LEGAL PRINCIPLE: LAND LAW – Conveyancing – Gift Inter Vivos – Requirements for Valid Gift
PRINCIPLE STATEMENT
A gift inter vivos is an act whereby something is voluntarily transferred from the true possessor to another person, with full intention that the thing shall not return to the donor, and with full intention on the part of the receiver to retain the thing entirely as their own without restoring it to the giver; the essential thing to consider is that the gift is complete when the donee has accepted it; if that condition is satisfied the donor has no right to revoke the gift.
RATIO DECIDENDI (SOURCE)
"A gift inter-vivos is an act whereby something is voluntarily transferred from the true possessor to another person, with full intention that the thing shall not return to the donor, and with the full intention on the part of the receiver to retain the thing entirely as his own without restoring it to the giver. The essential thing to consider is that the gift is complete when the donee has accepted it. If that condition is satisfied the donor has no right to revoke the gift."
EXPLANATION / SCOPE
Gift inter vivos (between living persons) requires: (1) voluntary transfer from true possessor; (2) donor’s intention that property not return; (3) donee’s intention to retain entirely; (4) donee’s acceptance. Once these elements exist: gift is complete and irrevocable. “Voluntary” means: no coercion, free intention to give, and genuine donative intent. “Full intention” means: both parties understand permanence, no expectation of return, and definitive transfer. Acceptance by donee is essential—without acceptance, no completed gift. Once accepted: donor has no right to revoke, gift is absolute and final, and donee’s ownership is complete. This distinguishes gifts from: loans (expectation of return), conditional transfers (subject to conditions), or revocable arrangements. Completed gifts are: irrevocable by donor alone, protected against donor’s change of mind, and permanent transfers. This finality serves: certainty in property transfers, protecting donees’ reliance, and respecting completed voluntary transactions. Donors wanting to: reserve revocation rights must expressly provide (creating conditional gift or other arrangement), otherwise acceptance creates irrevocable transfer. The principle emphasizes gift finality upon donee’s acceptance.