Kashi Prasad v. Chhabi Nath

Facts

• Property was gifted subject to a condition subsequent: if the donee ever sold or mortgaged the property, it would revert to the donor
• The donee mortgaged the property
• The donor's heirs claimed reversion based on the condition

Issue

1. Whether a condition subsequent prohibiting all alienation (sale, mortgage, gift) attached to a gift is valid and enforceable.

Held

• The condition subsequent is void. It amounts to an absolute restraint on alienation, which S.10 declares void. The transferee takes the property free of the condition and can deal with it as absolute owner. The attempted reversion fails.

Ratio Decidendi

S.10 strikes at absolute restraints on alienation regardless of whether they are framed as conditions precedent, conditions subsequent, or standalone clauses. The right of alienation is an incident of ownership; once ownership is transferred, conditions that negate this fundamental right are repugnant and void.