Property gifted to minors by parents can’t be revoked: SC

The Supreme Court has ruled that property gifted to minor children by parents cannot be revoked by them at a later stage on grounds that the...

The Supreme Court has ruled that property gifted to minor children by parents cannot be revoked by them at a later stage on grounds that the child had not expressly accepted the gift.

Settling an 18-year-old litigation between a brother and sister over the property gifted by their mother, a bench comprising Justice Y.K. Sabharwal and Justice D.M. Dharmadhikari said ‘‘where a gift is made by a parent to a child, there is presumption of acceptance of the gift by the donee.’’

In 1945, Devyani of Mayyanadchery in Kerala executed a registered gift deed in favour her 16-year-old son and minor daughter giving them one half of the landed property she inherited from her father. However, in 1970, she executed a cancellation deed, nullifying the gift and willed the property to her daughter.

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The trial court had dismissed the suit filed by her son, K. Balakrishnan, claiming title to the property on the ground that the donee was a minor at the time of execution of the gift deed and no one has accepted the gift on his behalf. The high court upheld this verdict.

Setting aside the HC’s ruling, the apex court said: ‘‘where a gift is made in favour of the donor, who is the guardian of the child, the acceptance of the gift can be presumed to have been made by him or on his behalf without any overt act signifying acceptance by the minor.’’

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