You Might Be Wondering…

• Is a verbal agreement enough between siblings, or is a written contract required?

• Can a donor “take back” a gift if relationships sour?

• How does gifting affect future inheritance?

• And what if one sibling challenges the validity of the gift?

Clients Ask Me

Do we really need to take a sibling gift agreement as seriously as with strangers?
Yes, absolutely. Family ties do not mean you can avoid legal disputes – in fact, conflicts between siblings can be the most painful.

Can a sibling gift be revoked?
Yes, if the donor falls into financial distress or if the recipient behaves ungratefully (for example, deliberately harms the donor).

Does gifting affect inheritance?
Yes, gifts can later be included in inheritance proceedings. That’s why it’s important to have clear documentation, so other heirs don’t dispute it.

Gifting Between Siblings in a Nutshell

• Written form is always required for real estate or items registered in official registries (e.g., cars).

• For movable items, a verbal agreement with delivery may be sufficient, but a written contract is strongly recommended as proof.

• A gift can later be revoked for distress or ingratitude (under Sections 2068 et seq. of the Czech Civil Code).

• For substantial gifts, keep in mind their possible inclusion in inheritance proceedings.

Main Risks and Common Mistakes

1. Relying on verbal agreements for valuable assets – siblings trust each other, but without a written record, disputes can arise.

2. Unclear conditions – for example, not reserving a right of use (easement).

3. Underestimating family dynamics – “a gift is forever,” but relationships can change.

4. Ignoring tax and inheritance implications – even family gifts have legal and financial consequences.

Step-by-Step Process

1. Decide exactly what is being gifted (object, share, real estate).

2. Check whether the law requires written form.

3. Protect your rights with a proper contract (you can add conditions, such as a resale ban).

4. If gifting real estate, file for registration with the Land Registry.

5. Keep the contract – it may be crucial in case of a later dispute.

Real-Life Example

A brother gifted his sister a small plot of land. Years later, their relationship soured – the sister deliberately harmed him, even damaging his property. The brother decided to revoke the gift for ingratitude. Since he had a properly drafted contract and evidence of the sister’s conduct, the court sided with him and the land was returned.

Why to Be Careful with DIY

Many people assume that “in the family, a handshake is enough.” But precisely where property is valuable and relationships are lifelong, disputes tend to be the harshest. An incorrect or incomplete gift agreement can result in lengthy litigation.

Lawyer’s Recommendation

From my experience, the fiercest disputes often arise between siblings. If you are gifting an apartment, a house, a land share, or other valuable property, don’t rely on trust or free templates from the internet. I always recommend:

• a written contract,

• considering conditions in the contract (e.g., resale ban),

• keeping in mind the possibility of revoking the gift.

Checklist for sibling gifts:
✅ Written contract for any valuable property
✅ Conditions set in writing (easement, resale ban)
✅ Awareness of inheritance impact
✅ Legal consultation before signing

FAQ

Can a sibling gift be challenged as invalid?
Yes, for example, if the legal form was not respected or if the donor was coerced into giving.

Is there a gift tax between siblings?
No, siblings are exempt from gift tax. 

Can gifts be considered in inheritance proceedings?
Yes, gifts can be included to prevent unfair treatment of other heirs.