Anand 06 December 2024

Is it possible to cancel a conditional setttlement deed by settlor alone?

3 quick questions:

1) Is it possible to cancel a conditional settlement deed by Settlor alone and is there any time frame for it?

The condition set in the settlement deed is that the settlee should give certain amount everymonth for life maintanence. If the setlee fails to fulfill this, can a settlor alone cancel the conditional settlement deed at anytime they want?

2) Should the settlor go to court for this?

3) If the conditional settlement deed is not cancelled by the settlor during their lifetime, does the property goes to the Settlee automatically after the settlor lifetime?

Regards

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3 Replies

kavksatyanarayana (subregistrar/supdt.(retired)) 06 December 2024

Is the deed of conditional settlement registered? If the settlee gives some money every month to the settlor and with this clause, is it registered? I think this deed will be treated as Conveyance and accordingly, stamp duty will be levied by the Sub Registrar. This can be unilaterally cancelled by the settlor. (2) The settlee can move to court. (3) Yes.

T. Kalaiselvan, Advocate (Advocate) 06 December 2024

A conditional settlement deed cannot be unilaterally revoked by the donor:

A settlement deed is considered irrevocable and unconditional once it has been signed.

To cancel a settlement deed, the donor must apply to a civil court and file a declaration suit.

Unilaterally canceling a settlement deed is against public policy and is not permitted by law.

If the donor is aggrieved by the settlement deed, they can invoke the right under Section 31 of the Specific Relief Act or the Maintenance and Welfare of Parents and Senior Citizenship Act, 2007.

The Settlement Deed cannot be cancelled unless either one of the elements of fraud, misrepresentation, undue influence or coercion is present. Such revocation is also possible only through a Civil Court.

Dr. J C Vashista (Advocate ) 08 December 2024

Conditions of the settlement deed has not been honoured by one of the parties to the deed, accordingly,

If mode of its cancellation/ revocation is mentioned in the settlement deed other party has a right to exercise the option, otherwise show the document to a local prudent lawyer for proper opinion and necessary proceeding.