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PART B : CONVEYANCING

Definition of Conveyancing

The art of „conveyancing‟ is of English origin. The word „to convey‟ means to transfer or to
make over. The word conveyancing means an instrument or deed through which one or more
living person transfer his or their interest in present or in future in or upon an inmmovable
property to one or more living persons. In other words conveyance means an act by which
property is conveyed or voluntarily transferred from one person to another by means of a
written instrument and other formalities. Section 2(10) of the Indian Stamp Act, 1899 defines
the term „conveyance‟ as:

Conveyance includes a conveyance on sale and every instrument by which property,

whether movable or immovable, is transferred inter vivos and which is not otherwise
specifically provided for by Schedule I.

History of Conveyancing

In ancient times, in England the deed writing was optional continued to remain optional until
the time of King Charles II, particularly the case in which the deed was required not to be
under seal. Writing was required only in the great matter of importance. It was only during the
reign of King Charles II that the British Parliament enacted in 1677 a legislation requiring
writing for creation and transfer of the interest in landed property with an exception in case of
lease for less than three year. The Real Property Act of 1845 required all grants of landed
interest to be made by writing which came to be known as „conveyancing‟. The present form
of conveyancing is based on the Conveyance of Land Act of 1845 and the Law of Property
Act of 1925.

In India the forms of conveyancing are based on the present English forms. No legislation in
India has ever been passed on the law of conveyancing. Conveyancing in India is not
unknown as the word, ‘Qabuliyatnama’, ‘Jagirdar’, ‘Muafidar’ and ‘Charpatra’, etc., are
occurring from ancient days in the Indian literatures. Thus, as in England and so in India, too,
there are two types of Deeds, viz., „Deed Poll‟ and „Indenture‟. Charpatra (Redemption of
rent), Jagir grants, Quabuliyats, etc, were all the seal of the grantor. The Deed Poll is a
document which is executed unilaterally in the first person while an indenture is bilateral or
multilateral deed. Bonds, Power of Attorney and Wills are „Deed Polls‟. Mortgages, sales and
gifts can also be unilateral and so these are 'Deed Polls', while a deed of Lease is a bilateral
document to be executed by the Lessor and Lessee both and so it is an „Indenture‟.

The Position of Drafting in India

The condition of drafting of conveyancing in mofussil India is deplorable. It is only in the

then Presidency Towns (metropolitan cities) of Bombay, Calcutta and Madras the work of
drafting of the conveyancing remained in the hand of solicitors and barristers well trained in
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the field of drafting on the lines of English conveyancing and it still continues on the same
pattern and is satisfactory. But in the Mofussil Towns the task of drafting of conveyancing
remained and continues to remain in the hands of „deed writers‟, „scribes‟ or „scribers‟ who
have no legal knowledge but have adopted the profession of deed writing. So, the deeds in
Mofussils generally and commonly suffer from so many defects and sometimes these defects
become incurable.

Deed

In a broad sense the „deed‟ means something done or performed which is synonymous with
„act‟. In legal sense, deed means a solemn act denoting document, and it may be defined as an
instrument written on parchment or on a paper executed, signed, sealed and delivered by the
executant. A document or an instrument through which a present or future interest in an
immovable property is transferred by one or more living persons to another living person or
persons is called deed. It is called a deed because it is considered the most solemn and
authentic act that a person can possibly perform in relation to his property. Statements made
in deeds may amount to admission and may operate as estoppel in certain circumstances.

In Halsbury's Law of England, a deed has been defined as an instrument written on parchment
or paper expressing the intention of some persons named therein who make assurance of some
interest in property, or of some legal or equitable right, title or claim, or undertake or enter
into some obligation, duty or agreement enforceable at law or in equity, or to do some other
act affecting the legal relation or position of a party to the instrument.

Historically, in England, deeds were classidfied into (a) Deed Poll, and (b) indenture deed.

Deed Poll

As the old practice in England was to indent or cut a document which indicated towards
executant of the deed; and when deed was polled or cut at the top or at the bottom it was
known as „Deed Poll‟. It was called Deed Poll or single deed because it was executed by one
party only. A bond, a power of attorney, and a will are the best examples of Deed Poll. It is an
executed contract of conveyance made by the grantor alone.

