The Indian Succession Act, 1925
§154 — Ademption of specific bequest of right to receive something from third party
Where the thing specifically bequeathed is the right to receive something of value from a third party, and the testator himself receives it, the bequest is adeemed. Illustrations (i) A bequeaths to B-- "the debt which C owes me": "2,000 rupees which I have in the hands of D": "the money due to me on the bond of E": "my mortgage on the Rampur factory." All these debts are extinguished in A's lifetime, some with and some without his consent. All the legacies are adeemed. (ii) A bequeaths to B his interest in certain policies of his life assurance. A in his lifetime receives the amount of the policies. The legacy is adeemed.