ORAL TRANSFER OF PROPERTY UNDER TRANSFER OFPROPERTY ACT, 1882

Introduction:
Oral transfer was valid in India prior to the enactment of the Transfer of Property Act, 1882
considering that delivery of possession was the only valid transfer in the ancient times.2
The Indian Contract Act, 1872 accommodated the same through Section 10 of the Act, allowing
for an Oral Agreement to be valid. On the same basis, The Transfer of Property Act, 1882 allowed
for an Oral transfer of Property under Section 9 of the said act, which lays down that a transfer of
property may be made without writing in every case in which writing is not expressly required by
law.3Hence it functions as an enabling statute.4
Validity of Oral Transfers under the Act:
It is important to understand what is meant by ‘transfer’ of property. Section 5 of the Act defines
the same as conveyance of the property between one to another living persons(s). When read with
Section 9, oral transfer is conveyance of property inter-vivos orally when no compulsion is made for
a written transfer. There are essentially five types of transfers recognised under the Act, namely sale,
exchange, gift, mortgage and lease.