the testator sells specifically bequeathed stock and afterwards buys an equal quantity of the same stock, the legacy is adeemed by the sale.
  • Repurchase Does Not Revive Legacy: The subsequent repurchase of identical stock does not revive the extinguished specific legacy; the newly purchased stock forms part of the general estate.
  • Strict Ademption Standard: Reflects the strict common-law rule that once a specific asset is parted with, a new acquisition of similar property does not restore the specific gift without a new will or codicil.
Key Landmark Precedents:
  • In re Slater (1907) 1 Ch 665: The Court of Appeal established the principle codified in Section 166: specific bequests attach to the exact chattel or holding in existence at the date of the will; once sold, repurchase does not revive the gift.
  • Subramaniam v. Ramaswamy (1932) 34 BOMLR 1612: The Privy Council affirmed that under Section 166, the sale of specific stock works an irreversible ademption despite subsequent repurchase.
Courtroom Practice & Strategic Litigation Guidance:

Advise testators who actively trade in securities that if they sell specifically bequeathed shares and buy them back later, Section 166 adeems the bequest; they must execute a short codicil confirming the bequest of the repurchased shares.

Section 165 All 391 Sections of Indian Succession Act Section 167