DPC-2
DPC-2
DEPARTMENT OF LAW
SCHOOL OF LEGAL STUDIES
BABASAHEB BHIMRAO AMBEDKAR UNIVERSITY
(A CENTRAL UNIVERSITY)
VIDYA VIHAR RAEBARELI ROAD
LUCKNOW – 226025
INDEX
1) ACKNOWLEDGEMENT ........................................................................................... 1
2) CIVIL PLEADINGS.................................................................................................... 2
I. Plaint ........................................................................................................................ 3
4) CONVEYANCING DEEDS...................................................................................... 16
I. Writ ......................................................................................................................... 17
V. Gift ......................................................................................................................... 42
X. Will ........................................................................................................................ 70
ACKNOWLEDGEMENT
I take this opportunity to express my profound gratitude and deep regards to Dr. Nitesh
Chaturvedi for his exemplary guidance, monitoring and constant encouragement throughout
the course of this project. The blessing, help and guidance given by him from time to time shall
carry me a long way in the journey of life on which I am about to embark.
The project helped me learn how to do proper Research and helped me improve my research
skills, I learned about many new things while doing the project. I would also like to thank my
parents and friends who helped me complete this project within the deadline.
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CIVIL PLEADINGS
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I. Plaint
A Plaint is a legal document that contains the content of any civil suit which shows the
Plaintiff's claim after filing suit. The plaint is the first step of the Plaintiff in the form of a legal
document for the commencement of suit and it shows what a Plaintiff wants from that suit. The
concept of a plaint is mentioned in the Civil Procedure Code. Through the help of plaint, the
plaintiff narrates or describes the cause of action and related information which is considered
as essential from the viewpoint of the suit.
Order VII of the Code of Civil Procedure deals, particularly with plaint. In Order VII of CPC,
there are many different rules which deal with different constituents of plaint. Rules 1 to 8 deal
with the particulars of the plaint. Rule 9 of CPC deals with how the plaint will be admitted and
after that Rule 10 10 10-B talks about the return of the plaint and the appearance of parties.
And the main Rules i.e., 11 to 13 deal with the rejection of the plaint and in which
circumstances the plaint can be rejected.
Section 26 of the Code of Civil Procedure states "Every suit shall be instituted by the
presentation of a plaint or in such other manner as may be prescribed." This section clearly
shows that plaint is very much necessary for the establishment of a suit before the civil or
commercial court.
Particulars Of A Plaint:
IV. A statement of unsoundness of mind or minority in case the plaintiff or the defendant
belongs to either of the categories.
V. The facts that led to the cause of action and when it arose.
VI. The facts that point out to the jurisdiction of the court.
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IX. A statement containing the value of the subject matter of the suit as admitted by the
case.
Additional Particulars:
I. Order VII, Rule 2 states that the plaintiff shall state the exact amount of money to be
obtained from the defendant if the case is so. On the other hand, if the exact amount
cannot be arrived at, as is then case with mesne profits, or claim for property from the
defendant, an approximate figure must be mentioned by the plaintiff
II. Order VII, Rule 3 states that when immovable property is the subject matter of the
plaint, the property must be duly described, that is sufficient in the ordinary course to
identify it.
III. Order VII, Rule 3 states that when the plaintiff has initiated the suit in a representative
capacity, it has to be shown that he/ she has sufficient interest in doing the same as well
as has taken the required steps to ensure the same.
IV. The plaint should adequately show the involvement of the defendant, including his/ her
interests in the same and thereby justifying the need to bring him/ her forward.
V. If the plaintiff files the suit after the expiration of the period of limitation, he/ she must
show the reason for which such an exemption from law is being claimed.
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II. Written Statement
First of all we should know that what is written statement. Actually, it is a pleading of the
defendant in the answer of the plaint filed by the plaintiff against him. It is a reply of the
defendant in a suit specifically denying the allegations made against him by the plaintiff in his
plaint. The provision regarding the written statement has provided in the code of civil procedure
code, 1908.
• When the notice has been issued to the defendant, he is required to appear on the date
mentioned in the notice.
• Before such date, the defendant is required to file his "written statement", i.e., his
defence against the allegation raised by plaintiff, within 30 days from date of service of
notice, or within such time as given by court
• The written statement should specifically deny the allegations, which defendant thinks
are false. Any allegation not specifically denied is deemed to be admitted.
• The written statement should also contain verification from the Defendant, stating that,
the contents of written statement are true and correct.
• The time period of 30 days, for filing a Written Statement, can be extended to 90 days
after seeking permission of the court.
Denial of Facts
When it comes to responding to the plaintiff’s claims via Written Statement, the defendant has
two options: accepting or denying them. If an allegation is not denied, it is considered accepted.
Order VIII Rule 3 of the Code of Civil Procedure emphasises the importance of a clear and
specific denial. The defendant cannot simply provide a general denial; they must address each
allegation individually.
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Furthermore, Order VIII Rule 4 states that an evasive denial or a denial that does not directly
address the substance of the claim does not count as a valid denial. For example, if the
defendant wishes to dispute the plaintiff’s claim that they received a specific amount of money,
they must explicitly deny receiving that amount and specify the alleged amount. An evasive
denial will be treated as an admission unless the plaintiff’s complaint is also vague and general.
In situations where there are multiple defendants in a case, they can choose to file a single,
common written statement signed by all of them. Alternatively, at least one of the defendants,
who is knowledgeable about the facts of the case, can verify and submit the written statement
on behalf of all the defendants. This allows for a unified response from the defendants in the
case.
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CRIMINAL PLEADINGS
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I. First Information Report (F.I.R.)
Sec. 154 of the CRPC deals with First Information Report (FIR) i.e. first information of a
cognizable crime to the police. FIR is not defined in the Code but it means information relating
to the commission of a cognizable offence given to the police first in point of time. The reason
for documenting an FIR is to a set criminal law into motion and not to express all the small
details therein.
Importance of FIR
The principal object of the F.LR is to set the criminal law in motion and to obtain information
about the alleged criminal activity so as to be able to take suitable steps to trace and bring to
book the guilty. Hence, Sec. 193 BNS has a three-fold object, which is:
1. To inform the Magistrate and the District S. P. who are responsible for the peace and safety
of the district, of the offences reported at the police station;
2. To make known to the judicial officers before whom the case is ultimately tried, what are
the facts given out immediately after the occurrence and the materials on the basis of which the
investigation commenced,
In order to qualify as an FIR under Section 193, the following essentials need to be fulfilled:
3.1f given oral, it should be reduced to writing by the officer in charge of a police, station or
under his direction and if given in writing or reduced to writing shall be signed by the person
giving it;
4. The substance of the information shall be entered in a book in such form as the State
Government may prescribe in this behalf. This book is called 'General Diary'.
5. In order for the information to be qualified as an FIR there must be something in the
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Concept of Zero FIR
Information about cognizable offence would have to be recorded and forwarded to the
Police station having jurisdiction and such F.I.R. is called Zero F.I.R.
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FORMAT OF APPLICATION FOR FILING AN FIR
To,
The Station House Officer (SHO),
[Name of Police Station],
[Address of Police Station],
[City], [State].
Respected Sir/Madam,
• Briefly describe the nature of the crime (e.g., theft, assault, accident, etc.).
4. Persons Involved:
5. Witnesses:
6. Any Evidence:
• [Mention any evidence such as photographs, documents, videos, or other items related
to the incident].
The incident has caused significant [mention damages, distress, or loss], and I kindly request
you to take immediate action to register my complaint as an FIR under the relevant
provisions of the law.
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I am attaching copies of the following documents for your reference:
Thanking You,
Yours sincerely,
[Full Name]
Contact Number:
Email Address:
Date:
1. Copy of ID proof.
2. Supporting documents/evidence.
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II. Bail
The word "bail" comes from the old French word "Baillier," which means to deliver or
hand over. The Law Lexicon defines bail as 'security for the appearance of the accused person,
on giving which he is released pending trial or investigation'. Black's Law Dictionary describes
it as a security like money or bond, often required by a court to release a prisoner who must
appear later.
In Gurbaksh Singh v. State of Punjab 1980, the SC held that grant of bail means to set at
liberty a person arrested or imprisoned on security being taken off his appearance in the
court on a particular day. The word 'bail' covers release on one's own bond.
