The Family Settlement comes into question when a family wants to distribute the property among the family members. It is done when the family members related to each other want to settle it between the family itself and do not want to choose the option of the court to resolve the distribution. Such distribution is done with the mutual consent of all the family members who have a right to claim on the property. It is not limited only to immovable property but also to movable property like jewelry, antiques, etc.
Family settlement takes place in respect of the property which comes into the common interest of all the family members being the common property or joint property and does not apply to individual or self-acquired property.
What is the need for family settlement?
Family Settlement is formed when either the members of the family want a distribution of property clearly settled between the members or there is a dispute regarding the same and the parties want to solve such dispute by forming a family settlement.
Importance of Family Settlement:-
- Is the distribution of property
- Brings settlement to dispute regarding property
- Time-saving as it saves time from the hassle of the court proceeding.
- Saves the family relation getting sore.
- Documentation helps in proper elaboration and saving misunderstanding and miscommunication.
Family Settlement oral or Documentary?
Family settlement can be both documentary and oral. Both of them are effective on the parties to such family settlement and are enforceable. However, it is recommended to create a documentary form of family settlement as it saves the parties from confusion. When there is no documentary form it is quite easy to manipulate terms later on as there is no written proof to prove the settlement. The further human mind cannot remember all the things involved as terms and conditions involved in a Family Settlement. Thus, it is advised to have a written form of Family Settlement.
It is to be noted that registration of family Settlement agreement is required only it is in written form and not in case of the oral agreement.
What is the Requirement in a Family Settlement?
The requirements are:-
- Name of all the family members.
- Details of ownership of property.
- Terms of distribution of property.
- Details of the property with House No., Site plan map, address proof, etc.
- Members must agree on the terms and conditions of the family Settlement.
- Proper evaluation of declaration regarding payment of dues.
- No Objection certificate of the Parties to the Settlement
- Sealing of agreement with signature and thumb impression.
The parties signing the agreement should keep one thing in mind that the signing of the document means that all the parties to it should compulsorily follow the terms and conditions of the settlement. It is further to be remembered that such a document is legally enforceable in case any dispute arises regarding the settlement or the parties to the agreement do not follow the terms and conditions.
Services Provided by Legallands:-
- Family Settlement Agreement
- MOU (Memorandum of Understanding)
- No Objection Certificate
- General Power of Attorney (If required)
- Special Power of Attorney (If required)
Contact the Best Family Settlement Lawyers, ADR Law firm in Delhi today, LEGALLANDS LLP will help you with all the matters relating to FEMA, FDI, ADR, Corporate & Commercial, Family Law, IPR, International Trade & Tax, Other Advisory Services and Business Setup advisory in India and Abroad. Contact today at +91 11 46045777 or [email protected]