law commission report no. 208- proposal for amendment of explanation to section 6 of the hindu...

8/18/2019 Law Commission Report No. 208- Proposal for Amendment of Explanation to Section 6 of the Hindu Succession Ac…

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GOVERNMENT OF INDIA

LAW

COMMISSION

OF

INDIA

Proposal for amendment of Explanaton to

Se!ton " of t#e $nd% S%!!esson A!t& '()" to

n!l%de oral partton and faml* arran+ement n

t#e defnton of ,partton-.

Report No. /01

23L4 /001

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LAW COMMISSION OF INDIA

5REPORT NO. /016

Proposal for amendment of Explanaton to Se!ton " of t#e$nd% S%!!esson A!t& '()" to n!l%de oral partton and

faml* arran+ement n t#e defnton of ,partton-.

Presented to Dr. $. R. 7#ard8a9& 3non Mnster for La8 and

2%st!e& Mnstr* of La8 and 2%st!e& Go:ernment of Inda ;*

Dr. 2%st!e AR. La


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Go:ernment of Inda& Mnstr* of La8 and 2%st!e&

Department of Le+al Affars& Ne8 Del#.

T#e La8 Commsson !onssts of t#e C#arman& t#e Mem;er@Se!retar*& one f%ll@tme Mem;er and se:en part@tme

Mem;ers.

C#arman

$on;le Dr. 2%st!e AR. La


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La8 Commsson Staff

Mem;er@Se!retar*

Dr. 7ra#m A. A+ra8al

Resear!# Staff

S#r S%s#l B%mar 2ont Se!retar* La8 Off!er

Ms. Pa8an S#arma Addtonal La8 Off!er

S#r 2. T. S%laxan Rao Addtonal La8 Off!erS#r Sar8an B%mar Dep%t* Le+al Ad:ser

S#r A. B. 3pad#*a* Dep%t* La8 Off!er

Dr. V. B. Sn+# Assstant Le+al Ad:ser

S#r C. Rad#a Brs#na Assstant Go:t. Ad:o!ate

Admnstrat:e Staff

S#r D. C#o%d#%r* 3nder Se!retar*S#r S. B. 7as% Se!ton Off!er

Smt. Ra9n S#arma Assstant L;rar*

Informaton Off!er

4

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T#e text of t#s Report s a:ala;le on t#e Internet at

#ttp??888.la8!ommssonofnda.n!.n

Go:ernment of Inda

La8 Commsson of Inda

T#e text n t#s do!%ment 5ex!l%dn+ t#e Go:ernment Lo+o6

ma* ;e reprod%!ed free of !#ar+e n an* format or med%m

pro:ded t#at t s reprod%!ed a!!%ratel* and not %sed n a

msleadn+ !ontext. T#e materal m%st ;e a!


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Dr. Justice AR. Lakshmanan ILI Building (IInd Floor!(Former Judge! "u#reme $ourt o% India Bhag&andas Road!

$hairman! La& $ommission o% India 'e& Delhi))* **) +el., -)))23344/5 Fa0, -)))2333514

DO No. 6(3)136/2008-LC(LS) 30 July, 2008

Dear Dr. Bhardwa !,

"u, ro#osal to suital amend the 0#lanation to section 1 to

include oral #artition and %amil arrangement in the de%initiono% 6#artition7.

I am %or&arding here&ith the 2*th Re#ort o% the La& $ommission o% Indiaon the ao8e su9ect.

"ection 1 o% the :indu "uccession Act! )-51 deals &ith de8olution o% interest in co#arcenar #ro#ert. +he Act &as amended Act 3- o% 2**5 and ane& section 1 &as sustituted. "usection (5 o% section 1 and the 0#lanationthereto read thus,

6(5 Nothing contained in this section shall apply to a partition, which has

been effected before the 20th

day of December, 2004.

