A significant number of individuals overlook the creation of a will for an extended period, and sometimes they pass away without one. This situation is referred to as dying “intestate.” It includes the assets of the deceased person, including those inherited by legal heirs. In such cases, the option of a relinquishment deed comes into play, facilitating a seamless transfer of property, especially when multiple legal heirs are involved. This process also allows for potential separation of the property in the future.
A relinquishment deed constitutes a legal document wherein a legal heir willingly renounces their lawful entitlement to an “inherited property,” transferring this right to other heirs in a spirit of goodwill. When someone passes away without a will, the relinquishment deed becomes a means to transfer ownership. In this blog, we shall understand the relinquishment deed in India in detail.
Key Components of a Relinquishment Deed in India
The key constituents of a relinquishment deed in India are as follows:
1. Registration of Deed
The registration of a relinquishment deed constitutes a crucial step in the legal process, necessitating its formal recording at the relevant sub-registrar office. This mandatory registration is guided by the provisions outlined in Section 17 of the Registration Act, 1908.
2. Legal Rights
Through the instrumentality of a relinquishment deed in India, an heir gains the ability to convey or renounce their inherent legal entitlement to an inherited property. This document stands as a testament to the lawful transfer of such rights.
3. Consideration
The relinquishment of rights can transpire either through a relinquishment deed in India executed for a valid consideration, commonly known as a “Release Deed,” or in some cases, even without any associated consideration.
4. Irrevocable Nature
Remarkably, the irrevocable nature of a relinquishment deed prevails even when executed without any form of consideration. Once relinquished, the release of rights becomes binding and irreversible.
5. Ownership Prerequisite
A vital condition for a relinquishment deed’s validity pertains to the ownership of the property in question. For the deed to hold legal weight, the property must be owned by multiple individuals, thereby establishing the context for a legitimate relinquishment process.
Documents Required for a Relinquishment Deed in India
To ensure the proper execution and legal validity of a relinquishment deed in India, the following documents are required:
1. Legal Documents of the Property
Any relevant legal documents pertaining to the property in question, such as sale deeds, title deeds, gift deeds, partition deeds, etc., must be provided to establish the property’s ownership and background.
2. Registered Documents
Copies of any previously registered documents related to the property, if applicable, to corroborate its legal history and ownership.
3. A Written Document Stating Intention
A written statement outlining the intention to relinquish the rights in the property is a fundamental document for the relinquishment deed.
4. Co-owners Details
Complete particulars of all co-owners of the property, including their names, ages, addresses, and respective ownership shares.
5. Particulars Required for a Release Deed
- Full name, age, and residential address of the releasor.
- Full name, age, and residential address of the releasee.
- Detailed property description, including address, survey number, and any registration details.
- Information about any consideration or compensation involved, if applicable.
6. Aadhar Card, ID Proofs
Valid identification documents, such as Aadhar cards and ID proofs like driver’s licences, passports, etc., of the parties involved to establish their identities.
7. PAN Card
PAN cards of both the releasor and releasee, as these are often required for formalising property-related transactions.
8. Witnesses
Two witnesses are typically required at the time of executing the relinquishment deed in India. Their details and signatures should be documented.
9. Other Agreements
Any additional agreements or contracts that have been entered into regarding the property should be included for a comprehensive understanding of the property’s legal status.
10. Additional State Requirements
Depending on the jurisdiction, there might be specific additional documents or forms required by the state authorities for the relinquishment deed’s execution.
Registration Procedure of Relinquishment Deed in India
The registration of a relinquishment deed is governed by the stipulations outlined in Section 17 of the Registration Act, 1908. This legal instrument serves as a means through which a legal heir transfers their inherent rights in an inherited property to other legal heirs, as an act of benevolence. The registration procedure involves the following steps:
1. Drafting the Relinquishment Deed
The initial step entails the preparation and drafting of the relinquishment deed. It is highly recommended to engage a legal professional like StartupFino who can draft the deed in accordance with your specific requirements and the legal framework.
2. Stamp Paper and Details
The relinquishment deed should be printed on a stamp paper valued at Rs 100. Every pertinent detail related to the relinquished property must be accurately recorded within the deed.
3. Submission to Sub-Registrar
Once the deed is prepared, it must be submitted to the sub-registrar of assurances within the jurisdiction where the property is located.
4. Payment of Registration Fee
Submission is followed by the payment of the registration fee, which typically ranges from Rs 100 to Rs 250, varying based on the state’s regulations.
5. Registration Day Appointment
On the designated registration day, both parties involved in the deed along with two witnesses are required to physically visit the sub-registrar’s office. They must bring all the necessary documents for verification and the registration process.
6. Obtaining Registered Deed
Following the completion of the above steps, the registered relinquishment deed can be obtained approximately a week after the procedure.
7. Special Provision for Physically Disabled Individuals
Under Section 31 of the Act, provision is made for cases wherein a person is physically disabled and unable to personally visit the sub-registrar office. In such instances, the Registering Officer can visit the residence of the individual wishing to present a relinquishment deed for registration.
Final Thoughts
A relinquishment deed in India serves as a vital legal instrument for transferring rights in an inherited property. Its careful drafting and registration process, as mandated by Section 17 of the Registration Act, 1908, ensure its authenticity and legal validity. Essential components, such as property details, parties’ particulars, and witnesses, contribute to its robustness.
Proper documentation, including identification proofs, co-owner details, and property history, substantiates the relinquishment process. Comprehending the significance of proper registration and adherence to state-specific requirements underscores the deed’s legitimacy. Ultimately, a registered relinquishment deed stands as a testament to the voluntary transfer of rights, facilitating the seamless transition of property ownership among heirs.
