What is Transfer of Property?
The Transfer of Property Act (ToPA), enacted on July 1, 1882, stands as one of the oldest and pivotal legal frameworks in the Indian legal system, addressing the intricacies of property transfers between buyers and sellers. In India, the Transfer of Property Act 1882 is highly significant as it regulates the act of transferring property from one individual to another. This legislation holds particular significance for individuals intending to transfer immovable assets such as land, homes, or plots. ToPA applies to diverse immovable property transactions involving individuals, companies, and organizations, excluding properties inherited or disposed of through wills. Encompassing mortgages, exchanges, gifts, sales, leases, and actionable claims, the act specifies that individuals over 18, mentally sound, and entitled to or authorized to dispose of property can initiate transfers. Emphasizing the need for written agreements, even for properties valued under 100 rupees, ToPA ensures lawful and transparent property transactions by establishing clear guidelines for various types of property transactions.
Key Takeaways:
- In a sale of goods, the property passes when parties intend it to pass, as per the Sale of Goods Act 1930.
- The general rule is that property transfers when goods are intended to be transferred, even if delivery is postponed.
- If goods are sold “specifically,” property passes when the parties intend, and if not specified, when the contract is made.
- Risk follows property, so the buyer bears the risk from the time the property is transferred, unless otherwise agreed upon.
Table of Content
- What is Passing the Property in Goods?
- Exact Time of Passing of Property
- Rules Regarding Transfer of Property
- Conclusion
- Transfer of Property under Sale of Goods Act 1930- FAQs
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