A parental gift cannot be revoked, unless it is deemed to constitute a donation. This may happen when the gift exceeds a reasonable measure or does not serve to create the child’s financial independence. In such cases, revocation is possible under the conditions applicable to donations.
According to Article 505 of the Civil Code, “the donor has the right to revoke the donation if the donee has shown serious misconduct by being ungrateful towards the donor, the donor’s spouse, or a close relative, and especially if the donee failed to fulfill the obligation to support the donor.” Ungratefulness by the donee is always judged based on the factual circumstances, with case law accepting that ungratefulness includes, for example, the donee’s indifferent neglect of the donor’s welfare, especially when the donor requires care and support, as well as contemptuous behavior by the donee towards the donor in word or deed (Supreme Court Decision 58/2022).
However, such grounds for revocation are not provided in the case of a parental gift, which is generally irrevocable. The only circumstance under which the transfer of an asset via parental gift can be revoked is if the transaction is judged to be partly or entirely a donation rather than a parental gift.
It is noted initially that, in order for the transfer of an asset from parent to child to be considered a parental gift, according to Article 1509 of the Civil Code, the gift must have been made either for the creation or maintenance of economic or family independence, or for the start or continuation of a profession. Therefore, if the overall circumstances show that none of the above cases applies, the transfer will be regarded entirely as a donation and, as such, will be subject to full revocation if the donee is deemed ungrateful, according to the provisions outlined above.
Furthermore, according to Article 1509 of the Civil Code, even if the above conditions apply, the parental gift is considered a donation to the extent that it exceeds the reasonable measure imposed by the circumstances. The reasonable measure is assessed each time based on factors such as the economic condition of the parent, their social status, the number of children, the age and needs of each child, and generally the living conditions of the parent and children. In this case, the parental gift will be treated as a donation not in full, but only to the extent that it exceeds the necessary measure, and regarding this excess part, the parent-donor may revoke it.