Indenture Deed

Under the old practice of drafting of deed in England, the mark of cut or indent indicated
towards the executant of the deed. A deed is technically called an „indenture‟ or „deed
indented‟, because the old-practice in England was to cut or intend for the purpose of tally.
The old practice was to write two copies of the deed upon the same piece of parchment or
substance with some words or terms or letter of alphabet were so written that when one copy
was separated from the other, the substance or the parchment was so cut or indented so as to
leave half of the word or letter in one copy and the other half in another copy, so as to fit or
aptly join its counterpart from which it was supposed to have been cut, indented or separated.
110

This practice of indenting of deeds is no more in England and at present indenture means a
deed between two or more parties importing the meaning of executed contract of conveyance
made under seal. A deed of Lease, a mortgage deed and a partnership deed were the best
example of indenture deed according to old practice in England.

Distinguish between Deed Poll and Indenture Deed

1. Deed Poll and Indenture both are executed contract and are always in writing.

2. Both are deeds of conveyance and muniment of record of title, and used as
documentary evidence if needed.

3. Deed Poll or single deed is a unilateral document executed by one party only, while
Indenture deed is bilateral or multilateral document executed by two or more than two
parties.

4. A Deed Poll is generally written in the first person while an Indenture deed is always
written in the third person. In other words, in a Deed Poll, the grants and the
covenants of the grantor are in the first person, while in an Indenture, grant and
covenants are in the third person.

5. A Deed Poll may be commenced with the expression, „Know All Men By These
Presents‟ or „To whomsoever it May Concern‟ or straightway „I, so and so, Send
These Greeting or Presents‟, while in an Indenture deed, the opening words are –
„This Indenture of..........‟ or „This Deed of.........‟ or „This Instrument of.........‟ etc.

6. Historically, in England, the difference between a Deed Poll and an Indenture deed
was an interesting one, but at present there is no such difference and both are
indiscriminately used for each other. The difference is only for phraseology but of no
practical importance.

7. The old concept of difference between the Deed Poll and an Indenture as, historically,
was maintained in England had never found place in India. It is because an indenture
relating to real property in England was required to be made under seal which never
was a requirement in India.

Document

Documents means any matter expressed or described upon any substance by means of letters,
figures, or marks, or by more than one of those means intended to be used, or which may be
used, for the purpose of recording that matter ( sec. 3, Indian Evidence Act 1872).
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Documentary evidence is an important piece of evidence of which the Court, Jury and
Tribunal take judicial cognizance.

Deed, Conveyance and Deed of Conveyance

The term „Deed‟, „Conveyance‟ and „Deed of Conveyance‟ or „Conveyancing‟ are frequently
used interchangeably to denote one and the same legal concept, and each is being commonly
understood to mean an instrument in writing whereby the grantor conveys to the grantee some
right, title or interest in or upon some real property . Thus, by the aforesaid expressions, we
mean each of them as document, indenture or instrument in writing. So , the terms,
„conveyance‟, „conveyancing‟, „deed of conveyance‟ or „conveyancing‟, „deed‟, „document‟,
„indenture‟ and „instrument‟ are interchangeable for the purpose of drafting of documents.

Object and Function of Conveyancing

Movable property may be physically given and taken by actual delivery, while this is not
possible in case of property in case of immovable properties. Thus, conveyancing is that
branch of the law of transfer of property which deals with the mode and form of transfer to
which both- the transferor and the transferee have agreed upon. Its main object is to enable
the owners of real property to make voluntary transfers of their right, title and interest therein
for some specific purpose and for a specified period. Such transfers are not otherwise possible
than by conveyancing.

It incorporates the expressions of the intention of the parties to the deed of conveyance so that
accordingly it shall take effect. In case of any doubt, dispute, ambiguity and susceptibility, the
real intention of the parties may be discovered from the words, phrases and the expression
used in the deed. A transferor may have passed the property intending to pass; but if he has
not expressed himself in suitable words of the language, the deed may be defective or
susceptible of two or more constructions; and so the benefits of the transfer may be lost to the
transferee. Secondly, where any adverse claimant interposes before the transferee, may get
actual legal possession of the transferred property, it may be quite possible that the transferor
with all his willingness may not be able to help the transferee.

It helps the Court and judicial tribunals to determine any dispute if subsequently arises
between the parties to the deed. It serves the purpose of both- the transferor and the transferee
in protecting their interests. It protects the interests of the transferee from any precedent and
/or subsequent acts or omissions of the transferor or any other person claiming through or
under him against the expressed intention of the grant and the covenant of the deed; and
likewise, the interest of the transferor is also protected from any subsequent acts or omissions
of the transferee. It is a document of title to the property and forms the basis of a record of
rights maintained by the Government. It is, also, a documentary piece of evidence.
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COMPONENTS OF DEEDS

