Property transferred by the donor in gift deed, out of love and affection shall be considered to be in ‘good consideration

Facts of the case came for adjudication before Court were that the doner gifted suit property in favour of her son by way of gift deed. The gift deed was made only out of her love and affection and on a clear understanding of her moral duty, she transferred the suit land by way of gift deed. The recitals in the gift deed aptly prove that it was made by the donor in favour of donee voluntarily and without any valuable consideration.

A valuable consideration, in the sense of the law, may consist either in some right, interest, profit, or benefit accruing to the one party, or some forbearance, detriment, loss or responsibility, given, suffered or undertaken by the other". On other hand ‘Good Consideration" means 'such as is founded on natural duty and affection, or a strong moral obligation. A consideration for love and affection entertained by and for one within a degree recognized by law. Motives of natural duty, generosity, and prudence come under this class. The term is sometimes used in the sense of a consideration valid in point of law, and it then includes a valuable or sufficient as well as a meritorious consideration.

A gift deed made out of love and affection should be considered as ‘good consideration’. This ‘consideration’ should not in any way be termed as ‘valuable consideration’. A good consideration is not prohibited by law.

Appearing counsel/s : Mr. D.K. Das Choudhury, Mr. S. Bhattacharjee