Objective of Bail
The object of arrest and detention of the accused person is primarily to secure his appearance
at the time of trial & to ensure that, in case he is found guilty, he is available to receive the
sentence. But if his presence at trial can be assured without arresting him, it's unfair to detain
him while the case is ongoing.
Understand that personal liberty is one of the most valuable Fundamental Rights given under
the Constitution. The principle underlying the release on the bail is that the accused is presumed
innocent until proven guilty. A person released on bail is considered to be in constructive
custody of the Court. (Sunil Fulchand v. UOI 2000)
You might not have heard of 'Jamin' before. It is a 'bail bond' or 'surety bond.' When
someone gets bail, this bond guarantees they'll attend all court dates. It's a promise between the
accused, the court, and a surety (someone vouching for the accused). If the accused doesn't
follow the bail rules, this bond (which is a refundable amount) can be taken away.
The Criminal Procedure Code 1973 doesn't define the terms bail, bail bond, and bond, but the
BNSS has introduced these terms. According to the definition clause under Section 2(1) of
BNSS:
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'(b) "bail" means release of a person accused of or suspected of commission of an offence from
the custody of law upon certain conditions imposed by an officer or Court on execution by
such person of a bond or a bail bond;'
'(e) "bond" means a personal bond or an undertaking for release without surety;'
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FORMAT OF BAIL APPLICATION
To,
The Hon’ble Magistrate,
[Name of Court],
[Place].
2. That the applicant was arrested on [Date of Arrest] and has been in judicial/police
custody since then.
3. That the applicant has been falsely implicated in this case and has not committed the
alleged offences. The applicant is a law-abiding citizen with no prior criminal record.
4. That the investigation in the case is either complete or is being carried out, and the
applicant has been fully cooperating with the investigating agency. The applicant is
ready to furnish a personal bond and surety if granted bail.
5. That the applicant undertakes not to influence any witness, tamper with evidence, or
abscond during the trial.
6. That the applicant has strong roots in society, including family and property at the
above-mentioned address, and is unlikely to abscond.
7. That keeping the applicant in custody serves no further purpose, and the applicant’s
detention is causing undue hardship to their family.
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8. That this Hon’ble Court has the power to grant bail under Section 480 of the BNSS,
and the applicant fulfills all the conditions for being granted bail.
9. That the applicant is willing to comply with any conditions imposed by this Hon’ble
Court while granting bail.
PRAYER:
In view of the above submissions, the applicant humbly prays that this Hon’ble Court may
kindly:
1. Grant bail to the applicant in connection with FIR No. [FIR Number] registered at
[Name of Police Station] for offences under Section 480.
2. Pass any such further orders as may be deemed just and proper in the interest of
justice.
And for this act of kindness, the applicant shall ever pray.
Place:
Date:
(Signature of Applicant/Advocate)
Name:
Address:
Mobile Number:
Verification:
Place:
Date:
(Signature of Applicant)
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CONVEYANCING DEEDS
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I. Writ
The term writ refers to a formal, legal document that orders a person or entity to perform or to
cease performing a specific action or deed. Writs are drafted by judges, courts, or other entities
that have administrative or judicial jurisdiction.1 These documents are part of common law and
are often issued after a judgment is made, giving those involved in a suit the ability to carry out
the judgment.
Writs are a written order from the Supreme Court or High Court that commands constitutional
remedies for Indian Citizens against the violation of their fundamental rights. Article 32 in the
Indian Constitution deals with constitutional remedies that an Indian citizen can seek from
the Supreme Court of India and High Court against the violation of his/her fundamental rights.
The same article gives the Supreme Court power to issue writs for the enforcement of rights
whereas the High Court has the same power under Article 226.
Types of Writs:
1. Habeas Corpus:
Literal meaning of Habeas Corpus is 'to have the body of'. This type of writ is used when
unlawful detention has occurred to enforce the fundamental right of individual liberty. When
this writ is issued, a person or a authority who has arrested a another person has to bring that
another person before the court.
b. Family members can file an application or stranger can also file application in
public interest,
e. All or part of formalities and procedures should not be followed by police while
making the arrest, etc.
Example: Himesh was making threats to Hina, so father of Hina, who is a police officer
arrested Himesh and imprisoned him. Hina's father didn't filed FIR and did not follow the
procedure to arrest Himesh. So Himesh is wrongfully detained. Hrithik who is a brother of
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Himesh filed an application in the respective court and by issuing the writ of Habeas Corpus,
court set Himesh free.
2. Mandamus:
Literal meaning of Mandamus is 'we command.' This type of writ is used when a public official
or public body or corporation or lower court or tribunal or even the government has not done
the needed duty or refused to do. After this writ is issued, the duty needs to be resumed.
c. Petitioner must demand the authority to perform the duty and non-performance
of the duty must be present,
e. Petitioner must prove that a duty is owed to him and authority has not performed
the duty,
Example: Apeksha has a right to live life with dignity. And Electricity board has a duty to
provide her electricity but the board intentionally didn't provide her with the electricity and
refused to do the duty. Apeksha filed a suit and by issuing the writ of Mandamus, court ordered
the board to supply the electricity to Apeksha.
3. Prohibition:
Literal meaning of Prohibition is 'to forbid.' This type of writ is used when a court which is in
lower position i.e., the lower court exceeds its jurisdiction or un pursue a jurisdiction which is
not possessed by it.
Rules of Prohibition:
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c. If lower court or tribunal partly acting in jurisdiction and partly outside the
jurisdiction, Prohibition will be issued against the act which is partly outside the
jurisdiction,
Example: Sameer and Shahid made a contract in which Shahid decided to sell his land to
Sameer for 2 cr. Rupees. And Sameer failed to pay the amount on time, so Shahid brought a
suit in the Pune District Court. But the contract was made in Thane, both lived in Mumbai and
Land was in Aurangabad. So, the Pune district court has no jurisdiction over the case. And
High court, by issuing the writ of Prohibition, can order the Pune District Court to forbid the
pending suit.
4. Certiorari:
Literal meaning of Certiorari is 'to be certified' or 'to be informed.' This type of writ is used
when a transfer of case which is pending in the lower courts or the order given by lower courts
in a case needs to be quashed. This writ is issued on the basis of an excess of jurisdiction or
lack of jurisdiction or error of law. After this writ is issued, mistakes in the judiciary are cured.
Grounds of Certiorari:
Conditions of Certiorari:
g. Person or body has acted in excess of their jurisdiction or legal authority, etc.
Example: There is a case in District Court, and the court lacks jurisdiction to hear such matters.
But the District Court Judge hears the case and renders his ruling, and Jennie who was affected
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by the order passed, makes a petition in the High Court. As a result of the power to issue Writs,
the High Court will issue a writ of Certiorari on the District Court's order, and the District
Court's order will be quashed.
5. Quo-Warranto:
Literal meaning of Quo-Warranto is 'by what authority or warrant.' This type of writ is used
when an illegal usurpation of a public office by a person is done. After this writ is issued, the
legality of a claim of a person to office is enquired.
Conditions of Quo-Warranto:
Example: Sanjana is a private citizen. She has no qualifications that are required for the post
of RTO officer. Although, assumes such office. Here a Writ of Quo Warranto can be issued
against Sanjana to call into question her authority on which she has taken the control of the
office RTO officer.
Writs, by their very nature, hold immense significance in the context of India. Some of their
significance can be seen as follows:
Protection of Fundamental Rights – These writs provide individuals with a swift and effective
means to seek judicial intervention when their rights are infringed upon by the state or any
other authority.
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Judicial Review – These writs enable the judiciary to exercise its power of judicial review over
the actions of government bodies, administrative authorities, and other institutions. This
ensures that governmental actions are lawful, within the scope of their authority, and consistent
with constitutional provisions.
Checks and Balances – These writs allow courts to review and potentially overturn decisions
or orders of lower authorities. This contributes to maintaining a system of checks and balances
within the system.
Prevention of Abuse of Power – Writs such as mandamus, prohibition, certiorari, and quo
warranto act as preventive measures against the arbitrary exercise of authority by public
officials or bodies. They compel adherence to legal procedures, fairness, and transparency in
decision-making processes.
Promotion of Justice and Equity – Writs contribute to the promotion of justice and equity by
providing individuals with access to timely and effective remedies against injustice,
oppression, or unlawful deprivation of rights. They uphold the rule of law and ensure equal
protection under the law for all citizens.
