The government has taken an initiative to amend The Transfer of Property Act, 1882 to protect the rights of parents, grandparents and spouses who transfer their property as gifts, allowing them to retain the right to use and enjoy the property throughout their lifetime.

The proposed amendment seeks to address a common concern among property donors that they may lose access to their own homes and other properties after transferring them to their children or other family members.

To this end, the 'Transfer of Property (Amendment) Bill, 2026' has been placed before the Jatiya Sangsad.

If passed, the bill will provide legal recognition to the donor's right to use and enjoy the property throughout their lifetime in cases of gifts made between specified blood relatives and between spouses.

Behind the proposed legislation is an important humanitarian consideration - transferring property should not mean that a parent loses access to their familiar home, homestead or the security of their way of life.

Although there are various legal mechanisms for gifting property at present, The Transfer of Property Act, 1882 contains no specific provision allowing a donor to transfer a property while retaining the right to use and enjoy it during their lifetime.

As a result, elderly parents sometimes face uncertainty over their own security while seeking to secure the future of their children or other close relatives.

The proposed legislation seeks to address this legal gap.

Law, Justice and Parliamentary Affairs Minister Md Asaduzzaman introduced the bill on August 27, the first day of the third session of the Jatiya Sangsad.

It was subsequently sent to the relevant parliamentary standing committee for scrutiny. Deputy Speaker Barrister Kaysar Kamal asked the committee to submit its report within two working days.

The bill proposes inserting new Sections 122 (Ka) and 122 (Kha) into The Transfer of Property Act, 1882.

Through these provisions, the bill seeks to recognise the transfer of property while retaining the donor's "right to use and enjoy the property for life" as a distinct mode of transfer.

Under the proposed provisions, parents would be able to gift property to their children or grandchildren, while children and grandchildren would also be able to make such gifts to their parents or grandparents. Similar transfers would also be permitted between spouses.

However, in the case of immovable property, such gifts would have to be made through a registered deed.

The key feature of the proposed law is that a donor would retain the right to use and enjoy the property for life even after gifting it.

Thus, parents would not lose access to their home or property simply because they have transferred it to their children or other close relatives.

For instance, if a father gifts his only house to his child while retaining his lifetime right to use and enjoy it in the deed, he could continue living in and enjoying the house until his death. The right would remain valid even if the child dies before him.

The proposed law also allows the arrangement to be changed in special circumstances.

If a genuine financial, medical, educational, family or other need arises, the donor and recipient may, by mutual consent and through a registered deed, modify, revoke or otherwise manage the lifetime right.

If either party is a minor, missing, mentally incapacitated or otherwise legally incapable, the necessary changes may be made with the approval of the District Judge.

In such cases, the court will consider whether the concerned persons have been duly notified, whether necessary inquiries have been conducted and whether the application has been made in good faith.