N. Thajudeen v. Tamil Nadu Khadi and Village Industries Board
- Vaishnavi Majji
- Oct 17
- 1 min read
On October 24, 2024, the Hon’ble Supreme Court of India delivered a landmark judgment on the irrevocability of gift deeds under the Transfer of Property Act, 1882, in the case of N. Thajudeen v. Tamil Nadu Khadi and Village Industries Board. The dispute arose over a gift deed executed on March 5, 1983, by N. Thajudeen, transferring property for the specific purpose of manufacturing Khadi Lungi and Khadi Yarn. The donor later attempted to revoke the gift by executing a revocation deed on August 17, 1987. In the meantime, the donee had accepted the gift, obtained possession, and applied for mutation of the property in their name. The dispute arose when the donor sought to cancel the gift, claiming that the property was not being used as specified.
Key highlights of the Judgment
The Hon’ble Supreme Court affirmed the validity of the gift deed, noting voluntary execution, acceptance, and possession.
Citing Section 126 of the Transfer of Property Act, 1882, it clarified that gifts cannot be revoked unilaterally unless the deed provides a revocation clause.
Non-utilization of the property for the intended purpose did not justify revocation.
The limitation period to challenge the gift was governed by Article 58 of the Limitation Act, 1963.
This judgment reinforces that a validly executed and accepted gift deed, once acted upon, cannot be revoked arbitrarily, providing much needed clarity in property law and safeguarding the rights of donees.
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