Succession Certificate: Meaning, Rules, and Procedure
Introduction
A Succession Certificate is a significant legal document issued by a civil court to the legal heirs of a deceased person. If you’re dealing with the aftermath of a loved one’s death and need to manage their debts or securities, understanding the meaning, rules, and procedure of obtaining a Succession Certificate is important. This post will guide you through this process, helping you navigate this challenging time with ease.
What is a Succession Certificate?
A Succession Certificate is a document that gives a person the authority to inherit any debts, securities, or assets left by a deceased person. This certificate is necessary when the deceased has not left a will, and there are disputes about the rightful legal heir.
If the deceased person has left a will, the process is different. The executor named in the will would apply to the court for a probate of the will. Probate is a legal process that confirms the validity of the will and gives the executor the authority to administer the estate as per the terms of the will.
Rules for Obtaining a Succession Certificate
The Indian Succession Act, 1925, governs the rules for obtaining a Succession Certificate. Here are some key points:
- Jurisdiction: The certificate is obtained from a civil court within the jurisdiction where the deceased person resided at the time of their death, or where their property is located.
- Eligibility: The certificate is granted to the rightful legal heir of the deceased. In the absence of a will, the legal heirs are usually the spouse, children, and parents.
- Validity: The certificate is valid throughout India. Once issued, it provides the holder with the full right to recover the debts and securities of the deceased person.
Some Sections related to the Procedure to Obtain a Succession Certificate
The process of obtaining a Succession Certificate involves several steps:
- Filing a Petition (Section 372): The legal heir must file a petition in the District Judge’s court. The petition should include details like the time of death, the ordinary residence of the deceased at the time of their death, the family or other near relatives of the deceased and their respective residences, the right in which the petitioner claims, the absence of any impediment to the grant of the certificate, and the debts and securities in respect of which the certificate is applied for.
- Procedure on Application (Section 373): If the District Judge is satisfied that there is ground for entertaining the application, they will fix a day for the hearing and issue a notice of the application and of the day fixed for the hearing. The notice will be served on any person to whom the Judge believes should be given special notice of the application, and it will be posted on some conspicuous part of the court-house and published in such other manner as the Judge thinks fit. On the day fixed, or as soon thereafter as may be practicable, the Judge will proceed to decide in a summary manner the right to the certificate. If the Judge decides the right to belong to the applicant, they will make an order for the grant of the certificate to them.
- Contents of Certificate (Section 374): When the District Judge grants a certificate, they will specify the debts and securities set forth in the application for the certificate, and may empower the person to whom the certificate is granted to receive interest or dividends on, or to negotiate or transfer, the securities or any of them.
- Requisition of Security from Grantee of Certificate (Section 375): The District Judge may require, as a condition precedent to the granting of a certificate, that the person to whom they propose to make the grant shall give to the Judge a bond with one or more surety or sureties, or other sufficient security, for rendering an account of debts and securities received by them and for indemnity of persons who may be entitled to the whole or any part of those debts and securities.
- Extension of Certificate (Section 376): A District Judge may, on the application of the holder of a certificate, extend the certificate to any debt or security not originally specified therein. Upon the extension of a certificate, powers with respect to the receiving of interest or dividends on, or the negotiation or transfer of, any security to which the certificate has been extended may be conferred, and a bond or further bond or other security for the purposes mentioned in section 375 may be required.
Obtaining a Succession Certificate can be a complex process, but understanding the meaning, rules, and procedure can make it easier. If you’re dealing with the legalities following a loved one’s death, remember to consult with a legal professional to ensure you’re following the correct process.