A writ petition can be filed by any person whose Fundamental Rights have been infringed by
the State. Thus, the right to file a writ petition is available to anyone to enforce or protect their
rights against the State.
Under Article 32, a writ petition can be filed in the Supreme Court. The Supreme Court can
issue a writ only if the petitioner can prove that his Fundamental Right has been infringed. It
is important to note that the right to approach the Supreme Court in case of a violation of a
Fundamental Right is in itself a Fundamental Right since it is contained in Part III of the
Constitution.
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Under Article 226, a writ petition can be filed before any High Court within whose jurisdiction
the cause of action arises, either wholly or in part. It is immaterial if the authority against whom
the writ petition is filed is within the territory or not. The power of the High Court to issue a
writ is much wider than that of the Supreme Court.
It is not necessary to go to the High Court first and only thereafter approach the Supreme Court.
However, if a writ petition is filed directly in the Supreme Court, the petitioner has to establish
why the High Court was not approached first.
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PROBLEM-
Mr. Anshuman singh son of Raunak Singh resident at 4/324 South City Second was detained
by SHO Aashiyana Kotwali on 15th November 2024 by conducting ting search in his house
but no any illegal substance or activities found at the resident of Mr. Anshuman Singh. SHO
Aashiyana Kotwali detained Mr. Anshuman Singh in Kotwali Aashiyana near about 72 Hours
for the purpose of detailed investigation taken as form of preventative measures. Mr Chandan
Sharma as friend of Anshuman can go to the apex court for the purpose of issuing writ of
Habeas Corpus.
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IN THE HON’BLE SUPREME COURT OF INDIA
(EXTRAORDINARY WRIT JURISDICTION)
VERSUS
3. Union of India
Through Secretary,
Ministry of Home Affairs,
North Block, New Delhi – 110001.
…Respondents
TO,
THE HON’BLE CHIEF JUSTICE OF INDIA
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AND HIS COMPANION JUSTICES
OF THE HON’BLE SUPREME COURT OF INDIA
1.1. That the Petitioner is a law-abiding citizen of India and a close friend of Mr. Anshuman
Singh, who is currently under illegal detention by the Respondent No. 2, the Station House
Officer, Kotwali Aashiyana, Lucknow.
1.2. That Mr. Anshuman Singh, S/o Raunak Singh, a resident of 4/324 South City Second,
Lucknow, was detained on 15th November 2024, following a search operation conducted at
his residence by the Respondent No. 2.
1.3. That during the said search, no illegal substances, weapons, or any evidence of illegal
activities were found at the residence of Mr. Anshuman Singh.
1.4. That despite the absence of any incriminating evidence, Mr. Anshuman Singh was taken
into custody and detained at Kotwali Aashiyana Police Station for a period of approximately
72 hours as of the filing of this petition.
1.5. That the Respondents have neither produced Mr. Anshuman Singh before a Magistrate
within 24 hours of detention, as mandated by law, nor have they provided any legal
justification for his continued detention.
1.6. That such detention is in gross violation of Articles 21 and 22 of the Constitution of
India, which safeguard the fundamental rights to personal liberty and protection against
arbitrary arrest and detention.
2.1. That the continued detention of Mr. Anshuman Singh by Respondent No. 2 is illegal,
arbitrary, and without authority of law, violating his fundamental rights under Articles 21 and
22 of the Constitution of India.
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2.2. That there has been no compliance with Section 57 of the Code of Criminal Procedure,
1973, which mandates that an arrested person must be produced before a Magistrate within
24 hours.
2.3. That the detention has been used as a tool of harassment, despite the absence of any
evidence against Mr. Anshuman Singh, thereby violating principles of natural justice and the
rule of law.
3. PRAYERS:
In light of the above facts and grounds, the Petitioner most humbly prays that this Hon’ble
Court may graciously be pleased to:
a. Issue a writ of Habeas Corpus, directing the Respondents to produce Mr. Anshuman Singh
before this Hon’ble Court forthwith;
b. Direct the immediate release of Mr. Anshuman Singh from the illegal detention by
Respondent No. 2;
c. Pass any other or further orders as may be deemed fit and proper in the interest of justice.
FILED BY:
(Advocate for the Petitioner)
Name:
Address:
Contact No.:
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II. Conveyance
To convey is to give to somebody full legal rights in land or building = Real Property Land and
Buildings.
What is Conveyance?
Conveyance is the term that refers to the act in which the ownership of a property is transferred
from one person to another. It is a legal document that is made when transferring the said
ownership from the seller to the buyer. You can also say that conveyance is a contract under
which sellers and buyers are bound to stand by their commitments.
This legal contract, lease, title or deed can be referred to as an instrument of conveyance which
is used to solidify the deal made between the buyer and the seller. The document, be it a
contract, lease, title or deed will include all the terms that the seller and buyer have agreed
upon. This includes the purchase price, date of transfer, along with all the other obligations and
responsibilities which both parties have to abide by. In case either of the parties fail to carry
out these obligations and responsibilities, the other party can move to court against the former
party which is not considered to be a defaulter.
The whole conveyance process is quite lengthy and includes a review for liens, a check
ensuring that all conditions have been met, settlement of taxes and other charges that are
concerned with the property transfer, confirming the access to finance and preparing all the
necessary documentation for the transfer of ownership of the property.
The meaning of the word DRAFTING is to draft or to draw up or to outline in the form of
rough notes, while PLEADING, according to the Civil Procedure Code, means a Plaint, or a
written statement. Therefore, all pleadings are written statements. To plead on behalf of the
plaintiff or the defendant, The meaning of the word CONVEYANCING is to convey or to give
to somebody full legal rights in land or building, which is called real property, and real property
includes land and buildings. A conveyance means a document conveying the property.
The importance of the study of law need not be explained. It is said that Law is the King of the
Kings. It is, therefore, most powerful and rigid, too. In the whole world, there can be nothing
stronger than law. With legal power, even the weak may be superior to the strong. At this
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background, we have to consider the fact that if Law is the King of the Kings, drafting or
pleadings and conveyancing is undoubtedly the Queen of that King.
Conveyance is a term that is often associated with real estate transactions and the conveyance
of ownership of real estate is also referred to as conveyancing. There is a legal representative
that looks over the whole process that takes place, this representative is called the
conveyancer. A real estate tax also known as the conveyance tax is levied upon the real estate
transactions. These taxes are imposed on real estate transactions that take place at the
country, state or municipal level.
The act of conveyancing also ensures that the buyer is informed in advance about any
restrictions on the property such as mortgages and liens which helps to assure the buyer a
clean ownership of the property without any debts. A lot of buyers prefer to purchase title
insurance which protects them against the possibility of fraud in the title transfer.
Although the term conveyance is popularly used in the real estate transactions, it can also be
used in the oil and gas industries where it is known as mineral rights conveyance. This
includes conveyance in the form of a contract that grants rights of ownership of certain
parcels of land and gives mineral rights to other entities, which is usually a company, without
turning over the title of the land. The company gets rights to operate on the landowner’s
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property through the conveyance. The owner of the land gets compensated for transferring
the rights to the company that explores their land.
There are certain important details and documents that need to be produced in order to
complete a conveyance. These documents and information is what will go in the conveyance
contract and decide the terms on which the contract will stand. The requirements for
completion of a conveyance are as follows: * The full name of the granter or the seller who
currently owns the land or the property and is trying to sell the property. * The full name of
the grantee or the buyer who is buying the property from the granter or the seller. * All the
necessary legal information of the property including any limitations in the form of leases or
debts. * Affidavit of consideration which will include the purchase price of the property, time
of transfer and other conditions related to the same. This needs to be agreed by both the
parties. * Warranties, depending on the type of the deed. * Signatures of the concerned
parties and witnesses.
The act of conveyance is an important one in any real estate transaction as it makes the
transaction completely legal and gives both the parties security against any potential fraud
that may occur.
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III. Sale Deed
How is sale effected?
Section 54 further lays down the manner in which u sale of immovable property should be
effected. In case of tangible immovable property of value rupees hundred and upwards or in
cuse of reversion or any other intangible thing, a sale can be made only by a registered
instrument, When the tangible immovable property is of value less than rupees hundred the
sale can be made by a registered instrument or by the delivery of the property. The delivery of
a tangible immovable property is said to have taken place when the seller places the buyer or
another person on the direction given by the buyer, in possession of the property.
