Hibah

Hibah is a voluntary transfer of property to someone else during the giver's lifetime, made without expecting anything back.

What it means for me: A hibah is different from charity aimed at need, and different from a will. It takes effect immediately, while the giver is alive. Most scholars hold it is not complete until the recipient actually takes possession.

Example: A father transfers a car's ownership to his adult son as a gift, with the paperwork signed and the keys handed over. Once the son takes possession, the hibah is complete and difficult to reverse.

Do not confuse with: Wasiyyah, a bequest. A hibah moves property now, while its giver is alive. A wasiyyah only takes effect after death, and is capped at a third of the estate.

If scholars differ: Scholars differ on whether a father may reclaim a gift he gave one child without giving the same to the others. They also differ on whether a gift can be revoked at all once the recipient has taken possession of it.