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sadhika (na)     25 May 2013

Succession certificate mandatory for sale of flat?

We were two siblings, elder brother & younger sister (married). Immovable property, a re-sale flat in a CHSL, in Pune was bought in the joint names of both our parents with their savings. They expired 2 years back without leaving a Will. Nominee of the Share Certificate was elder brother who suddenly expired 6 mths back, without a Will, leaving behind his wife & minor daughter. 

The Share Certificate of the CHSL has been transferred in the name of the wife. But the electricity bill & the Property Tax Receipt are still in the names of my late parents. The Index II is in the names of both my parents. The wife now wishes to sell the flat with clear Title Deed. I do not want any part of the property and want the property & the Fixed Deposit's in the banks to go to the wife & her child (i.e. my bhabhi & my niece). 

When enquired with the Sub-Registrar of Assurances we were informed that the wife's name cannot come onto the Index II unless she sells the flat.

Approached the Property Tax office and were informed by the officials there that the property tax must be paid till date, then make application to the Property Tax Office with Affidavit mentioning names of my late parents & my late brother, Indemnity & NOC from Society & after that the name of the wife will be included in the Property Tax Receipt. They informed that on the basis of the changed named on the Property Tax Receipt then the wife can sell the flat in the CHSL.

My query is:

1. What makes for clear Title Deed in favor of the wife? What is the procedure to be followed? Is clear Title Deed in ones name and Mutation the same thing? What is the difference?

2. Do the name of the wife need be put onto the Index II? Which are the other ways in which the wife can be shown as the owner of the property for sale purposes?

3. The Share Certificate is in the wife's name. Name change on the Property Tax Receipt will be done shortly and then, can a flat in the CHSL be sold on the basis of the Property Tax Receipt which is in the name of the wife's name? What are the pro's & con's if we follow this method?

4. I do not want any share either in the property or in the FD's and have no interest in them. There are no living relatives of my parents. The bank has informed that Succession Certificate is needed for the FD's since nominee name was not given. However is a Succession Certificate still required to show ownership of my bhabhi in the flat? 

5. What more can I do to make for easy transfer of the flat in my bhabhi's name?

Many thanks in advance for your replies.



Learning

 5 Replies

Hemang (Advocate)     25 May 2013

Admittedly, the flat stands in the name of your parents, who died without a will. Under the circumstances, the said property is a joint family property of Hindu Family. As I understand, you are not interested in the share from the property and would like to give away to your Bhahi. I appreciate the spirit for the widow Bhabhi. Her name is entered into by the Society, because she was appointed as nominee. However, as far as the revenue record is concerned, it appears, it has become difficult for you to mutate the entry in the name of your widow Bhabhi. 

 

I would be now advising you to prepare a "family settlement" on a plain paper duly signed by all legal heirs and you may give away your right in the share from property. The family settlement would clearly mention that the property is now divested in favour of widow bhabhi forever as other legal heirs have no interest whatsoever. The family settlement is respected under the Hindu Law and the Court also does not interfere while there is a genuine family settlement entered into. 

 

This would give the right as to ownership. Place the same before the society and the Taxing authorities. This would legalize the affair. At the same time, you may place on the record of the city survey office, or the revenue office, the statement on affidavit that the name be mutated in favour of your Bhabi in view of the family settlement. The statement will be recorded in the property card, if you are residing within the city, or else you may approach the Talati cum mantri, who would effect the entry in the record of rights, if you are residing within the villages. 

 

The mutation entry in favour of your Bhabi will be a good proof making a title very clear. you may make the following record available and be appended with the application.

 

Sale deed of the property, if entered into at that point of time by your parents, Index II issued by the offfice of the Sub Registrar of assurance, the Family settlement, Share Certificate, Photo identity, address proof and the affidavit duly making a statement that you are not interested in the said flat and the same is given away in favour of your Bhabhi. The death certificate of your parents.

 

If you have still any difficulty, please revert.

1 Like

Adv k . mahesh (advocate)     25 May 2013

1. What makes for clear Title Deed in favor of the wife? What is the procedure to be followed? Is clear Title Deed in ones name and Mutation the same thing? What is the difference?

 

After chaning to your brother wife name the process is mutation followed in municpal office to change the name in the records

 

2. Do the name of the wife need be put onto the Index II? Which are the other ways in which the wife can be shown as the owner of the property for sale purposes?

 

Yes the name of the iwfe need to put in Index II to sale the property and for smooth transcation without any legal tangles

 

3. The Share Certificate is in the wife's name. Name change on the Property Tax Receipt will be done shortly and then, can a flat in the CHSL be sold on the basis of the Property Tax Receipt which is in the name of the wife's name? What are the pro's & con's if we follow this method?

 

After name change you can sell the property and follow the procedure no problem

 

 

4. I do not want any share either in the property or in the FD's and have no interest in them. There are no living relatives of my parents. The bank has informed that Succession Certificate is needed for the FD's since nominee name was not given. However is a Succession Certificate still required to show ownership of my bhabhi in the flat? 

 

For Bank deposits you have to obtained from High court succession certificate

 

1 Like

sadhika (na)     25 May 2013

Many thanks for your prompt responses Adv. Hemang and Adv. K. Mahesh.

1.Once the Property Tax is transferred in my bhabhi's name, does she still have to follow the procedure to include her name in the Index II? Cannot the Property Tax in her name be absolute proof for clear Title Deed to the Flat?

I ask since the Official at the sub-registrar informed that her name can only be included in the Index II if she is selling the property, for registering the Sale Deed, and not before. We were also told that a Succession Certificate is needed to show her clear title to the said Flat & for entry to the Index II. Is this correct?

2. Only on the basis of Transfer of name in the Property Tax in my bhabhi's name, can the mutation procedure be completed at the Municipal Office and also her name included in the Index II? Or will a Succession Certificate still needed to be submitted for clear Title Deed?

Many thanks in advance

Adv k . mahesh (advocate)     25 May 2013

It is only a record that is being transferred on her name and inlcudin gher name in index II is very much important 

Succession certificte will her legal right to sell that property to any one and legally she will not face any hurdles in future 

if you have any buyer then tell the details and sell the property to him 

Hemang (Advocate)     25 May 2013

When a family settlement takes place, and the rights of all legal heirs or decendents are settled by the family members therein, the Advocate giving title would describe the chain as to how the property right from the beginning is transacted, and how the property is derived in the name of your Bhabhi. I think, you should not bother to get the name inserted in Index II, because Index II indicating the name of your parents is a past transaction done. And, therefore, Bhabhi's name can not be inserted into such index II. You should bother to get the name entered or mutated in record of rights, based on the family settlement, affidavit and statements of all legal heis and decendents.

 

The name of any purchaser appears in the Index II based on the sale deed. Now tell me as to whether the property involved is a "sale". And purchaser by your Bhabhi? Obviously not. And, therefore, you may proceed according to what has been stated. The authorities will include her name in the property card. It is a proof of good title. 


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