A partition deed is used for allocating and distributing specific floors/ portions of a joint property among different members of a family. Partition can be either voluntary or compulsory according to circumstances and the needs of the family. The division of property can involve both immoveable property such as apartment / flats, buildings, plots etc as well as personal movable assets such as jewellery, shares, debentures etc .
Registration of Partition Deed
A partition deed is a compulsorily registerable document under Section 17 of the Registration Act, 1908. Therefore, it is necessary to get the Partition Deed registered in the Sub Registrar office if it is made in relation to an immoveable property. A decree given by a Court in terms of a Compromise / Settlement wherein shares of the parties are allocated by metes and bounds also needs to be registered.
In case of a joint property, unless specified otherwise, the co-owners will get an equal share on division . If the co-owners have some disagreement with regard to the division of the property, the case is taken to the court. Alternatively, they can also appoint an arbitrator to resolve the matter.
After a consensus is reached, legal formalities are carried out to authenticate and legalize the process of partition. An agreement / deed is drawn and all the members have to sign the said document to confirm their consent to the partition. Moreover, two witnesses are required to sign the agreement. It should clearly mention the date of partition and the names and shares allocated to each individual involved. Once this is done, the partition deed has to be registered in the Sub Registrar office. An unregistered partition deed is invalid and will render the division of immovable property as null and void.
Stamp Duty on a Partition Deed in Delhi
The stamp duty on Partition Deed in delhi is payable @ 2% on the value of the shares of property partitioned which is calculated as per the applicable Circle Rate. A single partition deed can be used for the partition of multiple properties and each property does not need to be partitioned and registered separately.
Effect of a Partition Deed
Once a partition deed is registered, all the persons become the sole and absolute owner of their respective shares and become competent to sell, let out, gift, mortgage etc their share without the concurrence of others. They are free to deal with their share in property in any manner as they like. They can also get the mutation done of their respective shares in the records of MCD on the basis of the registered Partition Deed.