Conditional Transfer

What is transfer of Property ? 

   Transfer of property defined under Section 5 of Transfer of Property Act as - Transfer of Property means an act by which a living person can conveys property, in present or in future, to one or more other living persons, or to himself, or to himself and one or more or other living persons,  and to transfer property is to perform such act.

Essentials For Valid Transfer : 

   There are eight essentials of valid transfer of property which are

          1) Transfer must be between two or more living Persons
          2) The property must be transferable
          3) The Transfer must not be - opposed to nature, unlawful object and consideration, Transfer to to a person legally disqualified
          4) Parties must be competent to Valid transfer
          5) If on transfer an interest in created in favour of an Unborn person - under section 13 ,a) limited interest to be created in favour of living person,b) Unborn person shall be born before expiry of Limited interest,c) Once the Unborn person is born, he shall be given absolute interest on attending the age of majority.
          6) The Transfer must be made in the mode prescribed by the Act, under section 9
          7) The Transfer must not be contrary to the rule against perpetuity (section 14)

          8) Conditional transfer


(See in detail.. Definition of Transfer of Property and essentials For valid Transfer.)



Conditional Transfer (Section 25 of Transfer of Property Act)

          Conditional transfer An interest created on a transfer of property and dependent upon a condition fails if the fulfilment of the condition is impossible, or is forbidden by law, or is of such a nature that, if permitted, it would defeat the provisions of any law, or is fraudulent, or involves or implies injury to the person or property of another, or the court regards it as immoral or opposed to public policy.


Illustrations

(a) A lets a farm to B on condition that he shall walk a hundred miles in an hour. The lease is void.

(b) A gives Rs. 500 to B on condition that he shall marry A's daughter C. At the date of the transfer C was dead. The transfer is void.

(c) A transfers Rs. 500 to B on condition that she shall murder C. The transfer is void.

(d) A transfers Rs. 500 to his niece C, if she will desert her husband. The transfer is void.


See Also 

1) Definition of Transfer of Property and essentials For valid Transfer

2) Distinction / Difference between Sale and Agreement to Sell

3) Distinction / Difference between Sale and Agreement to Sell

4) Definition and Different Kinds of Ownership

5) Kinds / Types of Mortgage