Question

Transfer of ownership without consideration is a..............

• A. Sale
• B. Lease
• C. Exchange
• D. Gift

Hint:

In contract and property law, "consideration" is a fundamental concept. Think of it as "the price of the promise".

Sale: Consideration is money.
Exchange: Consideration is another property.
Lease: Consideration is rent.
Gift: No consideration.

Answer 1

The Correct Option is D

Step 1: Understanding the Concept
The question asks for the legal term for a transfer of property ownership where nothing is given in return. The key phrase is "without consideration". "Consideration" is a legal term for something of value (like money) exchanged between parties in a contract.

Step 2: Defining the Types of Transfer


(A) Sale: The transfer of ownership in exchange for a price (money). It involves consideration.

(B) Lease: The transfer of a right to enjoy property for a certain time in exchange for a price (rent). It involves consideration and does not transfer full ownership.

(C) Exchange: The transfer of ownership of one thing for the ownership of another thing (like a barter). Both properties serve as consideration for each other.

(D) Gift: As defined in the Transfer of Property Act, 1882, a gift is the transfer of certain existing movable or immovable property made voluntarily and without consideration.


Step 3: Final Answer
The transfer of ownership without consideration is the definition of a gift. Therefore, option (D) is the correct answer.