Friday, 13 December 2013

Rectification Deed: Rectification of Error

Rectification deed 

Sale deed is a legal document authenticating transfer of right, title and interest in immovable property and evidences devolution of the same from seller to buyer. It is executed on a stamp paper; hence any error may make the entire deal cumbersome and invite litigation. Since it is executed on valuable stamp paper, it is not possible to make fresh sale deed on every detection of error.

Correction at pre-registration stage

(1) Some common errors such as errors in names and addresses of the parties, description of the property, sale consideration etc. may be corrected on the deed itself and authenticated by all the parties.

(2) In case of factual errors such as defect in the title of the seller, measurement of the property, additional rights of the buyer etc, the relevant page should be changed, whatever may be the cost of stamp on that page.

 

Post registration stage

 

Any error detected after registration of the concerned sale deed, can be corrected by a “Rectification deed” only which also has some conditions and limitations.

Conditions

(a) Error must be genuine
(b) It must be inadvertent not intentional
(c) All the parties must agree to the rectification thereof.

Limitations

Rectification deed can rectify only factual errors NOT error of law, such as
(A) Deficient stamp duty
(B) Jurisdictional error of Sub-Registry office
(C) Basic character of transaction e.g. Sale transaction cannot be corrected as Gift
(D) It is meant to rectify defects in the original deed NOT to change the nature of the transaction OR Intention of the parties involved.

Procedure for Rectification by Rectification Deed

 

(1) Rectification deed must be signed by all parties
(2) It is to be executed on stamp Paper as per rates of registration in respective states
(3) Rectification deed also must be registered with the same Sub-registrar’s office where original deed was registered.
(4) For minor mistakes the stamp duty and registration charges are Rs.100/- each
(5) For rectification of major errors viz. names of the parties, measurement of the property, location and any other description of the property, the stamp duty and registration charges apply as per rate of registration of the original Sale deed
(6) It must give reference of the errors in the original deed which is being rectified now.

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