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Kerala High Court Upholds Gift Deed, Grants Applicant Property Rights

Last Updated on June 25, 2024 by News Desk

Justice K. Babu’s bench addressed an appeal in a property declaration suit. The applicant claimed her mother, Kunhimatha, gifted the property to her. The accused, Kunhimatha’s grandson, claimed she did not accept the gift, leading to the cancellation of the gift deed. The court found that the gift had been accepted by the applicant.

Section 126 of the Transfer of Property Act deals with suspension or revocation of gifts. The donor and donee may agree that upon a specific event, the donation may be suspended or revoked.

The gift can also be revoked in any case where a contract can be canceled, unless there is a need for consideration. A gift revocable at the donor’s sole discretion will be invalid.The court relied on Supreme Court and Kerala High Court decisions.

In Thota Ganga Laxmi, the Supreme Court ruled that a deed of cancellation cannot be registered or executed, and the only remedy to set aside a deed of sale is to file a civil action.

In Suresh Babu SR and others versus Beena and another, the Kerala High Court held:

Unilateral cancellation of a complete gift deed is legally untenable unless there is a right of revocation in the deed itself.

The court declared that the applicant had a right to the property concerned.

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