Step 1: Understanding the Question:
The question is based on Section 10 of the Transfer of Property Act, 1882, which deals with restraints on alienation.
We need to identify the correct statement regarding conditions that restrain the transfer of property.
Note: This question was cancelled in the official answer key due to structural ambiguities, but we will provide the correct legal interpretation.
Step 2: Detailed Explanation:
• Section 10 of the Transfer of Property Act, 1882: This section states that where property is transferred subject to a condition or limitation absolutely restraining the transferee from parting with or disposing of his interest in the property, the condition or limitation is void.
• Restraint on Alienation vs. Validity of Transfer: Crucially, Section 10 declares the condition void, not the transfer itself.
The transfer of property remains perfectly valid, while the restrictive condition is severed and ignored.
Statement (A) says "declares such transfer void", which is incorrect, as only the condition is void.
• Absolute vs. Partial Restraint: Section 10 only invalidates conditions that absolutely restrain the transfer.
Partial restraints (e.g., restricting transfer to a specific family or for a limited reasonable time) may be legally valid.
Thus, statement (B) is a legally correct statement.
• Conditions Precedent and Subsequent: While conditions in transfers can generally be precedent or subsequent (under Section 25 to 34), Section 10 specifically targets absolute restraints on alienation as void conditions.
Step 3: Final Answer:
The correct legal statement is that only conditions absolutely restraining transfer are declared void, making Option B the most appropriate option.