Question

Which Section of the Transfer of Property Act deals with onerous gift?

• A. Section 127
• B. Section 126
• C. Section 125
• D. Section 124

Hint:

Remember: In the case of onerous gifts, the donee cannot accept only the beneficial part of the gift while rejecting the burden. They must accept or reject the gift as a whole.

Answer 1

The Correct Option is A

Step 1: Understanding the Concept of Onerous Gift:
An onerous gift is one which carries certain obligations or burdens along with it. The recipient of such a gift has to accept both the benefits and the burdens attached to it. For instance, if a property with an outstanding mortgage is gifted, the recipient must also take on the responsibility of that mortgage.
Step 2: Legal Provision:
Section 127 of the Transfer of Property Act, 1882, specifically deals with onerous gifts. It states that when a gift is made that carries certain obligations, the donee has the option to either accept or reject the entire gift — they cannot accept the beneficial part and reject the onerous part.
Step 3: Analysis of Options:
- (A) Section 127: Correct. It deals with gifts that are burdensome or carry certain obligations.
- (B) Section 126: This section deals with the suspension or revocation of gifts.
- (C) Section 125: This section concerns the rights of the donee when the donor dies before acceptance.
- (D) Section 124: This section defines what constitutes a valid gift.
Step 4: Final Conclusion:
The correct answer is (A) Section 127, as it specifically relates to gifts that carry an obligation or burden — called onerous gifts.