According to Georgian legislation, under a gift agreement, the donor transfers property to the donee free of charge, with the latter’s consent. Accordingly, a gift agreement is a type of contract for the gratuitous transfer of property ownership.
What form is required for concluding a gift agreement?
A contract regarding movable property is considered concluded from the moment of transfer of the property, whereas in the case of immovable property, it is considered concluded from the moment of registration of the ownership right defined by the contract in the Public Registry. A gift agreement may be concluded either in notarial form or in simple written form. In the latter case, the signatures of the parties on the contract are certified by an authorized person of the House of Justice or the National Agency of Public Registry.
What does the validity of a gift agreement depend on?
The parties may stipulate that the validity of the gift agreement depends on the fulfillment of a certain condition or the achievement of a specific purpose. This purpose may also be of public benefit (donation). If the donee fails to fulfill the condition, the donor may refuse the contract.
Does a gift agreement create any obligations?
A gift obligation may also arise from a promise to give a gift. It is established that a promise to give a gift creates a gift obligation only if it is made in written form. A promise to give a gift is a preliminary contract that obliges a person to conclude a contract in the future, which will be executed by the transfer of the item.
In what cases can a gift agreement be revoked?
As for the revocation of a gift agreement, the contract may be revoked in accordance with the procedure established by Georgian legislation, if the donee seriously insults or shows great ingratitude towards the donor or their close relative.
How are insult or ingratitude defined in legislation?
The law does not directly define what may be considered a serious insult or great ingratitude that would justify the revocation of a gift agreement. Accordingly, the court is obliged, in each specific case, to determine the degree of the donee’s ingratitude and must decide whether the donee’s action constitutes immoral or reprehensible conduct, which may be assessed as a serious insult or manifestation of ingratitude, thus giving rise to grounds for revocation of the gift. In itself, “serious insult” and “great ingratitude”, i.e., ungrateful behavior, are evaluative categories determined by the court based on the correlation of circumstances.
