In Bangladesh, one common problem faced by parents is making sure that their daughters get the desired amount of portion of the property. For example, if a Muslim father or mother wants to make sure that their daughter receives an equal portion of the property like their son or get the full property when they do not have a son, the only way to do this is by a gift. However, under the existing law, once the gift deed is registered, the daughter becomes the owner immediately and technically they can be thrown out.
To address this, the parliament has passed the Transfer of Property (Amendment) Act, 2026 in parliament to provide legal protection for donors who gift property while intending to retain the right to use, or enjoy it for the rest of their lives.
The Act has inserted new Sections 122A and 122B into The Transfer of Property Act, 1882, creating for the first time a codified mechanism for a gift of property that reserves the donor’s right to lifetime enjoyment of that property. This type of the transfer of property under this section is a distinct mode of transfer and it does not limit or affect the validity of ordinary gifts, Heba, or other legal modes of transfer.
The gift must be made by a parent or grandparent to their children or grandchildren or vice versa, or between spouses. If the donee dies before the donor, the donor still retains their rights of usufruct and the gift is not be automatically cancelled, the property is transmitted to the donee’s heir.
The donor cannot unilaterally revoke their gift after registration. However, if a genuine financial, medical, educational, family or other need arises, the donor and recipient may, by mutual consent and through a registered deed, vary, revoke, or otherwise deal with the rights created under section 122A of the act. Where one party’s consent cannot be obtained (due to minority, disappearance, unsoundness of mind, legal incapacity, or other sufficient cause), the District Judge may, on application by the other party, approve variation or revocation on the same grounds. Before making such an order, the District Judge must give notice to all interested persons, conduct any inquiry considered necessary, and be satisfied that the application is made in good faith.
Why It Matters
A common arrangement in Bangladeshi families is for a parent to transfer property to a child while intending to continue living in, or drawing benefit from that property for the rest of their life. Under the existing law, there is no specific provision allowing a donor to transfer property while retaining the right to use and enjoy it during their lifetime. Consequently, elderly parents have often had to risk their own security in trying to secure a safe future for their children and family members. This is especially significant for parents with only daughters, who previously had to relinquish all rights over their property through Heba in order to secure their daughters’ full inheritance rights. This Act directly addresses that gap. Once passed, it will allow donors, specially where parents seeking to protect their daughters’ inheritance, to gift property to their beloved ones while legally retaining the right to enjoy it until their death.
Possible Future Complications
Although this change brings significant benefits, its implementation may give rise to certain complications. Specifically, the act does not clarify the liabilities arising from the transferred property. If any liability stems from the gifted property, it remains unclear who may bear it: the donor, who continues to enjoy the property, or the new owner of the land. This ambiguity may likely become a central point of future dispute, though courts may resolve the issue over time through judicial interpretation.
Additionally, another possible complication may arise by the deed writers. Generally, deed writers are habituated to using the term “Heba” in such matters. The Act, however, makes clear that a transfer under Section 122A is a distinct mode of transfer from a gift, Heba, or any other mode of transfer. If deed writers continue to use the term “Heba” while also stipulating lifetime usufruct rights, conflicts of interpretation may arise, since Heba and a gift under section 122A are legally distinct modes of transfer. However, greater public awareness can help minimize this risk of conflict.
Conclusion
The Transfer of Property (Amendment) Act, 2026 fills a long-standing gap in Bangladesh’s property law by allowing donors to gift their property while legally securing their own right to enjoy it for the rest of their lives. For elderly parents, and particularly for those with only daughters, this offers a long-awaited way of protecting their children’s inheritance without having to risk their own future security.