Drafting of a deed involves the law by which parties are governed, effect of the transaction
and certainty and clarity by using appropriate words and expressions. An ordinary deed of
transfer may conveniently be divided into the following parts: Description of the deed; Date;
Parties; Recitals; Testatum; Consideration; Receipt; Operative words; Parcels; Exception and
Reservations (if any); Habendum; Covenants (if any); Testimonium. The part of the deed
which precedes the habendum is termed “the premises”. Each of these parts will now be
separately considered.
A) DESCRIPTION/NAME/TITLE OF THE DEED
All deeds should be described by the name of the transaction which they evidence, such as
“THIS DEED OF MORTGAGE”, THIS DEED OF SALE”, THIS LEASE”, THIS DEED OF
GIFT”, etc. When the deed is of a complex character and evidences different transactions
known by different legal names, or the conveyancer is not sure what name should properly be
given to it, it would be best to describe it simply as “THIS DEED”. The description is usually
written in capitals.
B) DATE AND PLACE
After the description of the deed is stated, the date on which it is executed, thus:
“THIS LEASE made on the first day of February one thousand nine hundred and
ninety nine.”
The date of a deed is the date on which it is singed by the party or parties executing it. When
there is only one party to a deed, as in the case of Deed Poll, or when all the parties sign it on
one and the same date, or when, though there are several parties to a deed, all do not sign and
those who sign do so on one date, there is no difficulty. But if several parties to a deed sign it
on different dates, the question is which date should be entered as the date of deed. The
practice is to regard the last of such dates as the date of the deed.
The date should, in order to avoid mistake and risk of forgery, be written in words and not in
figures. Figures may be added within parenthesis.
In every case in which a deed is executed by more than one person, the date on which each
signs the deed must be shown in the deed, preferably against his signature.
The place where the deed is executed must be specified very clearly and generally at the start
of document.
C) PARTIES TO THE DEED
1. Transferee
After the date, the names and description of the parties to the deed are mentioned. Who are
the necessary and proper parties to a deed depends on the circumstances of each case.
Although a transferee is not a necessary party, and a deed will not be invalid or ineffective if
he is not mentioned as such, except in the case of a Lease, he is certainly a proper party. It is
always advisable to make him a party.
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2 Third person
Sometimes it is necessary or expedient, in order to validate a transfer or to give a complete
title to the transferee, or to avoid possible disputes or doubts in that regard, to obtain the
consent or concurrence of a third person. In such cases, such third person may also be joined
as parties.
3. Description
Full description of the parties so as to prevent difficulty of identification should follow the
name. In India, parentage, occupation and residence including Municipal or survey number,
street and city and in the case of resident of a rural area the village, sub-division, tehsil and/or
development block are generally regarded as sufficient to identify a man, but if there is any
other description which is sufficient, the same may be normally adopted. Where the transferor
is as member of a scheduled caste or scheduled tribe for whose protection the statute places
restrictions on his right to transfer it may be necessary to mention such caste or tribe while
reciting the fact of permission for the transfer having been obtained from the competent
authority.
4. Juridical Person
A party to a transfer need not be a living individual but may be a company, or association or
body of individuals or an idol or a corporation sole or aggregate, or in fact, any juridical
person capable of holding property and entering into contracts.
5. Idol
As an idol has to act through some natural person, the name of the latter should be disclosed.
6. Reference Labels of Parties
In order to avoid the repetition of the full name and description at every place, the parties are
generally referred to in the body of the deed by some easy and convenient names which
generally have reference to the character in which they join the deed, such as „the vendor‟,
„the purchaser‟, „the lessor‟, „the lessee‟, In order to avoid mistakes in writing words
resembling each other for opposite parties, e.g., a combination of „mortgagor‟ and
„mortgagee‟ or „vendor‟ and „vendee‟, they prefer to use a combination of „borrower‟ and
„mortgagee‟, or „vendor‟ and „purchaser‟. If no such name is adopted, the parties can be
referred to as „the party of the first part‟ (or „the first party‟), „the party of the second part‟ (or
„the second party‟), „the said AB‟, „the said CD‟, but is is always preferable to give each party
some short name for reference. Whatever short name is adopted the party should be referred
to throughout by the same name.
The form, in which the parties will be described in the beginning of the deed, would thus be
as follows:
“This SALE DEED is made on the_______day of _______BETWEEN AB, etc.
(hereinafter called „the Vendor‟) of the one part and CD, etc., (hereinafter called „the
Purchaser‟), of the other part.”
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If the transferor along is made a party, this clause will run as follows:
“The SALE DEED is made on the _______day of________by AB etc., (hereinafter
called „the Vendor‟)”.
If there are more than two parties, instead of the works “of the one part” and “of the other
part” the works “ of the first part”, “of the second part”, “of the third part”, etc., should be
used.
D) RECITALS
Recitals are of two kinds: (1) Narrative Recitals, relates to the past history of the property
transferred and set out facts and instruments necessary to show the title and the relation of the
parties to the subject-matter of the deed; and (2) Introductory Recitals, which explain the
motive for the preparation and execution of the deed.
Form of Recitals
Recitals generally begin with the word „WHEREAS‟, but, when there are several recitals, one
can either repeat the word before every one of them, by beginning the second and subsequent
ones with the words „AND WHEREAS‟, or divide the recitals into numbered paragraphs with
the word „WHEREAS‟ at the top.
E) Testatum
The next part of a deed consists of the operative part. It commences with a witnessing clause
termed the „testatum‟, which refers to the introductory recitals of the agreement (if any) and
also states the consideration (if any) and recites acknowledgement of its receipt. The
witnessing clause usually begins with the words „NOW THIS DEED WITNESSES‟. These
words of testatum are of no importance as affecting the operation of the deed and their sole
use is to direct attention to the object which the deed is intended to serve several objects, use
the words „as follows‟ after the testatum, thus:
„NOW THIS DEED WITNESSES AS FOLLOWS:‟
F) CONSIDERATION
As contracts are necessarily for consideration (Sec. 10 of the Contract Act), it is advisable to
express the consideration. This is necessary in many cases of transfer for ascertaining the
stamp duty payable on the deed as Sec. 27 of the Indian Stamp Act requires that the
consideration should be fully and truly set forth in the deed. The penalty for omission to
comply with this requirements is a fine which may extend to RS. 5,000 (vide Sec. 64).
G) RECEIPT
Acknowledgment of receipt of consideration may be embodied in the deed itself instead of
passing a separate receipt. Thus:
“NOW THIS DEED WITNESSES THAT in pursuance of the aforesaid agreement and in
consideration of Rs.________paid by the purchases to the vendor before the execution hereof,
the receipt of which the vendor hereby acknowledges”.
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H) OPERATIVE WORDS
Then follow the real operative words which vary according to the nature of the estate and of
the transaction.

