IN THE HIGH COURT OF JAMMU & KASHMIR AND LADAKH AT JAMMU
TASHI RABSTAN, SINDHU SHARMA, JJ.
Chuni Lal Bhagat - Appellant
Versus
State of J&K and another - Respondents
OWP No. 682 of 2018 in WP(C) No. 537, 538 of 2022
Decided on : 17-03-2023
Gift Deed - Land Acquisition - Transfer of Property Act, 1882 - Section 122, 123, 5 - The court considered whether the land donated by the petitioners to the respondents by execution of gift deeds in favor of Government or Government functionaries can be held to be a valid legal document. The court discussed the essentials of a gift, the definition of a living person, and the validity of gift deeds made to the Government by its citizens. The court also referred to relevant case laws and legal principles to determine the validity of the gift deeds.
Fact of the Case:
The petitioners' land was taken by the respondents for setting up Tube Well and other public utilities on the assurance of employment to one of their family members without payment of compensation. The petitioners sought a direction to the respondents to acquire the land or pay compensation for the same.
Finding of the Court:
The court found that the gift deeds made to the Government by its citizens would be a valid gift deed if they complied with the provisions of Section 122 of the Transfer of Property Act, 1882. The court also found that the respondents had forcibly occupied the land of the petitioners without following any procedural law and directed the respondents to initiate steps for acquiring the land under the Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act, 2013 within a period of eight weeks.
Issues: The issues included the validity of the gift deeds made to the Government by the petitioners, the respondents' obligation to acquire the land or pay compensation, and the deprivation of the petitioners' property without following the due process of law.
Ratio Decidendi: The court held that the gift deeds made by the petitioners in favor of the respondents were not valid gift deeds as they contained a condition that the respondents would provide employment to a member of the petitioners' family. The court also emphasized the petitioners' entitlement to compensation for the deprivation of their property without following the due process of law.
Final Decision: The court allowed the petitions and directed the respondents to initiate steps for acquiring the land or pay compensation within a specified period. The Deputy Commissioner was also directed to pay rent for the use and occupation of the land of the petitioners from the date the respondents took possession of the same.
JUDGMENT :
Sindhu Sharma, J.
1. In all these three petitions, the propriety land of the petitioners was taken by the respondents without payment of compensation, as such, they are taken up together for consideration. The contention of the petitioners in all the three petitions is that their land was taken by the respondents for setting up Tube Well and other public utilities on the assurance of employment to one of their family member without payment of compensation.
2. While considering these petitions, this Court, vide order dated 17.05.2022 observed that important questions arise for consideration, firstly, whether the land donated by the petitioners by execution of a gift deed in favour of Government or Government functionaries can be said to be a valid legal document, considering the constitutional provisions, and whether the Government would at all accept a gift deed in its name by its citizens. Secondly, whether the gift deed made in favour of the Government could be held to be a valid, inasmuch as, a gift deed is to be inter vivos to be a valid gift deed.
3. Mr. A.P. Singh, Advocate, was also appointed as amicus curiae to assist the Court in these matters vide the aforesaid order.
4. Chapter-VII of the Transfer of Property Act, 1882 defines gift in Section 122 as under:
123. Transfer how effected -For the purpose of making a gift of immoveable property, the transfer must be effected by a registered instrument signed by or on behalf of the donor, and attested by at least two witnesses. For the purpose of making a gift of moveable property, the transfer may be affected either by a registered instrument signed as aforesaid or by delivery.”
5. The essentials of a gift, thus, would be; (i) There must be a donor and a donee, (ii) The subject matter of a gift must be a certain existing property, (iii) The gift must be voluntary and without consideration, (iv) There must be a transfer on the part of donor, (v) There must be an acceptance by or on behalf of the donee and such acceptance must be made during the lifetime of the donor and while he is still capable of giving, (vi) In case of an immovable property, the transfer must be affected by a registered instrument signed by or on behalf of the donor and attested by at least two witnesses and (vii) For the purpose of making gift of a movable property, the transfer must be affected by a registered instrument or by delivery.
6. The first contention is whether the gift made in favour of Government could be held to be valid, inasmuch as, a gift deed is to be inter vivos to be a valid gift deed.
7. A gift is a transfer of property without any consideration or compensation of movable or immovable property, when the transfer takes place between two living persons, it is called inter vivos, though, when the transfer takes place after the death of the transferor, it is known as testamentary. Testamentary transfers do not fall within the scope of Section 5 of Transfer of Property Act, 1882, and thus, only inter vivos are treated as gifts under the provisions of this Act. If the essential elements required for a transfer to be treated as a gift are not implemented properly, it could be revoked or become void by law.
8. Mr. A.P. Singh, learned Advocate, has drawn our attention to Section 5 of the Transfer of Property Act, 1882, and relied upon the same to submit that the transfer of a property can be made in favour of the Government in terms of the said Section. The tra
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AI
The main legal point established in the judgment is the validity of gift deeds made to the Government by its citizens and the obligation of the respondents to acquire the land or pay compensation for....
Promissory estoppel binds public authority to permanent employment promise in registered Gift Deed for land donation, overriding general circulars.
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The State must compensate landowners for land acquired for public use, as the right to property is a constitutional right that cannot be extinguished by delay or adverse possession.
State legislation cannot provide lesser compensation than that guaranteed under parliamentary law, rendering it repugnant and unconstitutional.
The State cannot dispossess individuals of property without proper legal processes, affirming the entitlement to compensation for land occupied without due course of law.
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