Section 11 of The Transfer of Property Act, 1882
Where, on a transfer of property, an interest therein is created absolutely in favour of any person, but the terms of the transfer direct that such interest shall be applied or enjoyed by him in a particular manner, he shall be entitled to receive and dispose of such interest as if there were no such direction. 1[Where any such direction has been made in respect of one piece of immoveable property property for the purpose of securing the beneficial enjoyment of another piece of such property, nothing in this section shall be deemed to affect any right which the transferor may have to enforce such direction or any remedy which he may have in respect of a breach thereof.]
Summary
- It declares that when an interest is created absolutely in favor of any person, any direction in the transfer that it must be applied or enjoyed in a particular manner is void.
- It allows the new absolute owner to receive and dispose of the property as if no such restrictive directions on enjoyment were ever made.
- It provides an exception for neighboring properties, allowing a transferor to enforce restrictions on one piece of land to secure the beneficial enjoyment of another piece of land they own.
Practical examples
FAQ
1. What does Section 11 of the Transfer of Property Act, 1882 say about restrictions on how an absolute interest in property is enjoyed?
Under Section 11 of the Transfer of Property Act, 1882, if an interest in property is created absolutely in favor of a person, any direction in the transfer that it must be applied or enjoyed in a particular manner is void, and the transferee can enjoy and dispose of it as if there were no such direction.
2. Does Section 11 of the Transfer of Property Act, 1882 allow a transferor to restrict how a property is used to benefit another piece of land?
Yes, under the second paragraph of Section 11 of the Transfer of Property Act, 1882, if a direction is made on one piece of immovable property to secure the beneficial enjoyment of another piece of property, the transferor can enforce that direction and seek remedies for its breach.
Test yourself
Q1.Under Section 11 of the Transfer of Property Act, 1882, if a father transfers a farm absolutely to his son with a direction that the son "must only cultivate organic wheat on this land," what are the son's legal rights?
Q2.Under Section 11 of the Transfer of Property Act, 1882, what is the crucial exception under which a restrictive direction on how land is used can be legally enforced?
Q3.Under the Transfer of Property Act, 1882, what is the key distinction between the rules laid down in Section 10 and Section 11?
Q4.Under Section 11 of the Transfer of Property Act, 1882, if a seller absolutely transfers a piece of land to a buyer but directs that the buyer must never build a fence on it, and this restriction does not benefit any other piece of land, what is the legal effect?