If you are thinking of buying property in the name of your wife, then now you have to seriously understand the legal aspects first. The recent decision of the Allahabad High Court has made it clear that if the husband buys property in the name of the wife from his income, then it will not be considered the personal property of the wife, but the joint property of the family.
What did the court say?
The Allahabad High Court said in a family dispute case that if the wife does not have an independent source of income, then the property purchased by the husband will be considered the property of the family. This decision was given under Section 114 of the Indian Evidence Act, in which it is assumed that the husband buys property in the name of the wife in the interest of the family.
What has changed?
Now if the husband buys property in the name of the wife from his income, then it will not automatically be considered the personal property of the wife. According to the recent decision of the court, if the wife is unable to prove that the property has been purchased from her own income, then that property will be considered to be of the husband. In such cases, the transfer or sale of the property can be stopped until the true ownership is clear. This decision will be especially applicable in situations where there is no will and a family dispute arises over property.
Why is this decision important?
In India, husbands often buy property in the name of their wives to get exemption in stamp duty. But now it has become clear that doing so can increase legal complications in case of a dispute. This decision is also important for women who are housewives and do not have any source of income.