Class Gift

Introduction

Section 15 of the Transfer of Property Act, 1882 deals with transfers made in favour of a class of persons (group of persons).

It explains what happens when some members of the class cannot receive the benefit due to legal rules.

Meaning / Definition

A class gift means a transfer of property made in favour of a group of persons, identified as a class (for example, children, heirs, or family members).

Rule:

• If the interest fails for some members of the class due to Section 13 (unborn person) or Section 14 (rule against perpetuity),
• The transfer fails only for those members, not for the entire class.

Modes or Types

Valid Members of Class

• Members who satisfy legal conditions under Sections 13 and 14.
• They can receive the benefit.

Invalid Members of Class

• Members whose interest violates:
  • Rule against perpetuity, or
  • Rules relating to unborn persons
• Their share fails.

Effect of Amendment (1929)

• Before amendment:
  • If one member failed, the entire class gift failed.
• After amendment:
  • Only invalid members are excluded.
  • Valid members can still take their share.

Distinction / Comparison

Important Case Law

• Leake v. Robinson

  • Explained early principles of class gifts.

• Bhagabati v. Kalicharan

  • Applied principles of class gift under Indian law.

• Aniruddha v. Administrator General

  • Clarified application after amendment.

Practical Example

• A transfers property to children of B.
• Some children are unborn and violate Section 13 or 14.
• Those children cannot take the benefit.
• Other valid children can still receive their share.

Summary

• Section 15 deals with transfers to a class of persons.
• Failure of interest affects only specific members.
• Entire class gift does not fail.
• Amendment of 1929 made the rule flexible.
• Valid members can still receive benefit.