0#lanation. For the purposes of this section, “partition” means any partition made by eecution of a deed of partition duly registered under the !egistration "ct, #$0% ' of #$0%( or partition effected by a decree of a court.7

+he 0#lanation de%ines 6#artition7 as an #artition made e0ecution o% a

deed o% #artition dul registered under the Registration Act! )-* or #artitione%%ected a decree o% court. +his de%inition o% 6#artition7 does not include oral

#artition and %amil arrangement.

"ince the amended Act has %ailed to include oral #artition and %amilarrangement &ithin the de%inition o% 6#artition7! &hich are common and legallacce#ted modes o% di8ision o% #ro#ert under the :indu La&! the $ommissionundertook this su9ect suo motu.

1

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+he "u#reme $ourt o% India in its 9udgment dated 2).*).)-/1 in )ale and *rs. +. Deputy Director of onsolidation and *rs.! )-/1 (3 "$$ ))- held that adocument &hich is in the nature o% a memorandum o% an earl %amil arrangementand &hich is %iled e%ore the court %or its in%ormation %or mutation o% names is notcom#ulsoril registrale and there%ore can e used in e8idence o% the %amilarrangement and is %inal and inding on the #arties. +he ao8e 8ie& o% the"u#reme $ourt has also een clearl enunciated and adroitl adumrated in a long

course o% decisions o% the "u#reme $ourt and also those o% ri8 $ouncil and:igh $ourts. +he courts ha8e taken a lieral and road 8ie& o% the 8alidit o% a%amil settlement and ha8e al&as tried to u#hold it and maintain it. +he$ommission is o% the 8ie& that the #ro#osal %or suitale amendment in the0#lanation to section 1 o% the :indu "uccession Act is asolutel necessar in

#ulic interest.

+he $ommission #laces on record the ale assistance rendered ;s.:ema "am#ath! "enior Ad8ocate! $hennai! in #re#aring this Re#ort.

nion ;inister %or La& and Justice!?o8ernment o% India!"hastri Bha&an!

Ne8 Del#@''0 00'

/

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LAW COMMISSION OF INDIA

PROPOSAL FOR AMENDMENT OF EHPLANATION TO SECTION

" OF T$E $IND3 S3CCESSION ACT& '()" TO INCL3DE ORAL

PARTITION AND FAMIL4 ARRANGEMENT IN T$E DEFINITION

OF ,PARTITION-.

TABLE OF CONTENTS

1. "N#$OD%C#"ON &

2. J%D"C"'L "* 1+

3. $COND'#"ON 1&

1. INTRODUCTION

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).) +he :indu "uccession Act! )-51 (3* o% )-51 is a #art o% the :indu $ode

&hich also includes the :indu ;arriage Act! )-55! the :indu Ado#tions and;aintenance Act! )-51 and the :indu ;inorit and ?uardianshi# Act! )-51.

+hese Acts rought aout re8olutionar changes in the la& relating to :indus. It

codi%ied the la& relating to marriage! succession! ado#tion! etc.

).2 +he :indu "uccession Act made a re8olutionar change in the la& relating

to succession! es#eciall %or %emale :indus. For the %irst time! a :indu %emale

could ecome an asolute o&ner o% #ro#ert. "he could inherit e@uall &ith a

male counter#art and a &ido& &as also gi8en im#ortance regarding succession o%

her husands #ro#ert as also o% her %athers #ro#ert. +he :indu "uccession Act

&as amended in 2**5 the :indu "uccession (Amendment Act! 2**5 (Act 3-

o% 2**5 to #ro8ide that the daughter o% a co#arcener in a 9oint :indu %amil

go8erned the -itashara La& shall irth ecome a co#arcener in her o&n

right in the same manner as the son! ha8ing the same rights and liailities inres#ect o% the said #ro#ert as that o% a son.

).3 "ection 1 o% :indu "uccession Act deals &ith de8olution o% interest in

co#arcenar #ro#ert. "ection 1! e%ore its sustitution Act 3- o% 2**5! read as

under,

-

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". De+olution of interest in coparcenary property. 6


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(c e su9ect to the same liailities in res#ect o% the said

co#arcenar #ro#ert as that o% a son!

and an re%erence to a :indu -itashara co#arcener shall e deemed

to include a re%erence to a daughter o% a co#arcener,

ro8ided that nothing contained in this susection shall a%%ect or

in8alidate an dis#osition or alienation including an #artition or

testamentar dis#osition o% #ro#ert &hich had taken #lace e%ore the 2*th

da o% Decemer! 2**4.

