Indian Succession Law, 1925 Sections 380, 381, and 382 allow a succession certificate-holder to assume the deceased's assets and obligations. Get to know more about succession certificate in this blog
What Is a Succession Certificate?
A Succession Certificate, governed by the Indian Succession Act, 1925 is a legal document conferring authority upon the recipient to represent a deceased individual in the collection of owed debts and securities. This certificate identifies the lawful heirs of the deceased and confirms the absence of a will.
The need for a Succession Certificate arises when someone inherits either movable or immovable property as per the applicable laws in the country. While the Hindu Succession Act of 1956 addresses the majority of such matters, minority communities follow their specific acts or the Indian Succession Act,1925 It is crucial to grasp this issue accurately for both categories.
Typically, in the absence of a will, a Succession Certificate becomes crucial as the primary document enabling heirs to assert their rights to the assets of the deceased. To obtain a Succession Certificate, individuals must apply to a Civil Judge or the Civil Side of the relevant High Courts, often facilitated through dedicated cells within the courts.
This certificate grants the successor(s) the authority to collect debts and securities owed to the deceased, but it does not determine the right, title, or interest of the deceased in a specific property. While it does not confer direct succession rights to the claimed property, the successor(s) of an intestate deceased person has the entitlement to inherit the property of the deceased.
How Long It Take to Get a Succession Certificate?
A frequently requested question is how long it takes to get a succession certificate or how to do so. There must be a petition at the local court where the legal successor locates the deceased’s assets.
- The complete list of heirs is available here.
- The date, time, and location of death
- Death certificate photocopy
As soon as the court receives a petition for a succession certificate, it will publish a public notice and notify all the respondent(s). Replies to the petition for a succession certificate have 45 days to submit an objection with the court.
If no one objects to the petitioner’s request for a succession certificate within the allotted period, the certificate is awarded in their favor. The issue of a succession certificate often takes 5 to 7 months, which is a frequently requested question. As an added precaution, a judge may require an indemnity bond from the petitioner of a succession certificate if there is any suspicion of misappropriation of the document.
What Is the Procedure for Writing an Application For a Succession Certificate?
To receive a succession certificate, you must go through the following formalities:
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Preparation of a Petition
The applicant should draught a request, verify & sign it, and present it all to the district court judge at the appropriate authority after paying the required court costs.
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Making an Argument in Court
After a preliminary hearing, the district judge will schedule a final hearing date and tell anybody who should be notified of it. The last hearing date will be set if the candidate’s plea is accepted.
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Submittal of a Bond
Additionally, a deposit including one or more assurances or some other kind of security may be requested of the applicant to cover any losses resulting from the district court making use of the certificate.
Note that now the district judge has the jurisdiction to grant an extension for any obligation or security not specified in the initial application.
Specifics of a Succession Certificate Petition
Before presenting the petition to the district court, the applicant should sign and validate the petition, which must contain the following information:
Information on the deceased’s usual place of habitation now of death and, if it’s not feasible, information on the property under the control of the district court judge to which the statement is made.
- The dead family or even other relatives, but also their separate dwellings
- Rights of the petitioner in court (applicant)
- The certificate’s issuance is unassailable
- Debts and securities are included in the certificate of incorporation.
Succession Validity Affidavit
Every state in India recognizes the succession certificate. To be accepted in India, a certificate must be stamped according to the Court Expenses Act, of 1870 and issued by an Indian agent (selected by the government) authorized to that country.
The Influence of the Succession Certificate
To collect any dividends or income from the securities, the certificate holder is also entitled to transfer or negotiate those securities. Consequently, any payments made to or by the certificate on behalf of the deceased will be valid under the law.
How Much Does A Succession Certificate Cost?
According to the Court Costs Act of 1870, a certain amount must be paid when filing a petition in the example of judicial stamps. As a fee for issuing a succession certificate, the court sets a certain percentage of the estate’s worth. In India, this percentage varies from state to state. An average of 2% or 3% of the estate’s total cost is spent on this.
What Are the Requirements for a Succession Credential?
Before granting a succession certificate, the court must lawfully verify the petitioner’s claim to ownership. Before the request may be examined, the court requires that a particular set of documents be attached and authenticated.