I) PARCELS

This is a technical expression meaning description of the property transferred and it follows
the operative words. Care must be taken, on the one hand, to include in the particular
description or in general words, all the lands, etc., which are intended to pass so that no doubt
may arise as to the extent and operation of the deed; and on the other hand not insert words
which will pass more than what is intended.
Map: Sometimes it is necessary to have a map or a plan of the property in order to avoid
mistake about its identity and to indicate the actual property conveyed with greater
definiteness and precision. A map referred to in a transfer deed is treated as incorporated in
the deed, and if it is drawn to scale and demarcates the boundaries clearly it is not permissible
to attempt to correct them with reference to revenue records.
Great care should be taken in describing the property, as a slight mistake or omission may
cause immense loss to a party and if the property is described both in the body and the
schedule, a conflict between the two should be carefully avoided.
J) EXCEPTIONS AND RESERVATIONS
All exceptions and reservations out of the property transferred should follow the parcels.
An exception is something in existence at the date of transfer which, if not expressly
excepted, would pass with the property as described in the parcels, such as trees.
A reservations is something not in existence at the date of the transfer but is newly created by
the grant, e.g. when the vendor reserves a right of way over the property. But since both
„excepting and reserving‟ are used in practice it is immaterial whether what follows is an
exception or a reservation.
K) HABENDUM
This is familiar „to have and to hold‟ (in Latin, habendum et tenendum) clause of the English
precedents. In India such phrases as „to have and hold‟ or such expressions as „to the use of
the purchaser‟ are not strictly necessary but there is no harm in continuing the established
practice.
L) CONVENANTS AND UNDERTAKINGS
If the parties to a transfer enter into covenants, such covenants should be entered after the
Habendum. While drafting covenants, regard should be had to the statutorily implied
covenants which operate subject to any contract to the contrary. Where several covenants
follow each other, they may run on as one sentence, each being introduced with the words
„and also‟ or by the words „First‟, „Secondly‟, etc. or they may be set out in paragraph form
with the heading.
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„THE VENDOR HEREBY COVENANTS WITH THE PURCHASER AS FOLLOWS:‟

It is better to put in the transferor‟s and the transferee‟s covenants separately, and any
covenants mutually entered into by the parties with each other may be inserted separately. If
the transferer‟s and transferee‟s covenants are separately mentioned in the deed, care should
be taken that no covenant which should really by the covenant of one party is entered in the
covenants of the other. For example, if a lessee is given the right to cut trees of a certain kind
and not to cut tree of a different kind, the latter covenant is a covenant by the lessee and the
former is a covenant by the lessor and both should not be inserted in one covenant by either.
When it is found inconvenient or awkward to split up, what really is one covenant into two
parts, it is better to insert such a covenant as a mutual covenant by the parties.
Sometimes the terms and conditions of a transfer cannot be conveniently separated into
transferor‟s covenants and transferee‟s covenants. In such cases, it would be better to include
all the covenants under one head as parties‟ covenants thus:

