Legal Definitions - gift inter vivos

A gift inter vivos (pronounced "in-ter VEE-vohs") refers to a voluntary transfer of property or assets made by a living person to another living person, taking effect immediately and irrevocably during the donor's lifetime. The term inter vivos is Latin for "between the living."

For a gift to be considered inter vivos, three main conditions must typically be met:

• The donor (the person giving the gift) must have a clear intention to make an immediate and final transfer of ownership.
• The property must be delivered to the donee (the person receiving the gift).
• The donee must accept the gift.

Unlike gifts made through a will, which only become effective after the donor's death, an inter vivos gift is complete and binding as soon as it is made, and the donor cannot typically revoke it later.

Here are some examples to illustrate this concept:

• Real Estate Transfer: A father decides to help his daughter purchase her first home. Instead of lending her money, he signs a deed transferring ownership of a plot of land he owns directly to her, with no expectation of repayment or future conditions. This is an inter vivos gift because the father, while alive, intentionally and immediately transfers the property to his living daughter, making her the new owner during their lifetimes.

• Financial Contribution: A grandmother wants to ensure her grandson has a strong start after college. She transfers $25,000 from her personal savings account directly into his newly opened investment account, clearly stating it's a gift for his future. This constitutes an inter vivos gift because the grandmother, while living, makes an immediate and irrevocable transfer of funds to her living grandson, giving him full ownership and control over the money right away.

• Valuable Personal Property: An avid art collector decides to downsize his collection. He hands a valuable, authenticated painting to a close friend who is also an art enthusiast, saying, "I want you to have this; it's yours now." This is an inter vivos gift because the collector (donor) is alive, the friend (donee) is alive, and the physical delivery of the painting, combined with the clear intention to transfer ownership immediately, makes it a complete and binding gift during their lifetimes.