Questions on Transfer of Property Act for CLAT PG 2026- PART II

1. In a conditional transfer, when the condition is impossible to fulfill, the transfer:

a. Remains valid regardless
b. Becomes void
c. Converts into absolute transfer
d. Passes to heirs of transferee

Correct answer: b
Explanation: Under Section 25, a transfer dependent on an impossible condition is void.

2. Which transfer becomes void if the transferor intends to defeat or delay creditors?

a. Transfer under will
b. Sale to a relative
c. Transfer under Section 53
d. Lease under rent control

Correct answer: c
Explanation: Section 53 addresses fraudulent transfers made with the intent to defeat or delay creditors, rendering them voidable.

3. A transfer without consideration is known as:

a. Mortgage
b. Gift
c. Sale
d. Exchange

Correct answer: b
Explanation: A gift is defined in Section 122 as a voluntary transfer of ownership without consideration.

4. Which of the following is not required for a valid sale under the Act?

a. Consideration
b. Delivery of possession
c. Written instrument
d. Transfer of ownership

Correct answer: b
Explanation: While ownership must be transferred by a registered instrument for immovable property, possession is not a legal requirement.

5. Under Section 41, a transfer by an ostensible owner is valid when:

a. Owner has no possession
b. Transfer is made with real owner’s consent
c. Owner is a minor
d. Transfer is not registered

Correct answer: b
Explanation: The law protects a transferee who relies on an ostensible owner’s authority when the real owner has allowed such appearance.

6. When does a lease of immovable property require registration?

a. If term exceeds 11 months
b. If rent exceeds ₹100
c. If term exceeds one year
d. If lessor insists

Correct answer: c
Explanation: Section 107 mandates that leases for more than one year must be registered.

7. The concept of “notice” under Section 3 includes:

a. Actual notice
b. Constructive notice
c. Implied notice
d. All of the above

Correct answer: d
Explanation: All three types of notice: actual, constructive, and implied—are legally recognized under the Act.

8. A transfer in lieu of debt is best categorized as:

a. Sale
b. Exchange
c. Gift
d. Mortgage

Correct answer: a
Explanation: Such a transfer is treated as a sale because the discharge of debt serves as consideration.

9. A contingent interest becomes vested:

a. Upon execution of the deed
b. Immediately
c. On happening of the contingency
d. On lapse of 12 years

Correct answer: c
Explanation: Section 21 states that a contingent interest matures only when the specified condition occurs.

10. Who can file a suit under the doctrine of part performance?

a. Transferor
b. Transferee in possession
c. Registrar
d. Government

Correct answer: b
Explanation: Section 53A provides protection to the transferee in possession who has partly performed the contract.