A sale deed is a legal document used in property transactions as evidence for sale and
transfer of ownership of property in favour of the buyer from the seller.
A sale deed, also known as the final deed or conveyance deed, is an instrument in writing which
legally transfers the ownership rights of a property from one person to another in exchange of
a price paid/consideration. It is made for the sale or purchase of land or any construction made
on it. The person who transfers the property is known as the transferor or the seller while the
person in whose name the property is transferred is called the transferee or the buyer.
A sale agreement of immovable property is different from the sale deed for the same property.
In simple words, the sale agreement of a property is a contract stating that a sale of such
property shall happen on the terms as agreed upon by the parties. It specifies the terms and
conditions, under which the property (to be sold) will be transferred.
So, a sale agreement basically, contains a promise to transfer a property in future, after
compliance with specific terms and conditions. It does not develop or establish any rights o
interest in the property for the prospective buyer.
Before the execution of the sale deed, the buyer should ascertain that the title of the property
is free of all encumbrances. Verification of the encumbrance stats from the registrar's office is
a must for the buyer purchasing the property. After ensuring that the property is free from
encumbrances, the purchaser should also corroborate that all the statutory payments such as
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water/electricity bill, cess, property tax and maintenance charges have been cleared and no
further dues or permission is pending for the transfer of property through a sale deed.
Buyers of a property must take note that the sale deed is one of the most important documents
which establishes the proof of ownership post the purchase is made. Hence, one must make it
a point to acquire this document.
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PROBLEM-
Mr. Vinay Kumar son of Rajesh Kumar is the sole and absolute owner of the property situated
at 4/334, Street no. 2 Ruchi Khand, Lucknow wants to sale his property to Mr. Gagan Kumar
son of Aditya Kumar for ₹1500000. Draft Sale of deed of immovable property, in this regard
between both the party. Address of Gagan Kumar 195/18 Street no 12 Sapru Marg, Hazratganj,
Lucknow.
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SALE DEED OF IMMOVABLE PROPERTY
This Sale Deed is made and executed at Lucknow, on this 25th day of November 2024, by
and between:
AND
WHEREAS
1. The Vendor is the sole and absolute owner of the property situated at 4/334, Street
No. 2, Ruchi Khand, Lucknow, hereinafter referred to as the “Said Property.”
2. The Vendor has agreed to sell, and the Vendee has agreed to purchase the Said
Property for a total consideration of ₹15,00,000 (Rupees Fifteen Lakh only) under
the terms and conditions set forth in this Sale Deed.
1. CONSIDERATION:
1.1. That the total sale consideration of ₹15,00,000 (Rupees Fifteen Lakh only) has been
paid by the Vendee to the Vendor.
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1.2. The Vendor hereby acknowledges receipt of the entire sale consideration and confirms
that no amount remains due from the Vendee.
The Said Property is free from all encumbrances, claims, and demands, and the Vendor has
absolute title and authority to sell the same.
3. POSSESSION:
3.1. The Vendor has delivered actual, physical, and vacant possession of the Said Property to
the Vendee on the date of execution of this Sale Deed.
4. INDEMNITY:
4.1. The Vendor hereby covenants with the Vendee that the Said Property is free from all
encumbrances, charges, liens, litigations, or disputes.
4.2. In case of any defect in title or any claim made by any third party, the Vendor shall
indemnify the Vendee for all losses, damages, and expenses incurred.
5. TRANSFER OF RIGHTS:
5.1. The Vendor hereby transfers all his rights, title, and interest in the Said Property to the
Vendee, who shall henceforth be the sole and absolute owner of the Said Property.
6.1. The stamp duty, registration charges, and other incidental expenses relating to the
execution of this Sale Deed shall be borne by the Vendee.
7. DISPUTE RESOLUTION:
7.1. Any dispute arising from this Sale Deed shall be subject to the jurisdiction of the
competent courts at Lucknow, Uttar Pradesh.
IN WITNESS WHEREOF, the parties hereto have signed this Sale Deed on the day,
month, and year first above written in the presence of the following witnesses:
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SIGNATURES:
Vendor: Vendee:
(Signature) (Signature)
Name: Mr. Vinay Kumar Name: Mr. Gagan Kumar
WITNESSES:
1. (Signature) 2. (Signature)
Name: Name:
Address: Address:
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IV. Agreement for Sale
What is an agreement of sale? An agreement of sale is a legal document that outlines the terms
of a real estate transaction. It lists the price and other details of the transaction, and is signed
by the seller and the buyer. An agreement of sale is also known as the contract of purchase,
contract for sale, contract agreement or sale agreement.
Definition: An agreement of sale constitutes the terms and conditions of sale of a property by
the seller to the buyer. These terms and conditions include the amount at which it is to be sold
and the future date of full payment.
Description: Being an important document in the sale transaction, it enables the process of
sale to go through without any hurdles. All the terms and conditions included in the agreement
of sale must be understood thoroughly by both the parties and obeyed throughout the sale
process till the time the sale deed is made. Agreement of sale is the base document on which
the sale deed is drafted.
Sale deed is the document prepared at the time of full payment made by the buyer and when
the actual transfer of the property takes place.
An agreement for sale, also known as an agreement to sell, typically includes the following:
• Parties: The names and contact information of the buyer and seller
• Price and payment: The price of the property, payment terms, and payment method
• Terms and conditions: The terms and conditions of sale, governing law, and rights
and obligations of both parties
• Warranties: Details on warranties, including statements made by the seller about the
condition of the property
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• Closing date: The closing date of the sale
• Encumbrances: A clause ensuring that the property will be free from encumbrances
upon transfer
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PROBLEM-
Mr. Vinay Kumar son of Rajesh Kumar is the sole and absolute owner of the property situated
at 4/334, Street no. 2 Ruchi Khand, Lucknow wants to sale his property to Mr. Gagan Kumar
son of Aditya Kumar for ₹1500000. Draft Sale of deed of immovable property, in this regard
between both the party. Address of Gagan Kumar 195/18 Street no 12 Sapru Marg, Hazratganj,
Lucknow.
Advance: ₹500000
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AGREEMENT FOR SALE
This Agreement for Sale is made and executed on this 25th day of November 2024, at
Lucknow, by and between:
AND
WHEREAS:
1. The Seller is the sole and absolute owner of the immovable property situated at 4/334,
Street No. 2, Ruchi Khand, Lucknow, Uttar Pradesh (hereinafter referred to as the
"Property").
2. The Seller has agreed to sell, and the Buyer has agreed to purchase the Property for a
total consideration of ₹15,00,000 (Rupees Fifteen Lakh Only), subject to the terms
and conditions set forth in this Agreement.
3. The Buyer has paid an advance amount of ₹5,00,000 (Rupees Five Lakh Only) to the
Seller on execution of this Agreement, and the remaining consideration shall be paid
as stipulated herein.
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NOW THIS AGREEMENT WITNESSETH AS FOLLOWS:
2.1. The total sale consideration for the Property is ₹15,00,000 (Rupees Fifteen Lakh Only).
2.2. The Buyer has paid an advance of ₹5,00,000 (Rupees Five Lakh Only) on execution of
this Agreement, the receipt of which the Seller hereby acknowledges.
2.3. The Buyer agrees to pay the balance amount of ₹10,00,000 (Rupees Ten Lakh Only) as
follows:
• ₹1,00,000 (Rupees One Lakh Only) at the time of registration of this Agreement.
3.1. The Seller shall provide all original title deeds and documents relating to the Property to
the Buyer for verification within [Insert Time Period] from the date of this Agreement.
3.2. The Seller guarantees that the Property is free from all encumbrances, mortgages, liens,
or charges of any kind.
3.3. The Seller shall execute the Sale Deed in favor of the Buyer and register the same upon
receipt of the full sale consideration.
4.1. The Buyer agrees to pay the balance sale consideration as per the terms mentioned
herein.
4.2. The Buyer shall bear the cost of stamp duty, registration charges, and other incidental
expenses related to the execution and registration of the Sale Deed.
5. POSSESSION:
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The Seller agrees to deliver vacant and peaceful possession of the Property to the Buyer on
the execution and registration of the Sale Deed.
