Advocates Act

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    • #189

      If Karta who is a practising advocate, gifts his personal income to his HUF, is there any violation of Advocates Act?

    • #194

      As far as I know, there is no restriction imposed in the Advocates Act, 1961, on an advocate on gifting his property. The Advocates Act is concerned mainly with the professional conduct of the advocate, in addition to their enrolment, qualifications, discipline, etc.

      Under the rules framed under the authority of the Advocates Act, there are certain restrictions placed by the Bar Council on any business being carried on by an advocate while also being engaged in practice as an advocate. But, as far as I have seen, there is no restriction on gifting of his property by an advocate to his relatives or to the HUF of which he is a member. In fact, such a restriction under rules made under Advocate Act may not be permissible since gifting of one’s property is a personal matter which is unconnected with the professional conduct as an advocate. However, if the HUF (of which the Advocate is a Karta and to which the Advocate gifts some property or money) is involved in doing some active business, then you may perhaps have to check the relevant rules / guidelines of your state bar council as to whether there are any restrictions on carrying on of a business by HUF of which the advocate is a karta. Different state bar councils may have different rules in this regard. In such a case, the doing of business may perhaps have to be at least reported to the bar council. As per my information, generally speaking, if you are only a sleeping member (i.e., not conducting the business yourself) of HUF, it may perhaps be permissible; but, you better check from your state bar council. But, in so far as your main question goes, i.e., relating to gifting to property or money to HUF, I don’t think there is any restriction on an advocate gifting his property or money to HUF of which he is Karta.

           


      Dr. Ashok Dhamija is a New Delhi based Supreme Court Advocate and author of law books. Read more about him by clicking here. List of his Forum Replies. List of his other articles. List of his Quora Answers. List of his YouTube Videos.

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