SPECIAL RULES FOR PARSI INTESTATES

Intestate succession means dividing or distribution of property of a person who dies without
making a will. For Parsis, there are special rules given under Sections 50 to 56 of the Indian
Succession Act, 1925. These sections explain clearly how the property of a deceased Parsi
should be distributed among his or her family members.
The law mainly gives priority to close relatives like the spouse, children, and parents. If such
close family members are not present, then the property goes to other relatives according to
fixed rules. These provisions are made to ensure fairness and to avoid disputes among family
members.
The rules are simple and systematic, so that everyone knows their share. The distribution is
mainly based on degrees of relationship and consider Parsi family structure and customs.
The distribution is mainly based on degrees of relationship and ensures that both male and
female heirs are treated equally in most cases.
Therefore, Sections 50–56 provide a clear and easy method for distributing property when a
Parsi person dies without making a will.
Section 50: General Rules for Parsi Inheritance
Section 50 of the Indian Succession Act, 1925 lays down the basic rules to decide who can
inherit the property of a Parsi who dies without making a will. It mainly focuses on the
eligibility of relatives and situations where certain persons are excluded from inheritance, so
that the distribution remains fair and clear.
For the purpose of inheritance, a relative is considered eligible not only if they are alive at the
time of the deceased’s death, but also if they were already conceived before the death and
are later born alive. This means even an unborn child (in the womb) is given full legal rights in
the property.
However, if a relative dies before the deceased and does not leave behind any close family
such as a spouse, children, grandchildren, or even a grandchild’s spouse, then such a person
is ignored while distributing the property. In simple words, they are treated as if they never
existed for inheritance purposes.
Further, the law also provides that if the widow or widower of a relative remarries during the
lifetime of the deceased, then that remarried person will not be entitled to any share in the
inheritance. This rule ensures that only those who remain connected to the family are allowed
to claim rights in the property.
Example: If a man dies leaving behind a pregnant wife, the child born later will also get a
share. But if his deceased son’s wife had remarried before his death, she will not get any part
of the property.
Section 51: How Property is Divided Among Spouse, Children, and Parents
Section 51 of the Indian Succession Act, 1925 explains how the property of a Parsi who dies
without a will is divided among close family members like the spouse, children, and parents.
It provides a clear and simple method to ensure fair distribution among immediate relatives.
If the deceased leaves behind both a spouse and children, the property is divided equally
among the spouse and all the children. The spouse is treated just like one child and gets an
equal share.
If there is no surviving spouse, but there are children, then the entire property is divided
equally only among the children. Each child receives an equal portion of the estate.
Further, if one or both parents of the deceased are alive along with the spouse and children,
or even when only children are present, each surviving parent is also given a share. However,
the share of each parent is equal to half of what each child receives. This ensures that parents
are also taken care of, but their share is smaller compared to children.
Example: If a person dies leaving a wife and two children, the property is divided into three
equal parts. If the father of the deceased is also alive, he will receive a share equal to half of
what one child gets.
Section 53: What Happens to the Share of a Child Who Died Before?
Section 53 of the Indian Succession Act, 1925 explains what happens when a child of the
deceased has already died before the deceased person. It ensures that the share of such a
child does not get lost but is passed on to their family members in a fair manner.
If a son or daughter of the deceased dies earlier but leaves behind lineal descendants (like
children or grandchildren), then the share that the deceased child would have received is
given to their descendants. In simple terms, the property “moves down” to the next
generation.
In the case of a deceased son, his widow and children inherit his share as if the son had died
immediately after the original deceased. This means they step into his place and divide his
share among themselves. However, if the deceased son left only a widow (or a widow of his
child) and no further descendants, then the remaining portion of his share is redistributed
according to the general rules of inheritance, and he is not considered further in the division.
In the case of a deceased daughter, her share is divided equally among her children. The law
treats her children as direct successors to her portion.
Further, if a grandchild or any more distant descendant also dies before the deceased, the
same rule applies repeatedly. Their share will pass on to their own descendants.
Example: If a man dies leaving one living son and one deceased daughter who had two
children, the daughter’s share will be equally divided between her two children.
Section 54: Property Division When There Are No Children but There is a Spouse or Spouse
of a Descendant
Section 54 of the Indian Succession Act, 1925 deals with situations where a Parsi dies without
leaving any children, but there is a surviving spouse or the spouse of a deceased child or
grandchild. This section provides specific rules to ensure fair distribution among such persons
and other relatives.
