Kalyanasundaram v. Kalavathi

Facts

• A donor executed an unregistered document purporting to gift immovable property
• The donee took possession and enjoyed the property for several years
• The donor's heirs challenged the gift as void for want of registration

Issue

1. Whether a gift of immovable property can be completed without a registered instrument, based solely on delivery of possession and the parties' intention.

Held

• The gift is void. S.123 mandates that for immovable property, the transfer by way of gift must be effected by a registered instrument signed by the donor and attested by at least two witnesses. Without registration, no title passes. Delivery of possession alone cannot substitute for the statutory requirement.

Ratio Decidendi

S.123 is mandatory, not directory. The word "shall" indicates a compulsory requirement. Unlike sale (where property below Rs.100 can be transferred orally), gifts of immovable property always require a registered instrument. This protects against fraudulent claims of oral gifts.