Before 1882 ,when the present act came into picture , the transfer of immovable
property in India were governed by the principles of equity .Most of the
provisions of the Act 1882 , had been based on the decisions of the court of
Equity before 1884 .Sometimes ,the courts had to decide the case according to
their own notion of justice and fair play.
Thus to remedy the state of affairs
, a law commission appointed in England to prepare a code of substantive law of
transfer of properties in India .Thus , since passing of the transfer of
property act , 1882 .Its provisions
were amended on 12th occasions . It came into force on 1 July 1882., introduced by Whitley Stokes. Basically the Act has two readings once done on 1877 and other on 1882.
The basic aim of the Transfer of Property Act, 1882 is to amend ,regulate and
law is to define, amend or regulate the law related to the property transferable and respective parties . The
Act acts as a uniform and systematic legislation regarding the transfer of immovable
property between living parties In order to make it an effective legislation
the sections includes various doctrines like doctrine of cypress , doctrine of
acceleration , doctrine of part performance etc .
Conditional Transfer: An Overview
Conditional transfer is given under Sec 25 of the Transfer of Property Act,
1882 specifically but Section 26 to 34 also talks with the conditional transfer
in one or the other way . When interest is being created on a transfer of
property and is made to depend on a fulfillment of a condition then that
transfer of property will be called as Conditional Transfer A condition
is something that makes the existence of a right dependent on the happening or not happening of a thing .Also the conditions are of two types that is condition precedent and condition subsequent
given under Sec 26 and Sec 29 of the same act respectively.
Basically condition precedent is when vesting of interest is delayed till
happening of event ,vesting of interest basically means when someone gets
interest of that property , that is a condition need to be fulfilled first
before the transfer of property . thus first fulfillment of condition and then
vesting of interest whereas condition subsequent is where vesting of interest is
done and then fulfillment of condition is done.
But it should also be kept in mind that the condition should not be void as it
will lead to void transfer . Also , it should not be impossible or forbidden by
law or opposed to public policy . Other section deals with certain conditions
Whenever conditional transfer is talked about a doctrine called as Doctrine of
Acceleration comes into play as it is one of the important doctrine mentioned
under Section 27 of the Transfer of Property Act , 1882.
Doctrine Of Acceleration
Acceleration basically means a shortening of time until some event takes place .
Doctrine of Acceleration basically talks about conditional transfer to at least
one person including transfer to a different person with a condition ,as per Sec
27 of Transfer of Property Act , conditional transfer to one person coupled with
transfer to another on failure of prior disposition , the ulterior disposition
shall become on failure of prior disposition ( Ismail Haji v. Umar Abdulla
“Where, on a transfer of property an interest therein created in favour of one
person and by the same transaction an ulterior disposition of the same interest
is made in favour of another , if the prior disposition under the transfer shall
fail , the ulterior disposition shall take effect upon the failure of prior
disposition , although the failure may not have occurred within the manner
contemplated by the transferor.
But, where the intention of the parties to the transaction is that the ulterior
disposition shall become only within the event of the prior disposition failing
during a particular manner , the ulterior disposition shall not become
unless the prior disposition fails therein manner .”2
A person having the proper right to require possession of property at some
future time may have that right accelerated if this holder loses his or her
right to the property is basically what doctrine of acceleration talks about .
If a life estate fails for any reason, the remainder is accelerated as the life
interest that fails or ends earlier accelerating the interest of the remainder
beneficiaries who then take their interest at that earlier time instead of on
the death of the tenant for all times . . Also , under doctrine
of acceleration the ultimate beneficiary will
get property because of mediator’s death , fault etc.
The effect of prior interest… is to accelerate the next which are limited to
require effect on the regular determination of that prior interest;3 the court
construes the gist of such interest as intended to require effect on the
failure or determination of prior interest in any manner4
Also it depicts a situation where if two interests are created in same
transaction and prior interest fails for some reason , not contemplated or
reasonably foreseen by transferors then , subsequent interest will take place .
- A agreed to transfer his property to B. If B meet certain conditions if
he did not do so then the property are going to be transferred to C.
- A disposition favoured to C will be effective where a transfer of Rs
12000 is done by A to B on condition that the lease will be executed by B
after A's death after 3 months
Applicability Of Section 27 Of The Transfer Of Property Act, 1882
Section 27 (doctrine of acceleration) (conditional transfer to one person
coupled with transfer to another on failure of prior disposition) and Sec 16(
that if the prior transfer fails due to violation of sections 13 and 14, then a
transfer that was to take effect upon the prior transfer would also fail.) of
the same Act have contrasting viewpoint.
Similarly, if the prior interest fails under section 25, then also, the subsequent interest fails. In this
condition the failure of prior transfer should be taken into consideration as
the failure is not done here due to the violation of section 13 or section 14.
Thus , if the prior transfer fails for
a reason that was not contemplated by the transfer or could not have been foreseen by him, then the subsequent
transfer would take effect.