(2 An #ro#ert to &hich a %emale :indu ecomes entitled 8irtue o%

susection () shall e held her &ith the incidents o% co#arcenar

o&nershi# and shall e regarded! not&ithstanding anthing contained in this

Act or an other la& %or the time eing in %orce! as #ro#ert ca#ale o%

eing dis#osed o% her testamentar dis#osition.

(3


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(c the share o% the #redeceased child o% a #redeceased son or o%

a #redeceased daughter! as such child &ould ha8e got had he

or she een ali8e at the time o% the #artition! shall e allotted to

the child o% such #redeceased child o% the #redeceased son or

a #redeceased daughter! as the case ma e.

/planation. For the #ur#oses o% this susection! the interest o% a

:indu -itashara co#arcener shall e deemed to e the share in the

#ro#ert that &ould ha8e een allotted to him i% a #artition o% the #ro#ert

had taken #lace immediatel e%ore his death! irres#ecti8e o% &hether he

&as entitled to claim #artition or not.

(4 A%ter the commencement o% the :indu "uccession (Amendment Act!

2**5! no court shall recognise an right to #roceed against a son! grandson

or greatgrandson %or the reco8er o% an det due %rom his %ather!

grand%ather or greatgrand%ather solel on the ground o% the #ious

oligation under the :indu la&! o% such son! grandson or greatgrandson to

discharge an such det,

ro8ided that in the case o% an det contracted e%ore the

commencement o% the :indu "uccession (Amendment Act! 2**5! nothing

contained in this susection shall a%%ect

(a the right o% an creditor to #roceed against the son! grandson or

greatgrandson! as the case ma eE or

( an alienation made in res#ect o% or in satis%action o%! an such

det! and an such right or alienation shall e en%orceale

under the rule o% #ious oligation in the same manner and to

the same e0tent as it &ould ha8e een en%orceale as i% the

)2

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:indu "uccession (Amendment Act! 2**5 had not een

enacted.

/planation. For the #ur#oses o% clause (a! the e0#ression son!

grandson or greatgrandson shall e deemed to re%er to the son!

grandson or greatgrandson! as the case ma e! &ho &as orn or ado#ted

#rior to the commencement o% the :indu "uccession (Amendment Act!

2**5.

(5 'othing contained in this section shall a##l to a #artition! &hich has

een e%%ected e%ore the 2*th da o% Decemer! 2**4.

/planation. For the #ur#oses o% this section! #artition means an

#artition made e0ecution o% a deed o% #artition dul registered under the

Registration Act! )-* ()1 o% )-* or #artition e%%ected a decree o% a

court.7

).5 A daughter o% a co#arcener ecame e@ual to a son and got e@ual rights in

the co#arcenar #ro#ert as a son.

).1 +he #ro8iso to "ection 1() #rotects an dis#osition or alienation including

an #artition or testamentar dis#osition o% #ro#ert &hich had taken #lace e%ore

2*th Decemer! 2**4.

)./ +he 0#lanation a##ended a%ter susection (5 de%ines 6#artition7 as an

#artition made e0ecution o% a deed o% #artition dul registered under the

Registration Act! )-* or #artition e%%ected a decree o% court.

)3

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). +he Act has %ailed to include oral #artition and %amil arrangement &ithin

the de%inition o% 6#artition7! &hich are common and legall acce#ted modes o%

di8ision o% #ro#ert under the :indu La&.

/. 23DICIAL VIEW

2.) +he "u#reme $ourt o% India in its 9udgment dated 2).*).)-/1 in )ale and

*rs. +. Deputy Director of onsolidation and *rs.! )-/1 (3 "$$ ))-! &hile

dealing &ith a memorandum o% %amil arrangement through %amil settlement!

held that the %amil arrangements are go8erned a s#ecial e@uit #eculiar to

themsel8es and that the %amil arrangement ma ha8e een oral in &hich case no

registration is necessar and that the registration &ould e necessar onl i% the

terms o% the %amil arrangement are reduced into &riting.

