Report No. 110
27.3. Section 168-Completion of testator's title to thing bequeathed to be a cost of his estate.-
This takes us to section 168, quoted below:
"168. Where anything is to be done to complete the testator's title of the thing bequeathed, it is to be done at the cost of the testator's estate.
(i) A, having contracted in general terms for the purchase of a piece of land at a certain price, bequeaths it to B, and dies before he has paid the purchase-money. The purchase-money must be made good out of A's assets.
(ii) A, having contracted for the purchase of a piece of land for a certain sum of money, one-half of which is to be paid down and the other half secured by mortgage of the land, bequeaths it to B, and dies before he has paid or secured any part of the purchase-money. One-half of the purchase-money must be paid out of A's assets."
The section needs no change.
27.4. Section 169 is as follows:
"169. Where there is a bequest of any interest in immovable property in respect of which payment in the nature of the land-revenue or in the nature of rent has to be made periodically, the estate of the testator shall (as between such estate and the legatee) make good such payments or a proportion of them, as the case may be, upto the day of his death.
A bequeaths to B a house, in respect of which 365 rupees are payable annually by way of rent. A pays his rent at the usual time, and dies 25 days after. A's estate will make good 25 rupees in respect of the rent."
27.5. The principle is that in case of bequests of an immovable property, the rents and taxes in respect of that property upto the time of the testator's death, should be paid out of the testator's estate, and the taxes etc. after the death of the testator should be paid by the legatee. The same rule of apportionment is laid down in the Transfer of Property Act, 18821.
Under the section in the Succession Act, it is the land revenue and rent that are directed to be apportioned. Under the Transfer of Property Act, the apportionment applies to rent, annuities, pensions, dividends and other periodical payments.
1. Section 36, Transfer of Property Act, 1882.