6. DEFAULT:
6.1. In the event the Buyer fails to pay the balance consideration within the stipulated time,
this Agreement shall stand terminated, and the advance amount of ₹5,00,000 shall be
forfeited by the Seller.
6.2. If the Seller fails to execute the Sale Deed or deliver possession of the Property, the
Buyer shall have the right to seek specific performance of this Agreement or claim a refund
of the advance amount with interest.
This Agreement shall be governed by the laws of India, and any disputes arising under this
Agreement shall be subject to the jurisdiction of the courts at Lucknow, Uttar Pradesh.
8. ENTIRE AGREEMENT:
This Agreement constitutes the entire understanding between the Parties and supersedes any
prior agreements, communications, or understandings, whether written or oral.
IN WITNESS WHEREOF, the Parties hereto have signed this Agreement on the day,
month, and year first above written in the presence of the following witnesses:
SIGNATURES:
Seller: Buyer:
(Signature) (Signature)
Name: Mr. Vinay Kumar Name: Mr. Gagan Kumar
WITNESSES:
1. (Signature) 2. (Signature)
Name: [Witness 1 Name] Name: [Witness 2 Name]
Address: [Witness 1 Address: [Witness 2
Address] Address
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V. Gift
A gift is a voluntary transfer of ownership when the donor transfers ownership without
compensation or consideration of monetary value. In some cases, the property is involved or
the parties are two living persons, or the transfer is made only after the transferor’s death. When
a transfer takes place between two living people, it is said to be a mutual life, and when it takes
place after the transferor’s death, it is said to be a will. Since the transfer of a will is outside the
scope of Section 5 of the Property Transfer Act (Act) of 1882, this law is only relevant for the
transfer between gifts of creatures.
Definition of Gift
Gifts are defined in Section 122 of the Act as an existing or transfer of an existing property.
Such transfers must be voluntary and uncompensated. The sender is the sender and the recipient
is the sender. The recipient must agree to receive the gift. In this section, gifts are defined as a
free transfer of ownership of existing property. The concept includes the transfer of both
immovables and immovables.
Donor- Donors must be competent. That is, you need to have both the knowledge and the
authority to donate. If the donor is legally competent, he is considered able to donate. This
means that the donor must be legally competent and have reached the legal age at the time of
donation. Associations, companies and companies that are registered and allowed to donate are
called legal entities.
Gifts from minors or insane people are invalid. In addition to ability, donors must also have the
legal right to donate. Since the gift is a transfer of ownership, the donor’s claim will be incurred
from the ownership at the time of the transfer.
Donee- To contract, Donee does now no longer want to be able. He will be any residing man
or woman at the time the donation is made. A present introduced to a loopy person, a minor,
or maybe a toddler inside the mother`s womb is suitable if it’s miles lawfully commonplace on
his or her behalf with the aid of using an able person.
Competent donees are juristic people inclusive of firms, institutions, or corporations, and
presents given to them are legitimate. The donee, on the opposite hand, needed to be someone
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who may be identified. The trendy public’s present is null and invalid. The donee will be extra
human beings if those records are available.
Essential Elements
1. Transfer of ownership
2. Existing property
Transfer Of Ownership- The transferor, the donor, must transfer the entire share of the
property to the Donnie acquirer. When transferring absolute profits, all rights and obligations
of ownership are also transferred. To make such a transfer, the donor must be the legal owner
of the relevant asset. Anything other than ownership is not transferable as a gift. However, as
with any transfer, gifts may be subject to certain restrictions.
Existing Property- The gifted property may be immovable, immovable, tangible or intangible,
but must be present and transferable at the time of gifting, as defined in Section 5 of the
Property Transfer Act. Gifts of future property are considered invalid. Inheritance donations
(expectations for success), potential inheritance, or the right to sue are invalid.
The consideration is monetary. It’s based on money. Mutual affection is not a financial factor,
so the property of exchanging affection for affection is a gift. Voluntary Transfer with Free
Consent– Donations must be made voluntarily. In other words, it must be done with the consent
of the donor as voluntary consent.
Free consent is when the donor is completely free to donate without fear of coercion, fraud, or
undue impact. The donor must be free and autonomous in carrying out the certificate of
donation. The fact that the donor acted voluntarily means that he was fully aware of the terms
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and nature of the transaction when he signed the gift certificate. It is the responsibility of the
recipient to prove that the gift was given voluntarily and with the consent of the donor.
Acceptance of Gift- The recipient must agree to receive the gift. Even gifts must not be
transferred without consent. The recipient of the gift has the right to refuse the gift, as in the
case of useless assets or disturbing gifts. An unfavourable gift is a gift whose burden or
obligation exceeds the actual market value of the goods.
You need to receive a gift like this. This acceptance may be explicit or indirect. Implicit
understanding can be concluded from the recipient’s behaviour and surroundings. When the
recipient owns the property or the certificate of ownership, he or she received the gift. The
assumption of the right to collect rent in the event of a vacancy can be inferred from the
assumption of the right to collect rent in the event of a vacancy.
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PROBLEM-
Mr. Ramesh Kumar son of Vimlesh Kumar, who is a homeopathic doctor aged 35 years
residing at house no 3/250 sector K Ashiana Lucknow wants to gift his owned immovable
property situated at house No 4/129 Mansarovar Yojna, LDA colony lucknow, to his nephew
Mr. Arun kr son of Varun Kumar who reside at house 4/128 Mansarovar Yojna, LDA colony,
Lucknow. Draft a gift deed infavour of Mr. Arun Kumar by Mr. Ramesh Kumar.
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GIFT DEED
This Deed of Gift is made and executed on this 25th day of November, 2024, at Lucknow,
by:
IN FAVOUR OF
WHEREAS
1. The Donor is the sole and absolute owner of the immovable property situated at
House No. 4/129, Mansarovar Yojna, LDA Colony, Lucknow, Uttar Pradesh
(hereinafter referred to as the "Gifted Property").
2. The Donor, out of natural love and affection for his nephew, the Donee, has
voluntarily decided to gift the Gifted Property to the Donee, without any monetary
consideration.
3. The Donee has willingly accepted the gift of the Gifted Property.
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NOW THIS DEED WITNESSETH AS FOLLOWS:
The Donor hereby declares that the Gifted Property is free from all encumbrances, liens,
charges, or claims of any kind.
2. TRANSFER OF OWNERSHIP:
2.1. The Donor hereby transfers, conveys, and assigns all his rights, title, and interest in the
Gifted Property to the Donee, absolutely and irrevocably, to be held and enjoyed by the
Donee as the sole owner thereof.
2.2. The Donor has delivered physical and vacant possession of the Gifted Property to the
Donee on the execution of this Gift Deed.
This Gift Deed is made out of natural love and affection that the Donor has for the Donee and
without any monetary consideration.
The Donee hereby accepts the gift of the Gifted Property and acknowledges receipt of
possession.
5. INDEMNITY:
The Donor covenants with the Donee that he has clear and marketable title to the Gifted
Property and shall indemnify the Donee against any loss or claim arising from a defect in title
or any encumbrance on the Gifted Property.
The stamp duty, registration charges, and other incidental expenses relating to this Gift Deed
shall be borne and paid by the Donee.
7. DISPUTE RESOLUTION:
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Any disputes arising under this Gift Deed shall be subject to the jurisdiction of the courts at
Lucknow, Uttar Pradesh.
IN WITNESS WHEREOF, the Donor and the Donee have signed this Gift Deed on the
day, month, and year first above written in the presence of the following witnesses:
SIGNATURES:
Donor: Donee:
(Signature) (Signature)
Name: Mr. Ramesh Kumar Name: Mr. Arun Kumar
WITNESSES:
1. (Signature) 2. (Signature)
Name: Name:
Address: Address:
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VI. Mortgage
A mortgage is a legal transaction that involves transferring an interest in a specific immovable
property to secure the repayment of a loan, whether it is an existing debt or one that may arise
in the future. The party who transfers the property is the mortgagor, while the recipient of the
property and lender of the loan is called the mortgagee.
The amount of money borrowed, including any accrued interest, is called the mortgage money.
Property transfer is typically formalized through a document called a mortgage deed. In
summary, a mortgage is a means for individuals to obtain a loan using their property as
collateral, with defined roles and terms for the parties involved.
