Section 28 Transfer of Property Act, 1882: Ulterior Transfer on a Specified Uncertain Event

Section 28 - Full statutory provision

The source page used the singular wording "the disposition are"; the grammatical correction to "the dispositions are" above should be checked against the authoritative published text before legal reliance.

Meaning and operation of Section 28

An ulterior transfer or ulterior disposition is a further disposition of the same interest in favour of another beneficiary. A specified uncertain event is an event whose occurrence or non-occurrence is uncertain at the relevant time. The transfer instrument can make the further disposition depend on either outcome.

For example, a transfer may give an interest to B but provide that it shall pass to C if B fails to satisfy a specified lawful condition. Alternatively, the deed may say that the interest will pass to C if a stated uncertain event occurs. Whether the condition is effective depends on its precise terms and on the statutory restrictions.

Section 28 does not mean that every subsequent condition automatically overrides an earlier absolute grant. The instrument must be read as a whole, and restrictions on alienation, invalid conditions and other governing rules remain applicable.

Essential elements of an ulterior conditional transfer

1. A transfer creates an interest in property in favour of an initial beneficiary.
2. The same transaction provides for a further transfer of that interest to another beneficiary.
3. The further transfer is tied to the happening or non-happening of a specified uncertain event.
4. The condition and both dispositions must satisfy the rules expressly referred to in Section 28 and other applicable provisions.

Practical illustrations

Event happens

A transfers an interest in property to B, providing that it shall pass to C if a particular lawful and uncertain event occurs. If that event occurs, C may take under the ulterior disposition, provided the condition and transfer are otherwise legally valid.

Event does not happen

A transfers an interest to B, providing that it shall pass to C if a specified uncertain event does not occur within the period identified in the instrument. The deed and the applicable rules determine when the condition is satisfied and whether C's interest takes effect.

These are explanatory examples, not statutory illustrations or conclusions about a particular deed.

Related sections expressly applicable under Section 28

• Section 10: Restrains conditions that absolutely prevent the transferee from parting with or disposing of the interest, subject to statutory exceptions.
• Section 12: Addresses conditions making an interest determinable on insolvency or attempted alienation, subject to the provision's exception.
• Section 21: Defines contingent interests arising on specified uncertain events.
• Section 22: Addresses transfers to members of a class who attain a particular age.
• Section 23: Deals with the timing of an uncertain event when no time is specified.
• Section 24: Concerns transfers to those among certain persons who survive where the relevant period is not specified.
• Section 25: Invalidates dependent interests where conditions are impossible, unlawful, fraudulent, injurious, immoral or contrary to public policy.
• Section 27: Governs an ulterior disposition on failure of a prior disposition, including cases where a particular manner of failure is intended.

Section 29 separately addresses the fulfilment of a condition subsequent, while Sections 30 to 32 address other effects and limitations of ulterior and conditional dispositions. The particular legal consequence depends on the wording and structure of the transfer.

Official legal resources

Read the India Code entry for the Transfer of Property Act, 1882 (Act 4 of 1882), and consult the Legislative Department, Government of India for authoritative legislative publications. Applicable state amendments, registration requirements and other relevant property laws should also be checked.