Documents Required for a Succession Certificate
The following documents are required for getting a succession certificate in India:
- This information includes the time and date of death of the deceased
- The location of the deceased person’s last resting place
- A list of the deceased’s belongings
- Complete information about the deceased’s relatives
- All of the dead person’s legal heirs are listed
- Some privileges are reserved for those who obtain a succession certificate
- Lists of the deceased’s assets, liabilities, and investments.
The court emphasised that the proviso to Section 388(2) of the Act specifies that appeals from orders of inferior courts, as mentioned in Section 384(1), should go to the District Judge, creating a specific jurisdiction for such cases.
This decision clarifies the appeal process, deviating from the usual route to the High Court for orders under Chapter X of the Succession Act. The court highlighted the significance of the deeming provision in Section 388(2), indicating that when an inferior court is invested with the powers of a District Judge, it exercises concurrent jurisdiction and appeals go to the District Judge, not the High Court. The ruling underscores the legislative intent to establish a distinct appeal mechanism for cases involving Succession Certificates.
- A succession certificate grants the holder authority to collect interest/dividends on specified securities and handle their negotiation or sale
- Legitimate heirs can exclusively obtain a succession certificate from a civil court
- The certificate serves as proof of ownership for legal heirs when the deceased individual did not leave a will, facilitating inheritance of the deceased’s assets
- The district court, governed by Indian Succession Law, has the power to issue a succession certificate
- To obtain a succession certificate, applicants must submit necessary documents to the civil court, which will then issue a notice, followed by a 45-day protest period, and finally, the certificate outlining specified debts and assets
- Adults of sound mind seeking inheritance or guardians on behalf of minors can request a succession certificate
- In cases of multiple applicants, the district court will make a decision, issuing a single succession certificate
- Section 376 of the Indian Succession Law permits the extension of the certificate to include additional debts or securities not initially listed in the application.
Who Can Write the Succession Certificate?
Legitimate heirs may only request a succession certificate. Succession certificates are available to the next-of-kin of the dead who are the deceased’s wife/husband/son/daughter/mother or other immediate legal heirs of the deceased. This certificate may also be used to pay taxes, create a bank account, or complete tax reports when transferring an electric or telephone connection.
Justice H.P. Sandesh, presiding over a single-judge bench, overturned the trial court’s decision to reject M.R. Mohan and others’ petition for probate, granting Probate/Succession Certificate in their favour. The appellants, claiming ownership of a property through a will executed by Sannarangappa in 2000, faced initial rejection by the trial court, citing the lack of an appointed executor in the will.
However, the Karnataka High Court clarified that probate is not restricted to the named executor, emphasising compliance with procedural requirements and criticising the trial court’s flawed approach. The court highlighted the erroneous nature of the trial court’s decision, stating, ‘The very approach of the Trial Court is erroneous and failed to take note of the factual aspects of the case.’
Conclusion
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Frequently Asked Questions
How do you write a succession letter?
To write a succession letter, include details of the deceased, beneficiaries, and assets, and state your intention to apply for a succession certificate.
How do I write an application for a succession certificate?
To apply for a succession certificate, draft an application to the district court with details of the deceased, heirs, and assets, along with supporting documents.
How do I grant a succession certificate?
To grant a succession certificate, submit an application to the district court, providing details of the deceased, heirs, and assets, and attend court proceedings as required.
What is the procedure for filing a succession certificate?
The procedure for filing a succession certificate involves drafting an application, submitting it to the district court, providing necessary documents, and attending hearings as scheduled.
Can a succession certificate be challenged?
Yes, a succession certificate can be challenged in court on grounds of fraud, misrepresentation, or if there are disputes regarding the entitlement of heirs.
Is a succession certificate different from a legal heir certificate?
Yes, a succession certificate is different from a legal heir certificate. A succession certificate establishes the right to inherit assets, while a legal heir certificate confirms the legal heirs of the deceased.
What is the time period for a succession certificate?
The time period for obtaining a succession certificate varies depending on court procedures and case complexity but typically takes several months to a year.
Who issued the succession certificate?
The district court issues the succession certificate after verifying the documents and hearing the arguments of the parties involved.
Can a legal heir sell property without a succession certificate?
Yes, legal heirs can sell property without a succession certificate, but it may lead to legal complications and disputes over ownership rights.
Is a succession certificate compulsory?
While a succession certificate is not compulsory in all cases, it simplifies the process of transferring assets and establishing legal rights of heirs, making it advisable in most situations involving inheritance.
