due diligence of property
TRANSCRIPT
DUE DILIGENCE OF DUE DILIGENCE OF PROPERTY PROPERTY
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PROPERTY PROPERTY Property mean something owned by someone whether
tangible or intangible, immovable or movable.
Type of Property: • Immovable: Immovable Property includes land,
building, hereditary allowances, rights to ways, lights, ferries, fisheries or any other benefit to arise out of land, and things attached to the earth or permanently fastened to any thing which is attached to the earth but not standing timber, growing crops or grass.
• Movable: Movable property shall mean property of every description, except immovable property3
TITLE & DOCUMENTS TO TITLE & DOCUMENTS TO TITLETITLE
Title means the right to ownership of property. it is the evidence of the right of ownership.
Title can be created by “Acts of Parties” or by “Operation of Law”.• Acts of Parties – Transfer, Conveyance, Gift etc• Operation of Law – Succession, Inheritance
The documents relating to property are called Instruments or Deeds. The Indian Stamp Act defines an “Instrument” to include every document by which any right or liability is purported to be created, transferred, limited, extended, extinguished or recorded.
Documents of Title are of two types: • Testamentary: • Non-Testamentary: 4
INVESTIGATION INVESTIGATION The process of ensuring the valid title to the property is
called investigation. It starts with the present owner’s original title deed . Then proceed to examine the parent documents or the prior title deeds.
Safest period is 30 years for search and investigation because • (i) The period of Limitation against Government is 30 years; • (ii) Under Section 90 of the Evidence Act, a document 30 years or
more are presumed to be validly executed;
Thorough knowledge of facts & law may be required including • Laws governing the property • Minors and the legally disabled; • Law of Succession;• Different land tenures prevalent in the locality; • modes of obtaining title through decrees of Court etc. 5
LIST OF PROPERTY LAWSLIST OF PROPERTY LAWS The Transfer of Property Act. The Indian Registration Act. The Indian Stamp Act. Law of Contract Law relating to Succession Statutes passed by State Legislatures from time
to time such as Co-operative Society Acts, Apartment Ownership Act etc.
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KEY ASPECTS OF KEY ASPECTS OF INVESTIGATIONINVESTIGATION
Complete details of property & its ownership including entire chain of property till date;
Licenses /Permissions/NOCs relating to the property including fire safety, lift aspects etc;
Mortgage Details;
Utilities Payment Status including Electricity, Water etc;
Property Tax aspects; 7
CONTACT USCONTACT US
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