How is a property legally defined in India? What are its various types? This guide will discuss all aspects of a property.
What is property?
Section 2(c) of the Benami Transactions (Prohibition) Act, 1988 defines property as property of any kind, movable or immovable, tangible, or intangible, and includes any right or interest in such property. Section 2 (11) of the Sale of Good Act, 1930 defines it as general property in goods, and not merely a special property.
Types of property
Property can largely be separated into following brackets based on its physical existence, life span, character, etc.
Tangible property and intangible property
This distinction in property is based on its physical existence. A property that can be touched or felt is tangible property while one that can’t be touched or felt is intangible property. While land, buildings, cars, and jewellery, etc., are tangible properties, trademarks, patents, copyrights, franchises, stock and bond certificates, software, securities, etc., are all intangible properties.
Corporeal and incorporeal property
The right of ownership in material things that can be touched and seen is known as corporeal right. All tangible properties are corporeal properties. The right of ownership in immaterial things is known as an incorporeal right. So, all intangible properties are incorporeal properties. It is also known as conventional and intellectual property.
All corporeal properties can be further divided into following categories:
- Personal property and real property
- Movable property and immovable property
See also: What is a house property? What are its many types?
Movable property and immovable property
Movable property: A property that can move will be put into this category. Apart from this explanation, several laws in India define the term movable property.
Section 3(36) of the General Clauses Act defines it as property of every description, except immovable property. Section 2 (9) of the Registration Act, 1908 says moveable property includes standing timber, growing crops, and grass, fruits, and juice in trees, and property of every other description, except immovable property. According to Section 22 of IPC, moveable property includes corporeal property of every description, except land and things attached to Earth or permanently fastened to anything, which is attached to Earth.
Immovable property: Immovable property is one that moves, including land and buildings. However, many central laws have defined the term more specifically. Section 2(6) of the Registration Act, 1908, defines immovable property that includes land, buildings, hereditary allowances, rights to ways, lights, ferries, fisheries, or any other benefits arise out of land, and things attached to Earth, or permanently fastened to anything attached to Earth but not standing timber, growing crops, nor grass.
According to Section 3(26) of the General Clauses Act 1897, immovable property includes land, benefits arise out of land and things attached to Earth or permanently fastened to anything attached to Earth. According to Section 3 of the Transfer of Property Act, immovable property does not include standing timber, growing crops, or grass.
Personal property and real property
While real property includes interest, land, and fixtures, such as permanent buildings, the leasehold interests in land together with interests in tangible movables, such as goods, animals, or merchandise, and interests in intangibles stocks, bonds or bank accounts were classified as personal property. Personal property, also known as chattels, could be further subdivided into chattels personal and chattels real.
Private property and public property
This distinction in property is based on its ownership. While property owned by an individual or set of people is known as private property, public property is owned by governments. While roads, bridges, flyovers, etc., are public properties, which can be used by anyone, flats and apartments are private properties meant for an individual.
FAQs
What is property?
Property is anything over which one has lawful rights.
What type of property is intellectual one?
Intellectual property is an intangible property.
What kind of property is a land?
Land is a tangible property and an immovable property.
What type of property is a building?
Building is a tangible and immovable property.
What is a tangible property?
Tangible property is one that can be touched and seen. This includes vehicles, industrial equipment, furniture, and real estate.
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