Acquisition by Gift Flashcards
Definition of gift
A present transfer that is voluntary, free, unconditional, and without payment or consideration of any kind.
3 requirements
- donor must intend to make a present transfer of existing interest in the property
- donor must deliver possession to the donee with the manifested intent to make a gift
- acceptance (courts tend to presume)
types of delivery
actual: preferred if it’s capable
constructive: handing over a key or some object that will open up access to the subject matter of the gift
symbolic: something symbolic of the property given. but traditional rule is if something can be handed over it must be
Intervivos
the most common form of gifts
-requires intent to give and is irrevocable
causa mortis
- requires intent to give and evidence of delivery
- revocable (if donor lives; some courts may hold that recovation occurs only if donor elects to revoke upon recovery)
- made in contemplation of and in expectation of fear o immediate approaching death
Newman v. Bost
Facts
Van Pelt called housekeeper, P, into bedroom on his deathbed. Gave her the keys to the house and various objects and expressed desire that she have everything in the house, point to bedroom and other furniture. Bedroom bureau could only be unlocked by keys and contained 3k life insurance policy. Executor to Ds estate attempts to retain possession and P seeks (1) 3k life insurance policy (2) $ for household property (3) $ for burned piano in previous residence (4) $ for bedroom furniture
Newman v. Bost
Holding
No life insurance policy but $ for household property and bedroom furniture.
Newman v. Bost
Reasoning
Life insurance policy not actual gift bc it couldve been delivered physically. $ for household property r’able bc keys could unlock it. $ for piano if P can prove delivery. $ for bedroom furniture bc delivery satisfied since it was moved into P’s room.
INTENT IS EVERYTHING
Newman v. Bost
Rule
Where chattels are present and capable of manual delivery, there must be actual delivery. if not possible to manually deliver or chattels not present at time of gift, constructive will suffice where intent to make gift plainly appears.
Gruen v. Gruen
Facts
Gruen bought painting and on sons 21st bday he wrote him a letter giving him the painting but retaining possession during life. Upon death of father P claimed painting but stepmother refused. P never took possession of painting that his father kept for tax purposes during life.
Gruen v. Gruen
Holding
There was a valid gift of the painting.
Gruen v. Gruen
Reasoning
Intent to donate found here bc distinction b/w ownership and possession. There was intent in the letter to make a present transfer of the title in painting, but maintain a life estate in the painting. Test is whether there was an intent to make a present transfer of some interest. Delivery was constructive bc actual delivery was impracticable.
Gruen v. Gruen
Rule
A gift of future interest can be made by constructive delivery w/o physical delivery. A valid gift requires a present transfer but not necessarily of possessory interest.
