Can the gift be ever suspended or revoked? Can the gift be revocable by the agreement of parties?
A gift can be revoked or suspended, provided the following conditions are fulfilled:
- the donor and the donee must have agreed, at the time of the gift, that the gift shall be suspended or revoked on the happening of a specified event;
- Such an event must be one which does not depend upon the donor”s will;
- The condition should not be illegal or immoral and also should not be averse to the estate, created under the gift.
It should be noted that a gift, which according to the parties, may be revoked at the mere will of the donor, is void. See Thakur Raghunathji Maharaj Vs. Rameshchandra (AIR 2001 Supreme Court 2340), where a donor executed a gift deed of land for the purpose of construction of a college building. On the same day, an agreement was executed between the parties that the land was gifted for the building of a degree college and that this building should be constructed within six months from the date of the gift deed. The Agreement provided that the gift deed shall be deemed to have come to an end and, that the donor shall be considered to be the owner of the land if the college building was not built within six months. The Court held that the gift was not absolute and/or unconditional and that the gift deed and the said agreement, forming one transaction, would have to be read together and given effect accordingly.
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