Senior Citizens May Revoke Gift Deeds if Neglected by Their Children

Elderly parents can cancel gift deeds executed in favour of their children if the children fail to maintain the parents even if there is no maintenance condition mentioned in the deed, the Court held.

The Madras High Court has ruled that senior citizens can revoke gift or settlement deeds granted to their children if they fail to provide maintenance, even if the deeds do not explicitly require such care [S Mala v. District Arbitrator and ors.].

A Bench comprising Justices SM Subramaniam and K Rajasekar observed that under Section 23(1) of the Maintenance and Welfare of Parents and Senior Citizens Act, 2007, senior citizens have the right to annul property transfers if the recipient neglects their responsibility to provide care and support.

The Court clarified that while this obligation may not be explicitly mentioned in the transfer deed, it is an implicit condition in all gift deeds executed by elderly parents for their children.

“[The Senior Citizens] Act acknowledges that property transfers from senior citizens, especially to children or close relatives, are often motivated by love and affection. The senior citizen’s decision to transfer property is not merely a legal act but one made with the hope of being cared for in their old age. This love and affection become(s) an implied condition in the transaction, even if the transfer document itself does not explicitly state it. If the transferee does not provide the promised care, the senior citizen can invoke Section 23(1) to have the transfer annulled,” the Court’s March 6 ruling said.

“A senior citizen’s decision to transfer property is made with the hope of being cared for. This love and affection becomes an implied condition.”

Madras High Court

The Court emphasized the need for a broad interpretation of the Senior Citizens Act to ensure the protection of senior citizens’ dignity and well-being.

“The law does not require an express condition in the document for maintenance. Instead, it recognizes that love and affection serve as the consideration for the transfer and that this implicit condition is enough to invoke the provision in case of neglect. The Tribunal, in such instances, is empowered to declare the deed null and void, based on the violation of this implied condition,” it added.

An elderly woman, S Nagalakshmi (now deceased), had transferred a property to her son. However, she later alleged that she was neglected by both her son and daughter-in-law, especially after her son’s demise.

Subsequently, she filed a complaint under the Senior Citizens Act, seeking the cancellation of the settlement deed.

After an inquiry, the Revenue Divisional Officer (RDO) found that the 87-year-old had been neglected by her daughter-in-law and, as a result, revoked the property transfer.

Challenging the RDO’s decision, the daughter-in-law approached the High Court. When a single judge dismissed her petition, she filed an appeal before the Division Bench, arguing that Nagalakshmi had not explicitly stipulated any condition in the property settlement deed.

The Court observed that the elderly mother had a natural expectation of being cared for by her son and daughter-in-law during her lifetime. It ruled that this expectation was an implicit condition of the settlement deed. Additionally, the Court highlighted that this was the reason she had chosen to transfer the property exclusively to her son, rather than dividing it among her three daughters.

“Therefore, it would be a natural expectation that her son and daughter-in-law would take care of her till her life time. Such a condition being implied under Section 23(1) of the Senior Citizens Act, the decision of the competent authority annulling the Settlement Deed is in consonance with the spirit and objectives of the Senior Citizens Act,” the Court said, while dismissing the daughter-in-law’s appeal and upholding the RDO’s decision to cancel the settlement deed.