If the deceased leaves only a surviving spouse and no children, the spouse is entitled to half
of the property. The remaining half is then distributed among other relatives according to the
order given in Schedule II of the Act.
If both the spouse of the deceased and the spouse(s) of a deceased child or grandchild are
alive, the property is divided in a particular way. The surviving spouse gets one-third of the
property, and the spouse(s) of the deceased descendant also get one-third.
If there is no surviving spouse of the deceased, but there is a spouse of a deceased child or
grandchild, then that person gets one-third of the property. If there are multiple such
spouses, they together receive two-thirds of the property, which is shared equally among
them.
The remaining portion of the property (if any) is given to other relatives as per the order
mentioned in Part I of Schedule II. If no such relatives are present, then the remaining
property is divided among those who have already received shares, in proportion to their
original shares.
Section 55: Property Division When There Are No Children, Spouse, or Spouse of a
Descendant
Section 55 of the Indian Succession Act, 1925 applies when a Parsi dies without leaving behind
any children, spouse, or even the spouse of a deceased child or grandchild. In such cases, the
law provides that the property should pass to other close relatives in a proper and orderly
manner.
The entire property is given to the nearest relatives of the deceased, as listed in the order of
preference under Schedule II. Relatives who are closer in relation are given priority over those
who are more distant.
Within the same level of relatives, the property is divided equally among all members, and
there is no discrimination between males and females. This ensures fairness and equal
treatment among heirs of the same category.
Thus, the section follows a simple rule — first preference is given to the closest relatives, and
if there are multiple relatives of the same level, they share the property equally.
Section 56: What Happens if There Are No Relatives?
Section 56 of the Indian Succession Act, 1925 applies in a situation where there are no
relatives who are entitled to inherit under the earlier rules. It provides a simple method to
ensure that the property is still distributed in a fair manner.
If no relatives are found who can inherit according to the prescribed rules, then the property
is given to those relatives who are in the closest degree of relationship to the deceased.
Among such nearest relatives, the property is divided equally.
This means that even if the relatives are not directly covered under earlier sections,
preference is still given to those who are most closely related by blood, and they all receive
equal shares without any discrimination.
Example: If a person dies and only distant relatives like cousins are present, and no closer
heirs exist, then those cousins (being the nearest available relatives) will inherit the property
equally.
Sethna v. Hemingway
Facts: A Parsi man had a bank deposit and wrote it in his nephew’s name before his death.
After he died, a dispute started about whether this money should be shared among family
members. Some people said it was not a proper gift. The nephew said it was given to him
while the man was alive.
Judgment: The court said it was a valid gift made during lifetime, not a will. The man was in
a proper state of mind and there was no pressure on him. So, the money already belonged to
the nephew before death. Therefore, it was not included in the property to be divided under
intestate succession.
Parsi Zoroastrian Anjuman v. Official Trustee
Facts: A Parsi man died without making a will, leaving behind his wife, children, and parents.
A dispute arose about how the property should be divided and whether step-parents could
also claim a share. The issue was about applying Section 51 correctly. The court had to decide
who was entitled to inherit and in what proportion.
Judgment: The court held that only natural parents are entitled to a share, and step-parents
are not included. It clarified that parents get half of a child’s share only when children are
present. The court also confirmed that the widow gets a share equal to a child, showing
gender equality. Further, it applied the rule that if a child had died earlier, their share goes to
their family (per stirpes).
Illustration:
1. Mother hands over gold jewellery or share certificates to son with clear intent ("this is
yours now") and his acceptance. Becomes son's property immediately, not subject to
Section 50 distribution.
2. Father gifts a house to daughter via registered gift deed with her acceptance. House
excluded from father's intestate property; daughter owns outright
 GIFTS IN CONTEMPLATION OF DEATH
INTRODUCTION
In law, transfer of property after death is usually done through a will or by the rules of intestate
succession. However, there are certain situations where a person, expecting death due to
illness or danger, may wish to transfer property immediately without going through formal
procedures. To deal with such cases, the law recognizes a special type of transfer known as a
gift in contemplation of death or donatio mortis causa, governed by Section 191 of the Indian
Succession Act, 1925.
This type of gift is unique because it combines features of both a gift and a will. It is made
during the lifetime of the person but becomes effective only upon their death. If the person
survives, the gift does not take effect. Thus, it provides a flexible and practical method of
transferring movable property in urgent situations, while still ensuring that the intention of
the person is respected.
