Property transferable by gift made in contemplation of death

Section 191 of the Indian Succession Act, 1925 deals with property transferable by gift made in contemplation of death. A man may dispose, by gift made in contemplation of death, of any moveable property which he could dispose of by will. The Act came into force on 30 Sep 1925.

(1) A man may dispose, by gift made in contemplation of death, of any moveable property which he could dispose of by will.

(2) A gift is said to be made in contemplation of death where a man, who is ill and expects to die shortly of his illness, delivers, to another the possession: of any moveable property to keep as a gift in case the donor shall die of that illness.

(3) Such a gift may be resumed by the giver; and shall not take effect if he recovers from the illness during which it was made; nor if he survives the person to whom it was made.

Illustrations

(i) A, being ill, and in expectation of death, delivers to B, to be retained by him in case of A's death,--

a watch:

a bond granted by C to A:

a bank-note:

a promissory note of the Central Government endorsed in blank:

a bill of exchange endorsed in blank:

certain mortgage-deeds.

A dies of the illness during which he delivered these articles.

B is entitled to--

the watch:

the debt secured by C's bond:

the bank-note:

the promissory note of the Central Government:

the bill of exchange:

the money secured by the mortgage-deeds.

(ii) A, being ill, and in expectation of death, delivers to B the key of a trunk or the key of a warehouse in which goods of bulk belonging to A are deposited, with the intention of giving him the control over the contents of the trunk, or over the deposited goods, and desires him to keep them in case of A's death. A dies of the illness during which he delivered these articles. B is entitled to the trunk and its contents or to A's goods of bulk in the warehouse.

(iii) A, being ill, and in expectation of death, puts aside certain articles in separate parcels and marks upon the parcels respectively the names of B and C. The parcels are not delivered during the life of A. A, dies of the illness during which he set aside the parcels. B and C are not entitled to the contents of the parcels.

Section 191, The Indian Succession Act, 1925 (Act 39 of 1925).