Exchange as a Mode of Transfer

Section 118 to 121 of the Transfer of Property Act, 1882 deals with exchange. A transaction is an exchange transaction when

• There are two people involved in the transaction
• There should be transfer of ownership of one thing with another
• The ownership of a thing should not be transferred in exchange of money

An exchange deed has to be written, has to be registered, and stamp duty as a conveyance of similar value is applicable.