New Delhi, Oct. 9 -- The Supreme Court has reiterated that for a valid oral gift (hiba) under Mohammedan Law, three essential conditions must be fulfilled (1) a clear declaration by the donor of the intention to give, (2) acceptance of the gift by the donee, and (3) delivery of possession, either actual or constructive, of the property gifted.

A Bench of Justice Ahsanuddin Amanullah and Justice S.V.N. Bhatti clarified that a written instrument is not necessary to validate an oral gift, and merely reducing such a gift into writing does not make registration mandatory.

Referring to Section 129 of the Transfer of Property Act, 1882, the Court observed that gifts made under Mohammedan Law are exempt from the registration requirement applicabl...