A gift is not legally binding in the UK unless it is made by deed or if it is a gift of land. This means that the donor can change their mind and take the gift back at any time before it is delivered.
When is a Gift Legally Binding?
There are two main exceptions to the rule that gifts are not legally binding:
- Gifts made by deed: A deed is a formal document that is signed, witnessed, and delivered. A gift made by deed is legally binding and cannot be revoked by the donor.
- Gifts of land: Gifts of land must be made in writing and signed by the donor. The gift must also be registered with the Land Registry. Once a gift of land is registered, it is legally binding and cannot be revoked by the donor.
What Happens if a Gift is Revoked?
If a gift is revoked before it is delivered, the donor can simply take the gift back. If the gift has already been delivered, the donor may be able to get the gift back by taking legal action. However, the donor will need to prove that the gift was made under a mistake or that the donor was under undue influence when they made the gift.
Conclusion
In general, gifts are not legally binding in the UK. However, there are two exceptions to this rule: gifts made by deed and gifts of land. If you are considering making a gift, it is important to speak to a lawyer to make sure that the gift is legally binding.
Frequently Asked Questions
Can I get a gift back if I change my mind?
Yes, you can get a gift back if you change your mind before it is delivered. However, you will need to contact the donor and ask them to take the gift back. The donor is not obligated to take the gift back, but they may be willing to do so if you ask nicely.
What happens if I receive a gift that I don’t want?
You are not obligated to keep a gift that you don’t want. You can return the gift to the donor or you can give it to someone else. However, you should not sell the gift or throw it away without the donor’s permission.
What is the difference between a gift and a loan?
A gift is a transfer of property without any expectation of repayment. A loan is a transfer of property with the expectation that the property will be repaid at a later date. If you are not sure whether a transfer of property is a gift or a loan, you should speak to a lawyer.