Section 191 – Gift in Contemplation of Death (Donatio Mortis Causa)
Section 191 of the Indian Succession Act, 1925 deals with gifts made in contemplation of
death, also known as donatio mortis causa. It refers to a situation where a person, expecting
that they may die soon due to illness or danger, gives movable property to another person.
The intention behind such a gift is that it should take effect only if the person actually dies
from that expected cause.
This type of gift is special because it is conditional. It becomes valid only if the donor dies from
the illness or situation they were expecting. If the donor survives or changes their mind before
death, the gift automatically becomes invalid, and the property must be returned. Thus, it is
different from a normal gift, which is final, and also different from a will, which takes effect
only after death but requires formalities.
For such a gift to be valid, certain conditions must be fulfilled. The gift must relate only to
movable property, and there must be delivery of possession to the person receiving the gift.
The donor must clearly make the gift in expectation of death, and it should not be made
casually. These requirements ensure that the gift is genuine and intended.
This provision helps in transferring property easily in urgent situations and may avoid the usual
process of succession. However, the law carefully checks such gifts to ensure there is no fraud
or misuse.
The Indian Succession Act, which governs how a person's estate is handled after their death,
includes rules for these types of gifts. It ensures that the gift is valid and was truly intended
by the person before they died.
Features of Gift in Contemplation of Death (Donatio Mortis Causa)
1. Anticipation of Death
The donor must make the gift while genuinely expecting death in the near future. This
expectation usually arises due to serious illness, old age, or a dangerous situation. The belief
of death should be real and not vague or imaginary. The gift is made because the person
feels they may not survive. KEY POINT: Gift must be made with a clear expectation of death.
2. Conditional Nature of Gift
The gift is conditional and not absolute. It becomes effective only if the donor actually dies
from the illness or cause they were expecting. If the donor survives or dies due to some
other reason, the gift becomes invalid. Thus, the gift depends completely on the happening
of death. KEY POINT: Gift is valid only on death of the donor.
3. Delivery of the Gift
There must be actual delivery of the movable property or the means to obtain it, such as
keys, documents, or certificates, to the donee during the donor’s lifetime. Mere intention to
give is not enough. Delivery proves that the donor has parted with control over the property.
KEY POINT: Delivery is essential for a valid gift.
4. Revocability
The donor has full right to revoke or cancel the gift at any time before death. If the donor
recovers from illness or changes their mind, the gift automatically becomes void. The
property then returns to the donor, showing that the gift is not final until death occurs.
KEY POINT: Gift can be revoked anytime before death.
5. Legal Nature
This type of gift is a mix between a normal gift and a will. Like a gift, it is made during
lifetime, but like a will, it takes effect only after death. It does not require formalities such as
writing or probate, making it a simple but legally recognized transfer.
KEY POINT: It combines features of both gift and will.
6. Subject Matter of Gift
A gift in contemplation of death can only be made of movable property, such as money,
jewellery, or personal belongings. Immovable property like land or buildings cannot be
transferred under this rule. This restriction ensures simplicity and avoids legal complications.
KEY POINT: Only movable property can be gifted.

Example: A person seriously ill gives his gold chain and locker key to a friend saying, “Keep
this if I die.” If he dies, the gift is valid; if he recovers, the property must be returned.
Illustration:
1. A terminally ill person delivers a watch/ bank note to B, instructing retention upon A's death
from the illness. A dies accordingly; B takes absolute ownership.
2. Delivery of a bank locker key and gold chain to a daughter, with instructions to keep them
if the donor doesn't survive the illness; donor dies from it, the gift is valid due to clear
contemplation, possession transfer, and matching death cause.
3. A being ill and in expectation of death, puts aside certain articles in separate parcel and
marks upon the parcels respectively the names of B and C. The parcels are not delivered during
the life of A. A dies of the illness during which he set aside the parcels. B and C are not entitled
to the contents of the parcels.
Commissioner of Gift Tax v. Abdul Karim Mohd.
Facts: The donor, suffering from serious illness, made a gift of movable property while
expecting death (Marz-ul-Maut). The property was delivered to the donee during his
lifetime. A dispute arose whether this gift was valid and whether it would be subject to gift
tax.
Judgment: The court held that the gift was a valid gift in contemplation of death under
Section 191 principles. It confirmed that all conditions were satisfied—expectation of death,
delivery of movable property, and proper intention. Therefore, the gift was valid and eligible
for exemption, but it would fail if the donor had recovered or died due to another cause.