
In the context of property law in Nepal, the term “property” is defined broadly to include not only physical goods and money but also services or actions that hold economic value. Any cash, goods, or work is legally recognized as property if it can be used, bought or sold, transferred in ownership, or if any kind of benefit or advantage can be derived from it. This inclusive definition ensures that both tangible assets (like land, houses, and vehicles) and intangible forms of value (such as money, intellectual work, or services) are protected under the law. It establishes a legal foundation for recognizing ownership, enabling transactions, and securing the rights of individuals and entities over a wide range of valuable items or actions.
Classification of Property
The Muluki (National) Civil Code, 2074 of Nepal classifies property into two main categories: movable and immovable, irrespective of whether the property is physical or non-physical, or tangible or intangible (Section 252). This broad interpretation allows both material and abstract assets to be recognized under the legal definition of property.

Immovable Property (Section 253)
Under Section 253 of the Code, the following are deemed immovable properties:
- Land, buildings, and structures attached to land,
- Goods permanently affixed to land or buildings,
- Mines, stones, or minerals embedded in the land,
- Surface water, underground water, and natural water bodies,
- Permanently built floating structures (such as houses or platforms on rivers or lakes),
- Standing trees, fruit trees, plants, flowers, and crops growing on land,
- Movable goods that are permanently affixed to immovable property.
However, if such structures or goods are detached from the land, they are then legally considered movable property (Sub-section 2).
Movable Property (Section 254)
Section 254 outlines the following as movable properties:
- Cash, foreign currency, or goods exchangeable as money,
- Gold, silver, ornaments, jewelry, and precious stones,
- All other goods that can be moved, except those defined as immovable,
- Bonds, securities, promissory notes, letters of credit, and negotiable instruments,
- Intellectual property rights (e.g., copyright, patent, trademark),
- Rights held in security or collateral,
- Trade goodwill or franchise rights,
- Any other asset that does not fall under the category of immovable property.
Classification of Property Based on Ownership
In addition to distinguishing property as movable or immovable, the Muluki ( National) Civil Code, 2074 also classifies property based on ownership structure and mode of use. According to Section 255, property in Nepal is categorized into the following types:
- Private Property : This refers to property that is solely owned and controlled by an individual or a legal entity. The owner holds exclusive rights to use, enjoy, transfer, or dispose of the property.
- Property in Common: Property held collectively by two or more individuals, where each person has a specific share and can use their portion independently unless otherwise agreed.
- Joint Property: Property owned jointly by multiple persons (such as family members or co-owners) where the ownership is collective and not divided into specific shares unless partitioned.
- Community Property: Property used collectively by a particular community or group, often held for cultural, religious, or customary purposes, and managed according to traditional norms.
- Public Property: Assets that are intended for the use and benefit of the general public, such as roads, public parks, rivers, and government-established facilities.
- Government Property: Property owned and managed by the Government of Nepal for administrative, developmental, and national purposes, including government offices, infrastructure, and natural resources.
- Trust Property: Property legally held by a trustee on behalf of a beneficiary or for a specific purpose (e.g., charitable, religious, or educational objectives). The trustee has a duty to manage the property according to the terms of the trust.
Private Property under the Muluki (National) Civil Code, 2074
According to Section 256 of the Muluki (National )Civil Code, 2074 of Nepal, private property refers to any property owned by an individual and any income or benefits derived from it. Such property is under the exclusive control of the owner, who has the right to use, manage, and dispose of it freely, subject to applicable laws.
Detailed Categories of Private Property:
- Property Earned Through Knowledge, Skills, or Effort:
This includes assets or income that a person acquires through their own personal abilities, labor, or expertise.
Example: Salary from employment, profits from a business, or income from professional services. - Property Acquired by Donation, Bequest, or Succession:
Property received as a gift, through a will, or inherited from deceased relatives is considered private property.
Example: Land or money inherited from parents or relatives. - Property Acquired Through Lottery or Gift:
Any property obtained by winning a lottery or receiving as a gift from others also qualifies as private property. - Property Acquired Through Remuneration and Social Security Benefits:
This category includes earnings such as wages, gratuities, pensions, medical allowances, provident funds, insurance claims, and other social security benefits. - Property Acquired Through Intellectual Property or Royalties:
Earnings or assets arising from intellectual creations, such as copyrights, patents, or royalties are recognized as private property. - Property Acquired While Living Separately:
If a person lives separately from the family by arranging their own accommodation and bearing expenses independently the property they acquire during that period is considered private property, even if they are not legally separated. - Property Earned or Received by a Woman Before Marriage or from Her Parental Side:
Property that a woman acquires before marriage, or receives from her parents at the time of marriage, is regarded as her private property. - Property Granted to a Woman by Her Husband or With the Consent of His Relatives:
Property given to a woman by her husband, or property received from the husband’s relatives or friends, especially when it is granted with the understanding that she has exclusive ownership is classified as her private property. - Other Property Recognized by Law as Private Property:
Any other property that the law explicitly declares to be the exclusive private property of an individual also falls under this category.
Exclusive Rights Over Private Property:
Sub-section (2) of Section 256 states that an individual has the exclusive right to manage, use, sell, or otherwise deal with their private property, in accordance with the provisions of the law.
Conclusion
The Muluki (National) Civil Code, 2074 provides strong legal recognition and protection of private property in Nepal. By clearly defining how private property can be earned, acquired, or inherited, and by ensuring individuals especially women have exclusive rights over it, the law upholds personal ownership and promotes economic independence and legal certainty.