Section 58(a) of the Act defines the term mortgage as follows: “A mortgage is the transfer of
an interest in specific immovable property for the purpose of securing the payment of money
advanced or to be advanced by way of loan, an existing or future debt, or the performance
of an engagement which may give rise to a pecuniary liability.”
The person who mortgages the property is the ‘mortgagor’ and the person to whom the property
is mortgaged is the ‘mortgagee’. The instrument used by the parties involved in such transfer
is known as the ‘mortgage deed’.
Mortgage Deed: A mortgage deed is a legal document that gives the lender an interest in
property when you take out a loan backed by the property. A mortgage deed is a legally binding
agreement, using property as collateral for a loan. When you purchase a home, you make
payments on a home loan. The mortgage deed is the paperwork you sign that allows the lender
to put a lien on the property until the loan is paid. When people say they make a monthly
mortgage payment, they actually mean they make a monthly loan payment while the mortgage
deed secures the property for the lender. If a borrower doesn't pay back a loan in accordance
with the agreement, the lender can foreclose and take possession of the land or have it auctioned
off.
The Mortgage Deed is the evidence of the interest transferred to the mortgage holder. Often
simply referred to as the mortgage, the mortgage deed is the document transferred to the
mortgage holder.
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Mortgage deeds are official documents that prove the terms of a loan between a borrower and
lender. Mortgages guarantee that loans will be repaid and give the lender the legal power to
repossess the mortgaged property if the borrower defaults. The mortgage deed grants the lender
the legal authority to foreclose on the property in the event of default on the debt.
The mortgage deed is an integral aspect of the loan agreement since it is a legally binding
contract between the borrower and the lender. The deed spells out every facet of the loan, from
the principal to the interest rate to the repayment plan and any extra fees or penalties. This
document includes the lender's right to foreclose on the property if the loan is not repaid and
the borrower's obligations and rights.
▪ Simple Mortgage:
• There is no foreclosure.
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• A personal undertaking to obtain a money decree against the
mortgagor.
• To sue on the mortgage and obtain a decree for the sale of the property.
o It states that where the mortgagor ostensibly sells the mortgaged property on
condition that on default of payment of the mortgage-money on a certain
date the sale shall become absolute, or on condition that on such payment
being made the sale shall become void, or on condition that on such payment
being made the buyer shall transfer the property to the seller, the transaction is
called a mortgage by conditional sale and the mortgagee a mortgagee by
conditional sale.
• There is a condition that the sale shall be void if the loan is repaid on a
particular date. The property is then retransferred to the mortgagor.
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o The remedy of the mortgagee is by foreclosure only.
o In the case of Sunil K. Sarkar v. Aghor K. Basu (1989), it was held that where
separate documents of sale deed and reconveyance deed are executed between
the same parties in the same transaction and in respect of the same property, the
transaction could not be called a mortgage by conditional sale.
▪ Usufructuary Mortgage:
o In this type of mortgage, the mortgagee has the advantage to repay himself.
▪ English Mortgage:
o It states that where the mortgagor binds himself to repay the mortgage-money
on a certain date, and transfers the mortgaged property absolutely to the
mortgagee, but subject to a proviso that he will re-transfer it to the mortgagor
upon payment of the mortgage-money as agreed, the transaction is called an
English mortgage.
o The word ‘absolutely’ emphasizes that the characteristics of a sale are more
pronounced in the case of an English mortgage, but it does not suggest that
there is absolute transfer in the nature of sale.
o The remedy for this type of mortgage is by sale and not by foreclosure.
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o In this, the mortgagor ordinarily undertakes to pay the debt personally.
▪ Equitable Mortgage:
o It states that where a person in any of the following towns, namely, the towns
of Calcutta, Madras and Bombay and in any other town which the State
Government concerned may, by notification in the Official Gazette, specify in
this behalf, delivers to a creditor or his agent documents of title to
immoveable property, with intent to create a security thereon, the transaction
is called a mortgage by deposit of title-deeds.
o The mortgagee’s remedy is by a suit for sale, he can also sue for the mortgage
money.
▪ Anomalous Mortgage:
o The rights and liabilities of the parties to such a mortgage are to be determined
by their contract, as evidenced in the mortgage deed and failing that, by local
usage.
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o The mortgagee’s remedy is by sale and also foreclosure, if the terms of the
mortgage permit it.
A mortgage deed contains several important elements necessary to be legally binding. The key
elements of a mortgage deed are:
1. Parties: The lender and the borrower must be named parties to the deed. All parties to the
loan transaction, including intermediaries and guarantors, shall be named in the deed.
2. Deed Description: The deed itself should be described, including the date it was signed, the
date it was recorded, and any other relevant details.
3. Property Details: The deed should identify the mortgaged property by address and legal
description.
4. Recital: The deed's recital explains the document's purpose and why the parties are entering
into the agreement.
5. Covenant for Repayment: The covenant for repayment outlines the loan terms, including
the loan amount, interest rate, repayment schedule, and any other fees and penalties that may
be due.
6. Mortgage Clause: The mortgage clause outlines the lender's rights and remedies in the event
of a default on a loan. It includes the right to foreclose on the property and other legal remedies.
7. Possession: Possession terms should also be mentioned in the deed. Who will have access
to the property and who will be accountable for its upkeep will be determined here.
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PROBLEM-
Mr. Ankur wants to construct a residential house on the vacant land which he owned by
perpetual lease deed, due to financial incompetence Mr. Ankur was unable to construct house
in his own land. For the mentioned purpose Mr. Ankur take a loan from M/S Tiwari enterprises
ltd under which he is employee . Mr Ankur take the amount of 5 lakh rupees @10% of Annual
interest from above mentioned company by putting such vacant land on the mortgage. Draft a
mortgage deed in favour M/S Tiwari enterprises ltd.
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MORTGAGE DEED
This Mortgage Deed is made and executed on this 25th day of November 2024, by:
Mr. Ankur,
Son of
Residing at
(hereinafter referred to as the "Mortgagor," which term shall include his heirs, executors,
administrators, and assigns),
IN FAVOUR OF
WHEREAS:
1. The Mortgagor is the sole and absolute owner of the vacant land situated at [Full
Address of the Property], hereinafter referred to as the "Mortgaged Property."
3. To secure the repayment of the said loan, the Mortgagor has agreed to mortgage the
Mortgaged Property in favour of the Mortgagee.
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NOW THIS DEED WITNESSETH AS FOLLOWS:
1. MORTGAGE:
1.1. In consideration of the loan of ₹5,00,000 (Rupees Five Lakh Only) advanced by the
Mortgagee to the Mortgagor, the Mortgagor hereby mortgages the Mortgaged Property in
favour of the Mortgagee as security for the repayment of the loan along with interest.
1.2. The Mortgagor covenants with the Mortgagee that he has absolute title over the
Mortgaged Property and that it is free from all encumbrances, liens, or claims of any nature.
2. REPAYMENT OF LOAN:
2.1. The Mortgagor agrees to repay the principal amount of ₹5,00,000 (Rupees Five Lakh
Only) along with interest at the rate of 10% per annum in equal monthly installments over a
period of ‘n’ years/months.
2.2. In case of default in payment of any installment, the entire outstanding loan amount
along with accrued interest shall become immediately payable at the discretion of the
Mortgagee.
3. RIGHT OF POSSESSION:
3.1. The Mortgagor shall retain possession of the Mortgaged Property and use it solely for the
purpose of constructing a residential house during the tenure of the mortgage.
3.2. In the event of default in repayment of the loan, the Mortgagee shall have the right to
take possession of the Mortgaged Property and sell the same to recover the outstanding
amount.
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5. RIGHT OF REDEMPTION:
Upon full repayment of the loan along with interest, the Mortgagee shall re-convey the
Mortgaged Property to the Mortgagor, and this Deed shall stand canceled.
6. DEFAULT:
6.1. In the event of default by the Mortgagor in repayment of the loan or any part thereof, the
Mortgagee shall have the right to enforce the mortgage by sale of the Mortgaged Property in
accordance with law.
6.2. The Mortgagee shall recover the outstanding amount from the proceeds of such sale and
refund any surplus to the Mortgagor.
The stamp duty and registration charges for this Mortgage Deed shall be borne by the
Mortgagor.
