Transfer of property means an act by which a living person conveys property in present or in future, to one or more other living persons (or to himself) and to transfer property is to perform such act.
ESSENTIALS OF A VALID TRANSFER :
In order to constitute a valid transfer of property, whether movable or immovable, under the Transfer Of Property Act :
- the property must be transferable
- the transfer must be competent to transfer
- the transferee must be competent to take the transfer
- the consideration or object of the transfer must be lawful
- the transfer must not be opposed to the nature of the interest affected thereby
- it must be in the manner and in the form required by the act if any.
WHAT PROPERTIES MAY NOT BE TRANSFERRED :
The general rule is that property of any kind may be transferred but here are properties which cannot be transferred :-
- Spes Successionis
- Right of re-entry
- Restricted interests
- Mere right to sue
- Public office
- Nature of Interests
- Un-transferable interests
PERSONS COMPETENT TO TRANSFER :
Every person competent to contract and entitled to transferable property or authorised to dispose of transferable property not his own, is competent to transfer such property either wholly or in part and either absolutely or conditionally, in the circumstances, to the extent and in the manner, allowed and prescribed by any law for the time being in force.
SECTION 11 OF THE CONTRACT ACT provides what persons are, and what persons are not competent to contract. Every person is competent to contract who is of the sound mind and is not disqualified from contracting by any law to which he is subject.