Property transferred through gift deed
I had purchased a site before marriage (both agreement and payments are in my name) and later I registered it in my wife's name. Later due to personal commitments, I executed the gift deed and registered it to my name. Then under the ill instigation by my in laws, my wife filed a civil suit to cancel the gift deed but by that time khatha and other docs were transferred to my name and even before I received the court order, I executed the gift deed of the same in my mother's name but khatha and transfer of other documents are on hold due to the case? Suggest as of now who legally who owns the site? Do we need to wait till the site dispute is settled in the court OR can we sell the property OR build on it?
As of now, you are the rightful and lawful owner of the property. As per the fact, your wife has filed for revocation/cancellation of the gift deed on a general stand. She can cancel the same (gift deed) only on the following grounds:
- Coercion; it is an act when a man, by physical force compelled to do an act contrary to will
- Force; it means anything that shows or proves an unlawful or wrongful action
- Undue influence; an influence that is immoral or use of one’s position to alter the will/ decision of others.
- Conditional revocation/cancellation; the donor (who gives the property or who gifts) and donee (who receives or takes the gift) may agree that on the happening of any specified event, the gift deed can be suspended or revoked. But a gift deed, which the parties agree shall be revocable wholly or in part, at the mere will of the donor, is void wholly or in part, as the case may be. i.e if a gift deed is based upon a condition, and on the happening of that event only that the gift deed can be revoked/canceled.
- Contract: also if there is a contract between the parties (i.e your wife and you) that you would be providing some consideration in lieu of the property and you haven’t paid the same, then she can revoke the gift deed
Until and unless your wife can prove, in the court that she executed the deed in your name, due to any of the above-mentioned grounds, the property will be in your possession and ownership. She needs to prove that the deed was either conditional or forceful.
However, till the time the court does not give his verdict, neither you nor your wife can sell the property or build anything on it, as it is a disputed property and it is the subject matter of the case/suit, there can’t be any disposition of the property. 
Moreover, you cannot transfer the property or register to same in the name/title of your mother till the case is not settled in the court.
 Section 126 of Transfer of property act 1882
 Section 52 of Transfer of property act 1882: doctrine of Lis Pendens; Transfer of property pending suit relating thereto : During the pendency in any court having authority, any suit or proceedings which is not collusive and in which any right to immovable property is directly and specifically in question, the property cannot be transferred or otherwise dealt with by any party to the suit or proceeding so as to affect the rights of any other party thereto under any decree or order which may be made therein, except under the authority of the court and on such terms as it may impose.
Same was held in Thomas Press India Ltd v. Nanak Builders & AMP; investors Pvt Ltd & AMP: Ors, 2013
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