2.2 +he "u#reme $ourt has oser8ed,

6B 8irtue o% a %amil settlement or arrangement memers o% a %amil

descending %rom a common ancestor or a near relation seek to sink their

di%%erences and dis#utes! settle and resol8e their con%licting claims or

dis#uted titles once %or all in order to u #eace o% mind and ring aout

com#lete harmon and good&ill in the %amil. +he %amil arrangements are

go8erned a s#ecial e@uit #eculiar to themsel8es! and &ill e en%orced i%

honestl made! although the ha8e not een meant as a com#romise! ut

ha8e #roceeded %rom an error o% all #arties! originating in mistake or

ignorance o% %act as to &hat their rights actuall are! or o% the #oints on

&hich their rights actuall de#end.

)4

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6+he o9ect o% the arrangement is to #rotect the %amil %rom long

dra&n litigation or #er#etual stri%es &hich mar the unit and solidarit o%

the %amil and create hatred and ad lood et&een the 8arious memers o%

the %amil. It #romotes social 9ustice through &ider distriution o% &ealth.

Famil there%ore has to e construed &idel. It is not con%ined onl to

#eo#le ha8ing legal title to the #ro#ert.

6$ourts lean in %a8our o% %amil arrangements. +echnical or tri8ial

grounds are o8erlooked. Rule o% esto##el is #ressed into ser8ice to #re8ent

unsettling o% a settled dis#ute.

6Famil arrangement ma e e8en oral in &hich case no registration

is necessar. Registration &ould e necessar onl i% the terms o% the %amil

arrangement are reduced into &riting. :ere also! a distinction should e

made et&een the document containing the terms and recitals o% a %amil

arrangement made under the document and a mere memorandum #re#ared

a%ter the %amil arrangement had alread een made either %or the #ur#ose

o% the record or %or in%ormation o% the court %or making necessar mutation.

In such a case the memorandum itsel% does not create or e0tinguish an

rights in immo8ale #ro#erties and there%ore does not %all &ithin the

mischie% o% "ection )/(2 o% the Registration Act and is! there%ore! not

com#ulsoril registrale.

6"o a document &hich &as no more than a memorandum o% &hat had

een agreed to did not re@uire registration.

)5

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6:ence a document &hich is in the nature o% a memorandum o% an

earlier %amil arrangement and &hich is %iled e%ore the court %or its

in%ormation %or mutation o% names is not com#ulsoril registrale and

there%ore can e used in e8idence o% the %amil arrangement and is %inal and

is inding on the #arties.

68en i% a %amil arrangement &hich re@uired registration &as not

registered it &ould o#erate as a com#lete esto##el against the #arties &ho

ha8e taken ad8antage o% the %amil arrangement.

6Be%ore dealing &ith the res#ecti8e contentions #ut %or&ard the

#arties! &e &ould like to discuss in general the e%%ect and 8alue o% %amil

arrangements entered into et&een the #arties &ith a 8ie& to resol8ing

dis#utes once %or all. B 8irtue o% a %amil settlement or arrangement

memers o% a %amil descending %rom a common ancestor or a near relation

seek to sink their di%%erences and dis#utes! settle and resol8e their

con%licting claims or dis#uted titles once %or all in order to u #eace o%

mind and ring aout com#lete harmon and good&ill in the %amil. +he

%amil arrangements are go8erned a s#ecial e@uit #eculiar to themsel8es

and &ould e en%orced i% honestl made. In this connection! Gerr in his

8aluale treatise )err on Fraud at #. 314 makes the %ollo&ing #ertinent

oser8ations regarding the nature o% the %amil arrangement &hich ma e

e0tracted thus,

+he #rinci#les &hich a##l to the case o% ordinar com#romise et&een strangers

do not e@uall a##l to the case o% com#romises in the nature o% %amil arrangements.

