Section 122 TPA: 'Gift' defined, Acceptance when to be made

Section 122 of Transfer of Property Act: 'Gift' defined, Acceptance when to be made

Official Bare Act Text

Override / Mandate Mens Rea (Intent) Actus Reus (Conduct) Punishment Limitation Monetary

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

Acceptance when to be made.—Such acceptance must be made during the lifetime of the donor and while he is still capable of giving.

If the donee dies before acceptance, the gift is void.

Statutory Defined Terms in this Section: (Click any term for official legal definition)

Immovable Property Sec 3

Legal Commentary & Landmark Judgments: Section 122

Section 122 of the Transfer of Property Act, 1882 defines a 'gift' as the voluntary transfer of existing property made without consideration and accepted by or on behalf of the donee during the donor's lifetime.

Core Legal Standard: Acceptance is critical to the validity of a gift: it must take place during the lifetime of the donor and while the donor remains capable of giving; if the donee dies before acceptance, the gift is void.
Operational Application: Under Section 122 of the Transfer of Property Act, a gift must be accepted by or on behalf of the donee during the lifetime of the donor and while the donor is still capable of giving.

This statutory framework establishes clear operational guidelines, balancing legal compliance with procedural safeguards.

Key Landmark Precedents:

Asokan v. Saratha (2007) 14 SCC 59: The Supreme Court held that once a registered gift deed is executed and accepted by the donee (even through minor custody or possession of documents), the gift is complete and the donor retains no power to cancel or revoke it unilaterally.
Renikuntla Rajamma v. K. Sarwanamma (2014) 9 SCC 445: The Supreme Court held that delivery of physical possession is not an essential condition of a valid gift under Section 122. A gift deed reserving a life interest in favor of the donor to enjoy rents during her lifetime while gifting absolute remainder title to the donee is valid and complete upon acceptance.
Daulat Singh v. State of Rajasthan (2021) 3 SCC 459: The Supreme Court affirmed that acceptance under Section 122 can be inferred from the donee's possession of the gift deed, entry into revenue records, or absence of repudiation.

Legal Commentary:

Acceptance under Section 122 must occur while the donor is alive. If a parent executes a gift deed in favor of a child but dies before the child accepts or signs the deed, the gift fails completely. Once accepted and registered, a gift cannot be unilaterally cancelled by the donor through a cancellation deed; cancellation requires a civil decree under Section 31 of the Specific Relief Act.

Section 122: 'Gift' defined, Acceptance when to be made

Section 122 of Transfer of Property Act: 'Gift' defined, Acceptance when to be made

Legal Commentary & Landmark Judgments: Section 122