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Sale on the basis of unregistered family settlement deed

(Querist) 10 August 2017 This query is : Resolved 
Can i purchase a land on the basis of "Un-registered family settlement deed" on Rs 100 stamp paper showing the intended seller got 100% share in this family asset after the death of parents. The deed is signed by all living heirs

Regards
Rajendra K Goyal (Expert) 10 August 2017
Unregistered family settlement deed is not valid in the eyes of law.
Kumar Doab (Expert) 10 August 2017
'Buyer Beware' applies to property deals.
It shall be appropriate to get proper legal opinion from a very able local senior counsel of unshakable repute and integrity specializing in revenue/property/civil matters before signing or making payment.
This may cost some FEE but can defend long term interest and hard earned monies.
Kumar Doab (Expert) 10 August 2017
The said document could be MoU that is reduced in writing to repeat what the parties ( Family) had already had agreed and have been complying with the terms narrated in said document, even before the execution of family deed and its registration is not required.
However it does not suffice to create title...........or interest.
Kumar Doab (Expert) 10 August 2017
Supreme Court of India
Tek Bahadur Bhujil vs Debi Singh Bhujil And Ors.
12. Family arrangement as such can be arrived at orally. Its terms may be recorded in writing as a memorandum of what had been agreed upon between the parties. The memorandum need not be prepared for the purpose of being used as a document on which future title of the parties be founded. It is usually prepared as a record of what had been agreed upon so that there be no hazy notions about it in future. It is only when the parties reduce the family arrangement in writing with the purpose of using that writing as proof of what they had arranged and, where the arrangement is brought about by the document as such, that the document would require registration as it is then that it would be a document of title declaring for future what rights in what properties the parties possess.

https://indiankanoon.org/doc/818453/
Kumar Doab (Expert) 10 August 2017
You may also go thru:

Central Government Act
Section 17 in The Registration Act, 1908
17. Documents of which registration is compulsory.—(l) The following documents shall be registered, if the property to which they relate is situate in a district in which, and if they have been executed on or after the date on which, Act No. XVI of 1864, or the Indian Registration Act, 1866, or the Indian Registration Act, 1871, or the Indian Registration Act, 1877, or this Act came or comes into force, namely:—

(b) other non-testamentary instruments which purport or operate to create, declare, assign, limit or extinguish, whether in present or in future, any right, title or interest, whether vested or contingent, of the value of one hundred rupees and upwards, to or in immovable property;

https://indiankanoon.org/doc/561156/
Kumar Doab (Expert) 10 August 2017
You may also go thru:

Central Government Act
Section 35 in The Indian Stamp Act, 1899
35. Instruments not duly stamped inadmissible in evidence, etc

https://indiankanoon.org/doc/176042882/
Central Government Act
Section 49 in The Registration Act, 1908
49. Effect of non-registration of documents required to be registered.—
https://indiankanoon.org/doc/1768154/

Kumar Doab (Expert) 10 August 2017
Let the parties ( all legal heirs) may sign the sale deed...........

Or let them register the said document.
If there is NO dispute, they should agree.

Let your own LOCAL counsel as suggested above advise you...........


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