Selling Property Registered as a Gift Deed: Legal Precedence and Considerations for Multiple Will Planning

Key Guidelines for Document Transfers and Testamentary Instruments

Selling Property Registered as a Gift Deed: Legal Precedence

A reader asked whether it is possible to sell a property that has been registered as a gift deed. Specifically, if a Hindu donor sells the property to a third party after transferring it to a donee, which document will take legal precedence?

In such a case, the registered gift deed signifies the unconditional and irrevocable transfer of the donor’s rights, title, and interest in the property to the donee. Therefore, the title to the property has been passed on to the donee, making them the sole owner. As a result, any subsequent transfer or sale attempt by the donor will not impact the rights of the donee. The third-party purchaser will not obtain a valid title to the property, and their rights will be lower than those of the donee.

Considerations for Multiple-Will Planning

Other readers asked about the legal viability of creating multiple wills. The question is whether it is possible to craft separate wills for each property in their possession.

If all the assets subject to the testamentary instruments are held within India, it is advised to prepare a single will that incorporates all these assets. The executors will be responsible for probating the will if required and ensuring that the bequests of different assets to various legatees are correctly implemented under the provisions of the will. Creating multiple wills is highly likely to result in issues with the validity of the wills and potential invalidation, leading to confusion. However, if assets are spread across different jurisdictions, it is advisable to formulate a separate will for each jurisdiction. This approach would allow for the efficient transfer of the estate to the legatees in each respective jurisdiction.

Seek Legal Guidance

It’s always essential to seek guidance from an attorney to gain a deeper understanding of these issues, evaluate the pros and cons based on the specific nature of assets, and determine the appropriate plan of action. Legal advice can help readers make well-informed decisions.

Disclaimer:

The information provided in this article is based on the latest Acts, Rules, Circulars, Notifications, Provisions, Press Releases, and other applicable material available at the time of compilation. We have diligently ensured the completeness and accuracy of the material. However, it is essential for users to consult the relevant legislation for specific guidance. Please note that the data provided may be subject to change without prior notice and should not be considered as professional advice. Estabizz Fintech holds no liability for any outcomes resulting from the use of this material.