• Returning gift deed and getting money back

We are two brothers. My mother owned two floors and wanted to give one to each of us. She transferred both floors to me through a gift deed, and I gave my brother ₹25 lakh for his share. This happened two years ago.

Now, my mother wants to cancel the gift deed for both floors. I am okay with it, but I need my ₹25 lakh back from my brother. He is refusing to return the money. How can I get it back?
Asked 1 day ago in Property Law
Religion: Hindu

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16 Answers

1.     A gift properly executed  cannot be revoked by the  doner except under certain circumstances which  do not exist in your case.

2.     You can be execution of registered document relinquish property gifted in favour of mother or it can also be gifted back.

  1. For execution of such deed/gift you can seek pay back of 25K. You can also add interest on it.

Ravi Shinde
Advocate, Hyderabad
4422 Answers
42 Consultations

You had not given the Rs 25 lakhs as loan 

 

further you have not mentioned whether it was given by cash or cheque 

 

whether any paper work was done before transferring 25 lakhs to brother 

Ajay Sethi
Advocate, Mumbai
97514 Answers
7882 Consultations

1. Gift deed upon execution results in an instantaneous transfer of title from donor to donee and thereupon donor ceases to have any right, title or interest in the subject property. So your mother cannot cancel it unilaterally unless the gift deed is a conditional gift deed. 

2. Serve a legal notice to your brother and then file a suit for recovery of money.

Ashish Davessar
Advocate, Jaipur
30813 Answers
974 Consultations

It was not given as loan 

 

chances of recovery of money are bleak 

Ajay Sethi
Advocate, Mumbai
97514 Answers
7882 Consultations

- Legally , a registered gift deed cannot cancelled unilaterally without a Court order 

Since you have given this amount to your brother through cheque, it means this payment is made either as a gift or as a loan.

- Further, as there is no document by your mother for the said payment to your brother , then this amount can be treated as loan 

- You can send a demand notice to your brother , and if not refund then file a Recovery suit before the Court. 

Mohammed Shahzad
Advocate, Delhi
14773 Answers
224 Consultations

Mother's testimony will not work. You require documentary evidence to prove remittance of money.


If payment was made through cheque then you have a case.

Ashish Davessar
Advocate, Jaipur
30813 Answers
974 Consultations

Payment through cheque is valid proof of money paid in lieu of share of brother. 

Ravi Shinde
Advocate, Hyderabad
4422 Answers
42 Consultations

The gift deed if done through a registered deed  can not be revoked anymore at the will of the Donor.

If mutually it is undone then you can seek repayment from your brother by filing a suit for recovery of money .

 

Devajyoti Barman
Advocate, Kolkata
23332 Answers
522 Consultations

Under Indian law, your situation involves multiple legal considerations related to property transfer, contracts, and evidence. Here's a detailed breakdown of your options and remedies:

1. Cancellation of Gift Deed


  • Gift Deed Validity: A valid gift deed is irrevocable unless there is evidence of fraud, coercion, undue influence, or if specific conditions (revocability clauses) are mentioned in the deed itself.
  • Since you have consented to cancel the gift deed, your mother must follow the due legal process:

    • Filing a civil suit to declare the gift deed null and void.
    • If your mother claims the property back, she can either:

      1. Execute a cancellation deed (if all parties agree), or
      2. Seek a court order for revocation.

Practical Suggestion: To avoid complications, ensure that the cancellation of the gift deed is legally documented and properly registered.

2. Recovery of ₹25 Lakh from Your Brother

The payment you made to your brother has no written agreement, but there are several ways to establish a claim:

A. Legal Grounds

  • The ₹25 lakh payment was made as part of a mutual understanding (oral contract) to compensate him for his share in the property. Under the Indian Contract Act, 1872:


    • Oral agreements are valid, provided they can be substantiated by evidence.
    • Section 10 states that a contract is enforceable if there is an offer, acceptance, and consideration.

  • Your brother’s refusal to return the money now amounts to unjust enrichment.

B. Evidence to Support Your Claim


  • Bank Records: The cheque payment creates a strong documentary trail.

  • Witness Testimonials: Your mother and family members who were present can serve as witnesses to corroborate the oral agreement.

  • Communication Proofs: Any messages, emails, or informal exchanges between you and your brother about this payment will strengthen your case.

C. Legal Action

  • File a Civil Suit for Recovery of Money under the Code of Civil Procedure

    • This is a faster process for money-related disputes where the payment is documented (via cheque).
    • Bank statements and witness affidavits will be critical evidence.

  • Alternatively, file a suit for breach of oral contract under the Indian Contract Act, 1872.

D. Out-of-Court Settlement

  • Before initiating legal proceedings, send a Legal Notice through an advocate demanding the ₹25 lakh.
  • Mention the possibility of litigation to encourage negotiation.

3. Steps You Can Take Immediately


  1. Hire an Advocate: A lawyer will draft and serve a strong legal notice, framing your claim in terms of contract law and unjust enrichment. This notice often persuades the other party to settle the matter amicably.