IN WITNESS WHEREOF, the parties hereto have executed this Mortgage Deed on the
day, month, and year first above written in the presence of the following witnesses:
SIGNATURES:
WITNESSES:
1. (Signature) 2. (Signature)
Name: Name:
Address: Address:
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VII. Lease
A lease is the transfer of right to enjoy property made of a certain time, or which is made in
perpetuity, or in consideration of a price paid or promised to be paid. Transfer of property act
deals with Essentials elements of Lease, Determination of Lease; Rights and Liabilities of
Lessor and Lessee (parties to lease).
A lease of an immovable property can be defined as the transfer of right to enjoy property made
of a certain time, express or implied, or which is made in perpetuity, or in consideration of a
price paid or promised to be paid, to the transferor by the transferee, who accepts the transfer
on such particular terms.
The transferor is called as the lessor, the transferee is called as the lesee, the price is called as
the premium and the money, share, service or other thing to be rendered is called as the rent.
1) The parties (the lessor and the lessee): In a lease there is always a requirement of two
parties; the parties are respectively called as the lessor and the lessee. Lease is based on an
agreement made by two persons who are competent to contract. A lessee can be a juristic person
that is, a company or a registered firm etc. If a lease deed is executed by one of the partners of
behalf of the firm, the lessee is the firm not the partner. In the case of, Raunak Ram V. Pishori
Singh, the Supreme Court held that, after the retirement of that particular partner the lease
continues to be exists and there is no subletting by partner in favour of the firm. The firm
continues to be the lessee.
2) The Demise: The Right to enjoy Immovable property: Lease is the transfer of limited estate.
This limited estate which is ‘right of enjoyment’ of property, is called the demise. So, in lease,
the demise is the subject matter of transfer. So, in the case of Girdhari Singh.V. Megh Lal
Pandey, it was held that; the essential characteristic of lease is that the property is occupied and
the corpus of which does not, by reason of the user, disappear.
3) The Duration of Lease: The period for which the right to use the property is transferred is
called the term of the lease. The term may be any period of time, longer or shorter, or even for
perpetuity, but it has to be mentioned in the deed. In the case of, Chapsibhai.V. Puroshottam,
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the Supreme Court held that, a lease is permanent lease because the rights of the lessee or tenant
are heritable; such leases are not intended to be only for the life time of the lesee.
4) Premium or Rent: Consideration in lease may be premium or rent. The consideration paid
at one time is called as the premium. But the consideration paid periodically is called as the
rent.
▪ Lease can be classified in three categories from the point of view of their duration:
o Periodic Leases
o Lease in Perpetuity
▪ A fixed-term lease covers a set amount of time, the most common being 1 year, 5
years or 10 years.
▪ When a fixed term ends, you and your tenant can agree to a further lease.
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▪ A fixed term indicates permanency, but permanency does not necessarily imply
fixing of rent.
Periodic Lease
▪ A lease whose duration or the term is continuous from period to period is called a
periodic lease.
▪ The mode in which the rent is reserved may afford a presumption as to the period of
lease.
Lease in Perpetuity
▪ A slight increase in rent will not, by itself destroy the permanent character of the
tenancy.
▪ A lease does not cease to be a lease in perpetuity only because there is a forfeiture
clause.
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VIII. Partnership Deed
The smooth and successful running of a partnership firm requires a clear understanding among
its partners regarding the various policies governing their partnership. The partnership deed
serves this purpose. The partnership deed contains various terms such as profit/loss
sharing, salary, interest on capital, drawings, admission of a new partner, etc. in order to bring
clarity to the partners.
A partnership deed defines the position of the partners of the firm. Below is the importance of
a partnership deed:
• It regulates the nature of business and liabilities, rights and duties of all partners.
• It helps to avoid misunderstandings between the partners since all of the terms and
conditions of the partnership are specified in the deed.
• In the case of a dispute amongst the partners, it will be settled as per the terms of the
partnership deed.
• There will be no confusion between the partners regarding the profit and loss sharing
ratio amongst them.
• It contains the remuneration that is to be paid to partners, thereby avoiding any dispute
or confusion.
• It ensure smooth functioning of the firm as the terms and liabilities between partners
are in a written form.
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Types of Partnership Deeds
• General Partnership Deed: The general partnership deed contains the terms and
conditions of a general partnership, where each partner shares equal responsibility for
the management of the firm business and are jointly liable for debts or obligations.
The partners of the firm should decide the firm’s name which adheres to the provisions of the
Partnership Act. The firm name is the name under which the business is conducted.
The deed should include details of all the partners, such as their names, addresses, contact
number, designation, and other particulars.
The deed should mention the business that the firm undertakes. It may be dealing with
producing goods or rendering services.
• Duration of firm
The deed should mention the duration of the partnership firm, i.e. if the firm is constituted for
a limited period, for a specific project or for an unlimited period.
• Place of business
The deed should contain the principal place of business where it carries on the partnership
business. It should also mention the names of any other places where it conducts business.
• Capital contribution
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Each partner will contribute an amount of capital to the firm. The entire capital of the firm and
the share contributed by each partner are to be mentioned in the deed.
• Sharing of profit/loss
The ratio of sharing profits and losses of the firm amongst partners should be noted in the deed.
It can be shared equally amongst all partners, or according to the capital contribution ratio or
any other agreed ratio.
The details of the salary and commission payable to partners should be mentioned in the deed.
The salary and commission can be paid to the partners based on their role, capabilities or any
other capacity.
• Partner’s drawings
The drawings from the firm allowed to each partner and interest to be paid to the firm on such
drawings, if any should be mentioned in the deed.
• Partner’s loan
The deed should mention whether the business can borrow loans, the interest rate of loans,
properties to be pledged, etc. It can also mention if a partner of the firm can borrow loans from
the business or not.
The rights, duties and obligations of all the partners of the firm should be mentioned in the
deed to avoid future disputes.
The deed should mention the date of admission of the partner, the regulations governing the
admission of a new partner, resignation, or changes after the death of a partner of the firm.
The deed should contain details about the audit procedure of the firm. It should mention the
details of how the partnership accounts are to be prepared and maintained.
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PARTNERSHIP DEED
This Deed of Partnership is made and entered into on this [Date], at [Place], by and between:
Collectively referred to as the “Partners,” which term shall mean and include their legal heirs,
representatives, successors, and permitted assigns.
WHEREAS:
1. The Partners have mutually agreed to carry on the business of [Nature of Business]
under the terms and conditions set forth in this Partnership Deed.
2. The business shall be carried out in partnership in accordance with the provisions of
the Indian Partnership Act, 1932.
2. BUSINESS ADDRESS:
The principal place of business of the Firm shall be [Address]. Additional branches may be
established by mutual consent of the Partners.
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3. NATURE OF BUSINESS:
The business of the Firm shall be [Specify Nature of Business] and any other business as
mutually agreed upon by all the Partners.
4. DURATION OF PARTNERSHIP:
The partnership shall commence from the date of execution of this Deed and shall continue
until dissolved by mutual consent or in accordance with the terms of this Deed.
5. CAPITAL CONTRIBUTION:
5.1. Each Partner shall contribute the following amounts to the capital of the Firm:
• Partner 1: ₹n
• Partner 2: ₹n
The net profits and losses of the Firm shall be shared among the Partners in the following
proportions:
• Partner 1: n
• Partner 2: n
7. BANK ACCOUNT:
The bank account of the Firm shall be opened and maintained with [Bank Name and
Branch], and it shall be operated jointly or as authorized by mutual consent of the Partners.
8.1. Each Partner shall devote their time and attention to the conduct of the Firm’s business.
8.2. No Partner shall engage in any competing business without the prior consent of the other
Partners.
9. MANAGEMENT:
The day-to-day management of the Firm shall be carried out by [Partner(s) Name(s)], who
shall keep proper books of accounts.
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10. LOANS AND BORROWINGS:
The Firm may raise loans or borrow funds for the business with the mutual consent of all the
Partners.
11.1. A new Partner may be admitted with the mutual consent of all existing Partners.
11.2. Any Partner may retire by giving [Notice Period] notice in writing to the other
Partners.
12. DISSOLUTION:
Any disputes arising between the Partners shall be resolved amicably. If unresolved, the
dispute shall be referred to arbitration under the Arbitration and Conciliation Act, 1996.
This Deed shall be governed by and construed in accordance with the laws of India.
