The Buyt Desk
Upon the death of a person, if that person has not drafted a will, to verify the successor’s legitimacy a succession certificate is issued to a departed’s successor.
A succession certificate is a legal document issued by a civil court in India. This document will certify the legal heirs of a deceased person. It tells who the right person is to be the successor of the deceased person. If a deceased person has drafted a Will, then the succession certificate is not necessary. But the succession certificate is needed when the Will is not left behind.
While we have discussed how a valid Will can be made and enforced, it is important to understand that the law also gives an option to seek a succession certificate for the estate of a deceased person.
What is a Succession Certificate?
In India, a civil court issues a legal document known as a Succession certificate to the legal heirs of a dead person certifying a rightful person to be the successor. To realize the debts and securities of the deceased person without Will this certificate authorizes the successor. For the inheritance of immovable property when there is no Will available this certificate cannot be obtained. The main objective of the Succession Certificate is to facilitate the collection of debts on succession and provide protection to the parties paying debts to the successor as per the certificate.
How to get a Succession Certificate?
To get the Succession Certificate the first step is to submit an application for the same to the district judge of that jurisdiction. Jurisdiction needs to be the same as the residence of the deceased or which has any property of the deceased in case there is no permanent residence.
This application can be made by a sound-minded person who is not a minor and has an interest in the estate of the deceased. It can be a widow of the deceased or any person having a beneficial interest in the debt of the security. For minors, it is granted through guardians.
After going through the petition, the court issues a notice to all concerned parties. This notice specifies a time frame within which objections can be raised by the person receiving the notice. If no objection is raised within that time frame, the court will pass an order to issue a succession certificate to the party. In the case of more than one petitioner, the court may jointly grant them a certificate. Only one certificate is granted for a single asset.
What details should the application have?
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Deceased time of death
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Residence of the deceased at the time of death
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Details of family or other near relatives of the deceased person
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Legal heir’s details
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Rights of the succession certificate petitioner
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NOC from legal heirs
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Absence of any impediment to the grant of a certificate
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Copy of the death certificate
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Debts and securities of the deceased person for which the certificate is applied for
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Property Details of the deceased person
What does Succession Certificate contain?
The district judge granting a succession certificate specifies the debts and securities as described in the application for the certificate. The certificate empowers the certified person to
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receive interest or dividends on the securities
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negotiate or transfer the securities
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do both 1 and 2
What is the cost of a Succession Certificate?
Under the Court-Fees Act, 1870, the petitioners of succession certificates have to pay a fixed percentage of the value of the asset as court fees for succession certificates. The payment is in the form of judicial stamp papers of a sufficient amount. On the same stamp paper, the succession certificate is typed and attested.
What are the effects of the Succession Certificate?
The Succession Certificate holder has the right to claim over the assets and property of the deceased person, collect debts and securities due to the deceased or payable in the deceased’s name and inherit the deceased’s debts and other liabilities.
Few important points in Succession Certificate
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Succession Certificate can be granted even when there is a nomination in the accounts, insurance etc. The trustee to the actual legal heirs of the deceased person will be the nominee.
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Succession Certificates can also be revoked/cancelled. If there is fraud or defective proceedings where the certificate becomes useless due to circumstances it can be revoked or cancelled.
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Succession Certificate and legal heir certificates are different entities and cannot act as a substitution for each other.
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A succession Certificate is not granted for immovable property.
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With the applicable law, Succession Certificates can be extended and amended.