Famil arrangements are go8erned a s#ecial e@uit #eculiar to themsel8es! and &ill e

en%orced i% honestl made! although the ha8e not een meant as a com#romise! ut ha8e

)1

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#roceeded %rom an error o% all #arties! originating in mistake or ignorance o% %act as to

&hat their rights actuall are! or o% the #oints on &hich their rights actuall de#end.

6+he la& in ngland on this #oint is almost the same. In alsbury1s aws of /ngland ! Hol. )/! +hird dition! at ##. 2)52)1! the %ollo&ing a#t

oser8ations regarding the essentials o% the %amil settlement and the

#rinci#les go8erning the e0istence o% the same are made,

A %amil arrangement is an agreement et&een memers o% the same %amil!

intended to e generall and reasonal %or the ene%it o% the %amil either

com#romising dout%ul or dis#uted rights or #reser8ing the %amil #ro#ert or the

#eace and securit o% the %amil a8oiding litigation or sa8ing its honour.

+he agreement ma e im#lied %rom a long course o% dealing! ut it is more usual

to emod or to e%%ectuate the agreement in a deed to &hich the term %amil

arrangement is a##lied.

Famil arrangements are go8erned #rinci#les &hich are not a##licale to

dealings et&een strangers. +he court! &hen deciding the rights o% #arties under %amil

arrangements or claims to u#set such arrangements! considers &hat in the roadest 8ie&

o% the matter is most %or the interest o% %amilies! and has regard to considerations &hich!

in dealing &ith transactions et&een #ersons not memers o% the same %amil! &ould not

e taken into account. ;atters &hich &ould e %atal to the 8alidit o% similar transactions

et&een strangers are not o9ections to the inding e%%ect o% %amil arrangements.7

2.3 +he #rinci#les indicated ao8e ha8e een clearl enunciated and adroitl

adumrated in a long course o% decisions o% the A#e0 $ourt as also those o% the

ri8 $ouncil and :igh $ourts in the %ollo&ing cases,

)/

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)hunni al +. 3obind )rishna Narain! ILR 33 All 351E

-t. iran ibi +. -t. 5ohan ibi, AIR )-)4 $ 44E

5ahu -adho Das +. -uand !am, AIR )-55 "$ 4)E

!am haran Das +. 3ir6a Nandini De+i, AIR )-11 "$ 323E

7e ahadur hu6il +. Debi 5ingh hu6il, AIR )-11 "$ 2-2E

-aturi 8ullaiah +. -aturi Narasimham, AIR )-11 "$ )31E

)rishna eharilal +. 3ulabchand, )-/) () "$$ 3/E

5. 5hanmugam 8illai +. ). 5hanmugam 8illai, )-/3 (2 "$$ 3)2.

2.4 +hus! it &ould a##ear %rom a re8ie& o% the decisions (su#ra! that the courts

ha8e taken a 8er lieral and road 8ie& o% the 8alidit o% the %amil settlement

and ha8e al&as tried to u#hold it and maintain it. +he central idea in the

a##roach made the courts is that i% consent o% #arties! the matter has een

settled! it should not e allo&ed to e reo#ened the #arties to the agreement on

%ri8olous or untenale grounds.

3. RECOMMENDATION

3.) ral #artition or %amil arrangement is an e0tremel 8aluale #o&er

&here the #eace! ha##iness and &el%are o% a %amil are secured and litigation is

a8oided. It is s#eci%icall hel#%ul in the case o% illiterate memers o% a %amil or

&ho ha8e no means to ear e0#enditure o% legal #rocessad8ice etc.

)

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3.2 B the 2**5 amendment in the :indu "uccession Act! oral #artition and

%amil arrangement &hich had een e%%ected #rior to the enactment &ould e set at

naught. :ence! the $ommission #ro#oses a suitale amendment in the

0#lanation to section 1 o% the :indu "uccession Act! )-51 to include oral

#artition and %amil arrangement in the de%inition o% 6#artition7.

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law commission report no. 208- proposal for amendment of explanation to section 6 of the hindu...

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