On analysing these definitions, we find that the essential features of a gift are that there must be a transfer of ownership and there must not be any consideration in lieu of such transfer. The characteristic features of a gift (Hiba) are given below:
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(1) Gift is a transfer of property by act of the parties and not a transfer who takes place by operation of law e.g. inheritance or a transfer under the order of a court. In a gift, a living person voluntarily conveys his properties to another living person.
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(2) Gift is transfer of ownership of any property. The transferor transfers ownership or ‘absolute interest’ in the property and, the transferee gets an absolute interest or complete title in respect of the property given to him. There cannot be a gift of limited or partial interest of a property.
Transfer of absolute interest also means that transferor cannot impose any condition on transferee after the gift is completed. Conditions, restrictions or incomplete rights in the property gifted, are against the very concept of a gift. Therefore, when such conditions or restrictions are imposed in a gift, the conditions are void and the transferee gets absolute interest as if no conditions were imposed.
(3) In a gift, the transferor intends to transfer the property immediately to the transferee. In other words, gift is a present transfer of property as against a transfer which takes place on a future date or, upon the death of the transferor e.g., the transfer under a will. Moreover, as the property is to pass on immediately to the transferee, it must be in existence at the time when the gift is made. Gift of a future property is void.
(4) Gift is a transfer of property without any consideration. It is against the nature of a gift that something has been given to the transferor for making the gift. Where anything of any value is taken in return or exchange, the transfer is not a gift.