Transfer of Property Act Section 26 — Fulfilment of condition precedent

Summary

If a transfer of property requires a person to meet a condition before they can receive the property, that condition is treated as met if it has been substantially followed, even if not done exactly as written. For example, if the condition requires consent from three named people and one of them dies, getting the consent of the other two is enough. However, if the person goes ahead without anyone's consent and only gets their approval after the fact, the condition is not considered fulfilled.

Official Text

Where the terms of a transfer of property impose a condition to be fulfilled before a person can take an interest in the property, the condition shall be deemed to have been fulfilled if it has been substantially complied with. Illustrations

(a) A transfers Rs. 5,000 to B on condition that he shall marry with the consent of C, D, and E. E dies. B marries with the consent of C and D. B is deemed to have fulfilled the condition.

(b) A transfers Rs. 5,000 to B on condition that he shall marry with the consent of C, D and E. B marries without the consent of C, D and E, but obtains their consent after the marriage. B has not fulfilled the condition.

Related Judgments

• CONTSHIP CONTAINER LINES LTD. vs D.K. LALL AND ORS — Supreme Court of India (2010)
• INDIAN RAILWAYS CATERING &; TOURISM CORPORATION LTD vs GOVT OF NCT OF DELHI & ORS — Delhi High Court (2010)
• HPA INTERNATIONAL vs BHAGWANDAS FATEH CHAND DASWANI AND ORS — Supreme Court of India (2004)
• SATYA PAL ANAND vs STATE OF M.P. AND OTHERS — Supreme Court of India (2015)