Tuesday, 26 November 2013

Leading case law on Guardian appointed by court in relation to person and property of minor



Sudish Prasad v. Babui Jonhia, (2013) 9 SCC 181
Family and Personal Laws
Guardians and Wards
Ss. 20, 37, 27, 29 and 30 - Guardian appointed by court in relation to person and property of minor - Nature of his
relationship and position vis--vis minor - His duties while dealing with property of minor - Dealing with property by way of
sale, mortgage, etc. without permission of court and against the interest of minor - Validity of - Held, guardian stands in
fiduciary relationship to his ward and acts as a trustee - He cannot gain any personal profit by availing himself of his said
position - He is bound to do all acts for protection and benefit of property of ward and must act as carefully as a man of
ordinary prudence would act in his own matter - He cannot deal with said property by way of sale, mortgage, charge or
lease without permission of the court and against the interest of minor - Any such action of guardian dealing with property
against the interest of ward would be voidable under the law [Ed.: except against bona fide purchasers without notice
who have paid valuable consideration: see S. 88 r/w Ss. 95, 96, 63 & 64 of the Trusts Act, 1882; see also at pp.183h-
184a-e, below], (2013) 9 SCC 181-A


Ss. 41(2)(b), (3) & (4) - Guardianship of properties of minor - Discharge of guardian in respect of, on attainment of
majority by minor - When takes place - If a discharge order by court is essential in respect thereof - Whether custody of
properties remains with guardian and he is accountable in respect of said properties till the discharge order is passed by
court - In present case, minor S attained majority and died subsequently - There was no order by court discharging the
guardian, B from guardianship of properties of S - Suit filed against guardian B by sole surviving legal heir of S i.e. his
daughter, claiming title to and possession of the entire properties of S - Allowability of - Persons coming into possession
of property of S after attainment of majority by S by virtue of various transfers/alienations made by the guardian - Claim
made by, as to title and interest in that property by adverse possession - Tenability of - Division Bench of High Court
correctly holding that in absence of any order as to discharge from guardianship, the property of minor remained in
custody of the guardian, and through him it remained custodia legis all throughout - Consequently, it rightly held that
there was no question of anyone acquiring the said property by adverse possession - As per Division Bench, guardian B
was holding the property for benefit of S during his lifetime, and upon death of S for and on behalf of the person who was
entitled to inherit the property of S in accordance with the laws of inheritance - Thus, it further rightly held that B
continued to be in the helm of affairs pertaining to properties of S for the sole benefit of daughter of S after the civil death
of widow of S - Accordingly, High Court decreed the suit in respect of entire properties of S in favour of his daughter
directing discharge of B from guardianship - Held, judgment passed by Division Bench is proper - Hence, affirmed,
(2013) 9 SCC 181-B
Limitation
Limitation Act, 1963
S. 27 and Art. 65 - Adverse possession - Extinguishment of right to property under - Property of minor S - Guardian
appointed under Guardians and Wards Act, 1890 in respect of - No order by court discharging the guardian from said
guardianship, despite attainment of majority by S and his subsequent death - Persons coming in possession of property
of S after attainment of majority by S - Claim made by, as to title and interest in that property by adverse possession -
Untenability of, (2013) 9 SCC 181-C
Property Law
Transfer of Property Act, 1882
Ss. 123 and 9 - Oral gift of immovable property - Held, not contemplated - B, who was appointed to be a guardian of the
person and property of minor S by the court, claimed to have acquired a portion of the suit property alleged to have been
orally gifted to him by S in lieu of his services as guardian - The said claim by way of oral gift, held, has no sanctity in the
eye of the law, (2013) 9 SCC 181-D

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