Pavas Bhatia 04 July 2024

Dda gift deed issue

My father had purchased a DDA property on GPA/SPA from an original allottee. He also subsequently converted it to freehold. To save double registration, he recently executed and registered a gift deed in my name directly from his SPA. I am concerned if I would be able to sell this property in future? How can this paperwork lacuna be corrected?

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Quick Summary

This discussion addresses concerns about selling a DDA property transferred through a gift deed, originally purchased via GPA/SPA and converted to freehold. The core issue is whether the gift deed is legally sound if the original principal who granted the GPA/SPA did not explicitly authorise gifting. Without specific authorisation in the GPA/SPA, the gift deed might be considered invalid, potentially impacting the ability to sell the property later. The recommended solution involves the principal executing a ratification deed to validate the transaction and ensure a marketable title.

5 Replies

T. Kalaiselvan, Advocate (Advocate) 05 July 2024

Whether the principal who gave GPA to your father was alive at the time when your father transferred this property to your name by a registered gift deed? Whether there was a recital in the GPA deed authorizing the power agent to transfer the property by gift deed to a third party? If yes is the answer for both the above questions then you can ask the principal to execute a ratification deed to ratify this transaction which will allow you to enjoy the property with clear and marketable title.

Pavas Bhatia 05 July 2024

The GPA did have a recital for selling/renting the property but did not have one for gifting. The GPA/SPA was executed in 1998 so I am not sure if we have the contact of the Principal currently. What are the legal options for us?