Question

Lapsed gift means a gift in which a person whose favour a will was created dies...

• A. Before the death of his legal heir
• B. After the death of his legal heir
• C. Before the death of the testator
• D. After the death of the testator

Hint:

A lapsed gift occurs when the beneficiary dies before the testator. The gift fails unless a substitute is named.

Answer 1

The Correct Option is C

In the context of wills and testaments, a lapsed gift refers to a situation where a gift mentioned in a will cannot be transferred because the beneficiary dies before the person who created the will (i.e., the testator).
Why this happens:
When a will is executed, the gifts come into effect only upon the testator’s death. If the intended recipient is not alive at that time, they cannot receive the gift. Unless the will has a provision for substitution (i.e., alternate beneficiary), the gift fails and is said to “lapse.”
Example:
If A creates a will giving his car to his friend B, but B dies before A, then the gift of the car lapses.
Options explained:
- (A) and (B) talk about the legal heir — irrelevant in the context of lapsed gifts.
- (D) is incorrect because if the beneficiary dies after the testator, the gift is valid and goes to the beneficiary’s estate.