A relinquishment deed, also referred to as a release deed, is a legal document used when one co-owner of a property wishes to transfer their share to another co-owner. In the case of joint Hindu family property, a co-owner can formally give up their ownership rights by executing a relinquish deed, effectively transferring their share of the property to the other co-owner. The meaning of a relinquishment deed is simply transferring property from one co-owner to another co-owner.The need to create this deed arises when the property owner passes away without transferring the property or leaving a will. In such a scenario, a co-owner who is also a legal heir wishes to transfer their share to another co-owner. For example, Suppose one sibling no longer wants their ownership. In that case, they can legally give up their rights to the property to another co-owner or allow the remaining owner to take full control, with the help of a relinquishment deed.
Relinquishment Deed Format
The format of a deed of relinquishment typically includes details about the releasor, releasee, their relationship, and property information. It is executed as a gesture of goodwill, with the relinquishing party voluntarily allowing the release of their share in favor of the release. Here is a relinquishment deed format that helps you to get into this:
RELINQUISHMENT DEED
This Relinquishment Deed is made and executed on this [Date] day of [Month, Year] by:The Executants/ReleasorsName: [Full Name]Relationship: [Relationship to the deceased, if applicable]Address: [Complete Address]In Favor Of:The ReleaseeName: [Full Name]Relationship: [Relationship to the deceased, if applicable]Address: [Complete Address]WHEREAS,Late [Deceased Person’s Name], was a subscriber under [Provide details like National Pension System (NPS), if applicable].The said Late [Deceased Person’s Name] died intestate and without nominating anyone to receive the claim for withdrawal of accumulated pension wealth.NOW THIS DEED WITNESSETH AS UNDER:The Executants/Releasers, out of natural love and affection and without any monetary consideration, hereby release and relinquish their respective shares in the claim under [Specify the asset or property], in favor of [Full Name of Releasee], and hereby affirm and declare that they and their legal heirs shall have no right, claim, or interest in the said claim for withdrawal of accumulated pension wealth of Late [Deceased Person’s Name], and the same shall vest absolutely in [Full Name of Releasee], the Releasee.IN WITNESS WHEREOF, the Executants/Releasers and the Releasee have signed this deed of relinquishment on this day, [Date, Month, Year], in the presence of the following witnesses:Executants/Releasers:Name: [Witness 1 Name]Address: [Witness 1 Address]Signature:Name: [Witness 2 Name]Address: [Witness 2 Address]Signature:Reference: ezylegal
11 Important Documents Required for Relinquishment Deed
Here are 11 important documents required for the relinquishment deed:
No, the relinquishment deed with consideration can not be annulled according to the provisions of the Registration Act of 1908. However, it can be revoked under certain circumstances, with a time limit of three years from the date of the deed’s execution.
Benefits of a Relinquishment Deed:
Facilitates Property Transfer
This simplifies the transfer of property between family members without requiring a sale document.
Prevents Legal Disputes
It facilitates a more seamless transfer procedure by averting disagreements over property ownership and inheritance.
Streamlines Succession Planning
This is essential for arranging the smooth transfer of property between generations.
Speeds Up Processing
Enables an effective and speedy transfer of ownership.
Provides Legal Protection
Creates a transparent record of the transfer and provides those involved with legal protection.
4 Points to Consider When Drafting a Relinquishment Deed
Efficient Process: The relinquishment deed makes property transfer quick and budget-friendly, offering an efficient process for both parties involved.
Compulsory Registration: Under Section 17 of the Registration Act of 1908, registering the transfer of shares in an immovable asset is obligatory.
Mandatory Signature: All parties involved must sign the deed in the presence of at least two witnesses.
Relinquishment deed with consideration: A release deed can be signed with or without any financial exchange.
Summary
A relinquishment deed, also known as a release deed, is a legal document used to transfer property rights from one co-owner to another. It’s typically employed in scenarios like joint Hindu family properties or when a deceased owner’s share needs to be transferred. The process involves drafting the deed with specific details about the releasor, releasee, and property, and getting it registered as per legal requirements. While there are no specific charges for drafting a relinquishment deed, registration fees apply. Once executed, the deed cannot be revoked except under certain circumstances within three years of its execution. It simplifies property transfer, prevents legal disputes, and speeds up succession planning, offering a smoother and faster process for all parties involved.
Real Estate Frequently Asked Questions:
1. Is a relinquishment deed proof of ownership?
All parties’ interests are safeguarded by a legally binding relinquishment deed that is properly drafted and recorded. It is used as proof in the event of a legal dispute. It is essential to seek legal advice for the correct drafting and execution of a relinquishment deed, as it is a legally enforceable document.
2. When do we need the relinquishment deed?
A relinquishment deed needs to be created when the owner of a property dies without making a will, and the legal heir of the property decides to give up the legal rights of the property to a co-sharer or a co-owner.
Ashiana,
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