IN WITNESS WHEREOF, the Partners have signed this Partnership Deed on the date
first above written in the presence of the following witnesses:
SIGNATURES OF PARTNERS:
Partner 1: Partner 2:
(Signature) (Signature)
Name: Name:
WITNESSES:
1. (Signature) 2. (Signature)
Name: Name:
Address: Address:
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IX. Power of Attorney (POA)
A power of attorney (POA) is a legal authorization that gives the agent or attorney-in-fact the
authority to act on behalf of an individual referred to as the principal. The agent may be given
broad or limited authority to make decisions about the principal's property, finances,
investments, or medical care.
POAs can be financial or they can pertain to health care. Both provide the attorney-in-fact with
general or limited powers.
A power of attorney (POA) is a legal document that grants someone else the authority to act
on your behalf in legal, financial, or medical matters. This appointed individual, known as the
attorney-in-fact or agent, can make decisions, sign documents, or manage affairs as outlined in
the POA. This document is crucial for situations where you may be unable to make decisions
due to illness, absence, or other circumstances, ensuring your interests are represented
according to your wishes.
• A General Power of Attorney is a Legal notice that gives someone the power to make
decisions on your behalf when you are not able to do so for yourself. This type of power
of attorney can be used in a variety of situations, such as if you are unable to travel if
you are a minor, or if you are incapacitated
• If you want to create a General Power of Attorney, there are a few things that you need
to know. First, you will need to gather all of the documentation needed to support your
claim, including copies of your ID, proof of residence, and any other documents that
will help prove your identity and authority. Once you have this information, you can
start the process by filling out a form called an ‘Application for Grant of General Power
of Attorney.’ The application must be filed with the appropriate government office, and
it may take some time for them to process it
• Once your application has been processed, you will need to provide documentation
verifying that you have given the power of attorney to the person you choose. This
documentation can include letters from your doctor or lawyer confirming that you are
incapacitated or unable to make decisions for yourself, as well as copies of any
important documents or affidavits.
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What Is a Special Power of Attorney?
A special power of attorney is an instrument that allows one person to act on behalf of another
in a legal or financial matter. The person who grants the power of attorney must be trustworthy
and have the authority to make decisions on behalf of the person who is granting the power. A
General Power of Attorney is a document that allows someone to act on behalf of another
person in a legal or financial matter. The document does not require trust, but it does require
authority from the person who is granting the power.
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X. Will
The Indian Succession Act, 1925 (ISA) is the law governing Wills and matters relating thereto.
It applies, inter alia, to Hindus.
It is also relevant to mention that in terms of Section 30 of the Hindu Succession Act, 1956
(HSA), any Hindu may dispose of by Will or other testamentary disposition, such as Family
Trust Deed, assignment of right to manage temples etc., any property, which is capable of being
so disposed of by him in accordance with the provisions of the ISA, or any other law for the
time being in force and applicable to Hindus.
"Will means the legal declaration of the intention of the Testator with respect to his property
which he desires to be carried into effect after his death".
It is advisable at this stage itself to understand the meaning of the expression "Codicil". This
expression is defined to mean "an instrument made in relation to a Will, and explaining, altering
or adding to its dispositions, and shall be deemed to be part of the Will".
Under General Clauses Act, "Will" includes a Codicil and every writing/ making a voluntary
posthumous disposition of property.
Chapter XXVI of the Rules relating to the jurisdiction of the High Court on its Original
Side deals with testamentary and intestate jurisdiction. In Rule 369, the expression "Will" is
defined to include Codicil.
The emphasis is on the intention of the Testator. The Kerala High Court has observed as
follows:
"the fundamental testamentary interpretation relating to Wills and Codicils remain the specific
intent expressed in the plain language of the Will".
The declaration must be with respect to the property of the Testator; and
The declaration must be to the effect that it is to operate after the death of the Testator, i.e. it
should be revocable during the life of the Testator.
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It is necessary to make a brief comment on the above three characteristics of the Will.
The expression "Legal Declaration" means that the document purporting to be a Will must be
legal, i.e. in conformity with the provisions as regards the execution and attestation as provided
in Section 63 of the ISA and must be by a person competent to make it. In other words, by a
person who is not a minor and is of sound mind.
Further, the declaration should relate to the property of the Testator which he wants to dispose
of. If the declaration contains no reference to the disposal of the property but merely provides
for a successor or appoints a manager to the property it is not a Will. The expression "Property"
is not defined in any enactment. Hence, one has to go by the general meaning of that expression.
Broadly, it can be stated that any asset in respect of which the Testator has acquired title can
be covered by the expression his property.
The declaration in relation to disposal of the property of the Testator must be intended to take
effect after his death. If the declaration is to carry into effect his intention immediately, then, it
is not a Will. The essence of Will is that it must be revocable during the lifetime of the Testator.
It may be stated that any document to qualify for classification as a Will must satisfy the above
three criteria.
Kinds of Will
Unprivileged Will
Will created by a person who is not a soldier employed in an expedition or engaged in actual
warfare or a mariner at sea is known as an unprivileged Will. For an unprivileged Will to be
valid, it must satisfy the following conditions:
The person creating the Will must sign or affix his/her mark to the Will. Else, some other
person should sign as per the directions of the testator (Person creating the Will) in his/her
presence.
The signature or mark of the testator or the signature of the person signing for the testator must
be placed so that it appears that it was intended to give effect to the writing as Will.
The two or more witnesses should attest to the will. The witnesses must have seen the testator
sign or affix his mark to the Will or has seen some other people sign the Will, in the presence
and by the direction of the testator.
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Privileged Will
The expression "Privileged Wills" is defined in Section 65 of the ISA. It states that any soldier
being employed in an expedition or engaged in actual warfare, or an airmen so employed or
engaged, or any mariner being at sea, may, if he has completed the age of eighteen years,
dispose of his property by a Will made in the manner provided in Section 86 of ISA.
The mode of making and rules for executing Privileged Wills are given in Section 66 of ISA.
Privileged Wills are Wills that may be in writing or made by word of mouth by those in active
services like a soldier, airman or mariner. The legal requirement for the validity of a privileged
Will has been reduced to enable certain persons to quickly make a Will. The following
conditions are applicable for a privileged Will:
The testator writes the whole will with his own hand. In such a case, it need not be signed or
attested.
The testator should sign the privileged Will written wholly or in part by another person. In such
a case, there is no requirement for attestation.
A Will written wholly or partly by another person and not signed by the testator is a valid Will
if it is proved that it was written by the testator’s directions or that the testator recognized it as
his/her Will.
A half-completed privileged Will is also considered valid if it is proved that non-execution was
due to some other reason and does not appear to be an abandonment of intentions to create a
Will.
If a soldier or airman or mariner has given written or verbal instruction for the preparation of a
Will but has died before it could be prepared and executed. And such will is a valid Will.
Joint Wills
Joint Will is a type of Will wherein two or more persons agree to make a conjoint Will. If a
Joint Will intends to take effect after the death of both persons, then it would not be enforceable
during the life-time of either. The person at any time during the joint lives or after the death of
one can revoke the joint will.
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FORMAT OF A WILL
1. DECLARATION:
I declare that:
1.1. I am making this Will voluntarily, without any coercion, undue influence, or pressure from
anyone.
1.2. I am of sound mind and capable of understanding the nature and consequences of my
actions.
1.3. This Will is intended to dispose of all my movable and immovable properties after my
death.
2. APPOINTMENT OF EXECUTOR:
3. DETAILS OF ASSETS:
The properties and assets to be disposed of under this Will are as follows:
3.1. Immovable Property:
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• Investments: [Details of Shares, Bonds, Mutual Funds, etc.].
4. BEQUESTS:
5. RESIDUARY ESTATE:
I direct that the remainder of my estate, if any, after the fulfillment of the above bequests, shall
be distributed as follows:
6.1. [Include any specific instructions for funeral arrangements, charitable donations, or other
matters].
I have signed this Will in the presence of the witnesses named below, who have also signed
this Will in my presence and in the presence of each other.
Date:
Place:
Signature of Testator:
8. ATTESTATION BY WITNESSES:
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We, the undersigned, certify that the above-named Testator, [Name of Testator], signed this
Will in our presence and that we, in turn, have signed this Will as witnesses in the presence of
the Testator and in the presence of each other.
Witness 1: Witness 2:
Name: Name:
Address: Address:
Signature: Signature:
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