Universal Donee (Section 128)
Introduction
Section 128 of the Transfer of Property Act deals with a special type of donee called a universal donee. It explains the responsibility of a person who receives the whole property of the donor. This topic is important because it connects gifts with liability (legal responsibility) for debts.
Meaning / Definition
A universal donee is a person who receives the entire property of the donor by way of gift.
Under Section 128, such a donee is personally liable (legally responsible) for all the debts and liabilities of the donor at the time of the gift. However, this liability is limited only to the value of the property received.
Modes or Types
Universal Donee
When the donor gives all his property to one person, that person becomes a universal donee. He must pay the debts of the donor, but only up to the value of the property received.
Donatio Mortis Causa (Death Bed Gifts)
These are gifts made in expectation of death.
They are:
- Gifts of movable property
- Made when the donor believes death is near
- Governed by Section 191 of the Indian Succession Act, 1925
Such gifts are conditional. If the donor survives, the gift becomes invalid.
Revocation of Gift
Before Delivery of Possession
A gift can be revoked before delivery of possession.
- Delivery of possession means actual transfer of control
- It is an essential part of a valid gift
- Donor can revoke without court order before possession is given
After Delivery of Possession
A gift can be revoked after delivery only in limited cases:
- With consent (agreement) of the donee
- By order (decree) of the court
When Gift Becomes Irrevocable
A gift cannot be revoked in the following situations:
- Death of the donor (right to revoke ends with him)
- Death of the donee
- Property is destroyed or lost
- Property is transferred by donee (sale, gift, exchange)
Distinction / Comparison
| Basis | Universal Donee | Normal Donee |
|---|---|---|
| Property received | Whole property | Part of property |
| Liability | Liable for donor’s debts | No such liability |
| Extent of liability | Limited to value received | Not applicable |
Practical Example
A gives all his property worth ₹10 lakhs to B as a gift. A has debts of ₹6 lakhs at that time.
B becomes a universal donee. He must pay A’s debts, but only up to ₹10 lakhs. If the debts were ₹12 lakhs, B is still liable only up to ₹10 lakhs.
Summary
- Universal donee receives entire property of donor
- Liable for donor’s debts at time of gift
- Liability limited to value of property received
- Delivery of possession is important for valid gift
- Gift can be revoked before possession freely
- After possession, revocation needs consent or court order
- Gift becomes irrevocable in certain situations like death or transfer
- Death bed gifts are conditional and depend on donor’s survival