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Consider the following statements regarding the doctrine of election: Statement I: Under Indian Law…

Under section 35 of the Transfer of Property Act, 1882 an owner who dissents generally relinquishes the benefit conferred by the same transaction. The benefit reverts to the…

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Consider the following statements regarding the doctrine of election:
Statement I: Under Indian Law (Section 35 of the Transfer of Property Act, 1882), the doctrine of election operates exclusively on the principle of compensation and not forfeiture of the benefit conferred.
Statement II: Under English Law, the doctrine of election operates on the principle of forfeiture or confiscation rather than compensation.
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Correct answer D

Under section 35 of the Transfer of Property Act, 1882 an owner who dissents generally relinquishes the benefit conferred by the same transaction. The benefit reverts to the transferor or representative. A charge for the disappointed transferee applies where the attempted transfer was for consideration or, for a gratuitous transfer, where the transferor died or became incapable of making a fresh transfer before the election. The corresponding English equitable principle generally uses the benefit to compensate the disappointed recipient. Neither statement is correct.

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Option A

Section 35 generally requires relinquishment of the benefit on dissent. A charge in favor of the disappointed transferee applies only in the circumstances set out in that section.

Option B

The English equitable principle generally requires compensation from the benefit rather than confiscation of it as a penalty.

Option C

The Indian rule generally requires relinquishment and has a conditional compensation charge. The English principle generally requires compensation.

Option D

Both descriptions are inaccurate. The Indian statute generally requires relinquishment on dissent, and the English principle generally provides for compensation.

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