  2. Gather Evidence:

    • Bank records showing the cheque payment.
    • Statements from witnesses (your mother and family).
    • Any written or verbal communication about the ₹25 lakh.


  3. Draft Agreement During Cancellation: If you’re consenting to cancel the gift deed, insist on documenting a written agreement that includes:

    • Your right to recover the ₹25 lakh.
    • Your mother’s and brother’s acknowledgment of this payment.

Practical Guidance

  • To ensure smooth execution and avoid future disputes, legal representation is crucial. I can assist you in drafting the legal notice, filing the recovery suit, and documenting the gift deed cancellation in a legally enforceable manner.
  • Let me know if you would like to proceed. We can set up a consultation to discuss the strategy in detail.

Sharan Chopra
Advocate, Chandigarh
16 Answers

If the property was transferred to you by executing a registered gift deed in your favour by your mother without any condition then it cannot be cancelled unilaterally by her.

However if you both want to cancel the gift deed jointly then you can execute a registered cancellation deed jointly within three years from the date of execution of registered gift deed.

What was the mode of transfer of Rs. 25 L to your brother?

Unless it was not transferred to him as a loan you cannot force him to return.

You can enter into an agreement with your mother about return of the amount you paid to your brother to execute the registered cancellation deed which will protect your interests.

T Kalaiselvan
Advocate, Vellore
87716 Answers
2355 Consultations

The money transferred to your brother by a cheque is a valid evidence to recover the same.

You can first issue a legal demand notice demanding return of the hand loan amount transferred to him by cheque and failing to respond you may initiate money recovery suit through civil court.

T Kalaiselvan
Advocate, Vellore
87716 Answers
2355 Consultations

You need to file suit if he doesn’t return the same 

Prashant Nayak
Advocate, Mumbai
32874 Answers
209 Consultations

Dear Client,   

In your situation, although there exists no formal agreement or documentation for the ₹25 lakhs handed out to your brother, the fact that the payment was made through a cheque and was witnessed by your mother and other family members puts your case in a much stronger position. Legally, lack of written documents does not bar you from recovering the amount, as oral agreements supported with credible evidence such as witnesses and financial records are admittable in court.   

To recover the amount, first, you need to issue a notice to your brother, under Section 433 of the Code of Civil Procedure, for the to return of ₹25 lakhs. In that, you have to state the circumstances of the payment; that is, mention the context in which the payment was made with the understanding that it is in pursuance of his share of the property; and the revocation of the gift deed invalidates any claim to that amount. Moreover, point out that you have witness testimony and a cheque transaction in your favor for substantiating your claim.   

Should your brother not comply with the legal notice served upon him, you can institute a civil suit under the Code of Civil Procedure, 1908, to recover the money. Any paunees or documents of the cheque transaction and verification of the witness may sufficiently size up to your credence. Further, your mother and family members who may be called forth for such testimony will preserve your case.   

It is best if you consult a legal expert on this matter for a particular notice to be made and to conduct your case adequately if a pending matter arises in the future. Any delay here would spell disaster, given that it was a case of future profit.   

Hope this answer helps. Please feel free to reach out with any further queries. 

 

Anik Miu
Advocate, Bangalore
10386 Answers
121 Consultations

you will have to file a suit to recover the 25 lacs

Yusuf Rampurawala
Advocate, Mumbai
7752 Answers
79 Consultations

  1. Evidence: Use the cheque transaction as proof. Also, collect written testimonials from your mother and family members who witnessed the transfer.

  2. Legal Notice: Send a formal legal notice to your brother demanding repayment of ₹25 lakh.

  3. File a Suit: If he refuses, file a civil suit for recovery under Order 37 of the Civil Procedure Code (summary suit).

  4. Gift Deed Cancellation: Ensure your mother follows the legal process to cancel the gift deed. Once canceled, your brother’s refusal to repay strengthens your recovery case.

For detailed, personalized advice, consider a phone consultancy. Hope you find the information helpful. You are free to contact me for further discussion. If you could spare two minutes to write a review, it would bring immense happiness to read it. Thank you. Shubham Goyal.

Shubham Goyal
Advocate, Delhi
526 Answers
1 Consultation

In your situation, recovering the ₹25 lakh paid to your brother hinges on proving the nature of the payment. Although no formal paperwork exists, the cheque payment itself serves as evidence of the transaction. Additionally, the testimonies of your mother and family members can further substantiate your claim that this amount was given as your brother’s share in the property division.

To proceed, you can send a legal notice to your brother, demanding the return of the ₹25 lakh, citing the circumstances under which it was paid. If he does not comply, you may file a civil suit for recovery under Order 37 of the Civil Procedure Code, 1908, as it involves a cheque payment. The cheque's details, bank records, and supporting witness statements will strengthen your case. It is advisable to consult a lawyer for drafting the legal notice and initiating proceedings if required.

Thanks and Regards,
Advocate Aman Verma, Legal Corridor

Aman Verma
Advocate, Delhi
227 Answers

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