Therefore, it is only when the prior interest is perfectly valid to begin with
and its failure is
not due to its conflict with the legal provisions but due to some reasons that happen actually subsequent
to the transfer and could not have reasonably been foreseen by the transferor
initially, that the subsequent transfer would be valid. Therefore as per doctrine of acceleration , subsequent interest
would be accelerated as a consequence if prior transfer fails.
Similarly, in Radha Prasad v Rani Mani
5, a Hindu man made a gift to a boy who
was intended to be adopted by his wife and provided that if the adoption could
not be completed and he died without any son, the property was to go to his
daughters. The immediate effect was given to the daughter's gifts as the
power of adoption with W was not valid
Relation With Other Legislations
There are several other legislations related to the Transfer of Property Act , 1882 like Registration Act
, 1908 , Easements Act 1882 and many other .
With respect to Doctrine of Acceleration , Transfer of Property Act , 1882 and
The Indian Succession Act 1925 , both are interlinked as under the latter Act
,Section 129 of the Indian Succession Act, 1925, provides for the rule of
acceleration just in case of bequests.
“Bequest to A and on failure of prior bequest to B6.—Where there's a gift to at
least one person and a gift of an equivalent thing to a different , if the prior
bequest shall fail, the second bequest shall take effect upon the failure of the
prior bequest although the failure may not have occurred in the manner
contemplated by the testator."
- A bequeaths a sum of money to his own children surviving him, and, if
they all die under 18, to B. A dies without having ever had a child. The
bequest to B takes effect.
When the prior bequest fails either because the one in whose favour it was,
dies, and is therefore unable to take it, or if it was a conditional bequest in
favour of a person who is not able to fulfil the condition . Thus in such
cases of bequest subsequent beneficiary takes effect
In Govindraju v Mangalam Pillai 7, A bequeathed his property to B and C. The
direction under the desire stipulated that his property was to be sold and
therefore the sale proceeds were to be equally divided between B and C. It
further provided that if B or C died during A's lifetime or before the estate
could be so divided, leaving any issue, the issue would take the property.
both B and C took a vested interest after the death of A.
The condition for
divesting was: if any one
of them died before the division and distribution of the property, their respective share was to vest in
their lawful issue. C died five months after A and before the sale and
distribution of property might be materialised. It was held that he was divested
of the share and the same vested in his issue.
Case Laws Related To Doctrine Of Acceleration:
- In the case of Ajudhia v. Rakhman Kaur 8, in this case , A wanted to give B
(his wife) a property as gift but where it was to be registed as per the local
act the property cant be transferred to his wife thus ultimately transfer
went to his children C thus here ultimate beneficiary got the interest ,the
property was accelerated to the children as a gift and in this case the
doctrine of acceleration was upheld
- In lull v/s Jones, A made a bequest to B for life and then to his
children. As one of the attestors gift was being failed to B Held,
consistent with acceleration, the gift to B failed but, took effect in
favour of the youngsters.
- Avelyn v/s Ward: Rs 5000 was transferred by A to B with condition
that certain lease should be executed within 3 days after the death of A
.The transfer will go to C if neglected The death of B occurred while A was
alive . C got the effect of disposition.
- Underwood v/s Wing 9: A property was transferred to w , wife by A
, the property will be transferred to B if she dies during lifetime. During
an air crash both W and A died . It is uncertain who died first whether W or
A. The transfer to B will not take effect. A sum of money was bequested by A for his children for their survival . Bequest will go to B if the death occurs
before him A dies without issues. Thus the court held that the bequest to B will
take effect as per the doctrine of acceleration.
- The first exception comes into play where the prior interest is void.
The ulterior interest dependent upon it also fails.
- Also, doctrine of acceleration is not applicable unless the first transfer fails in a particular specified
- Doctrine of Acceleration not applicable if the remainder is not a vested
remainder but is contingent on an uncertain event (Devalakshmi v/s Vishvakanth P) 10
Transfer of property is basically referred to as an act by which an individual
conveys the property to at least one or more persons, or himself and one or more
other persons as per the Transfer of Property Act 1882 . The act of transfer
could also be wiped out this or for the longer term. The person may include a
private, company or association or body of people and any quite property could
also be transferred, including the transfer of immovable property.
One of the important doctrine under this act is Doctrine of Acceleration which
referred as an English doctrine described as a rule of constructive based on condition and prior transfer.
When interest ,in order to require immediate effect after a premature determination of the prior
interest then an interest in remainder are interpretated liberally with respect
to limitation of property.
Doctrine of Acceleration can be referred as subset of Conditional Transfer which
talks about conditional transfer to one person coupled with transfer to another
on failure of prior disposition.
- Ismail Haji v. Umar Abdulla AIR  Bom 155
- Transfer of Property Act , 1882 s 27
- Avtar Singh & Harpreet Kaur-Textbook on Transfer of Property Act, 6th ed
- Edward Jenks , Halsbury’s Law of England vol .28
- Radha Prasad v Rani Mani  33Cal 947
- The Indian Succession Act , 1925 s.129
- Govindraju v Mangalam Pillai AIR  Mad 80
- Ajudhia v. Rakhman Kaur  10 Cal 482
- Underwood V. Wing4 De G.M. and G. 633
- AIR  Bom 103