„THE PARTIES AFORESAID HERETO HEREBY MUTUALLY AGREE WITH EACH

OTHER AS FOLLOWS:‟
M) TESTIMONIUM
The last part of a deed is the testimonium which sets forth the fact of the parties having signed
the deed. This is not an essential part of the deed, but as it marks the close of the deed there is
no harm in continuing the established practice. The usual English form of testimonum is as
follows:
„In witness whereof the parties hereto have hereunto set their respective hands and seals the
day and year first above written.‟
The use of seals is not common in India except in cases of companies and corporations, and
the proper form in simple language would be somewhat as follows:
„In witness whereof the parties hereto have signed this deed on the date first above written.‟
N) SIGNATURES AND ATTESTATION
After testimonium should follow the signatures of the executants and those of attesting
witnesses. If executant is not competent to contract or is a juristic person, the deed must be
signed by the person competent to contract on his or its behalf.

*****
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WILL

Section 2(h) of the Indian Succession Act, 1925 defines Will as:
“Will means the legal declaration of the intention of a testator with respect to his property
which he desires to be carried into effect after his death.”

Section 2(b) of the Indian Succession Act, 1925 defines Codicil as:
“Codicil is an instrument made in relation to a will, and explaining, altering or adding to its
disposition, and shall be deemed to form part of the will.”

 There is no standard form prescribed by law regarding drafting a will.

 The language of the will should be clear and unambiguous.
 The properties should be described with complete clarity.
 A will is drafted in first person.
 Details of the testator to be mentioned clearly. (Name, Age, Occupation, Address
etc.)
 Details of bequeath, to whom and which property is given.
 Details of the executor if any.
 Previous testaments if any.
 Sound state of mind of testator.
 Signature and attestation. Signature of the testator and attesting witnesses(with their
details)
 No stamp duty is required to be paid on a will.
 Will is not required to be compulsorily registered, it is optional.
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WILL

THIS IS THE LAST WILL TESTAMENT of me, Sh. XYZ S/o Sh. ABC R/O 13, PQS
APPARTMENTS, ROHINI, DELHI- 110085 made at….(Place) on….(Date).
That life is uncertain and this is my last Will by way of which I bequeath voluntarily and out
of my own free will in a sound state of mind, my self acquired properties to the beneficiaries
as described hereunder.

WHEREAS I was married to…..(name) on….(date) and is living happily for …. Years and
out of the wedlock we have two children, a son …….(name) aged… and a daughter ……
aged…..
AND WHEREAS ….. my son is happily married to….(name) and out of the wedlock, they
are blessed with one child….. (name) aged…. and are residing at ……(address).
AND WHEREAS ……my daughter is married to…(name) and out of the wedlock they are
blessed with one child….(name) aged… and are residing at…(address).

In my lifetime I have built my movable and immovable properties out of my own sources and,
therefore, I am the absolute owner of the properties hereunder.
IMMOVABLE PROPERTY
1. Residential property bearing no. ………….admeasuring …………...
2. Shop No. …………..admeasuring…..
3. Shop No. ……………….admeasuring…….
4. Shop No. ……………….admeasuring ……………..
(hereinafter called the Immovable Property)
MOVABLE PROPERTY
All my household and personal belongings at ………..
FD‟s if any
Gold Details etc.
(hereinafter called the Movable Property)

I HEREBY WISH that my abovementioned property should devolve in the following manner:
That my property bearing no………would devolve on to my wife….absolutely and
unconditionally and she shall deal with the said property in any manner as she likes and my
children will have no claim on this property whatsoever.
That my property bearing no…… and my all movable property would devolve on to my
son….. absolutely and unconditionally and none of my legal heirs shall have any claims on
this property whatsoever.
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That my daughter is happily married and is well settled in her matrimonial home and she does
not need any financial support for survival after my death.
That my present will is drafted in my presence and upon my instructions and contents of my
will have been read out to me in my own vernacular.
I declare the contents of this Will to be my last Will arrived at by me in sound state of mind.

IN WITNESSES WHEREOF I….. have signed this will hereunder on this ….Day of ….,
20...at…in the presence of the following witnesses who are also attesting this will in my
presence and at my request.
Sign
TESTATOR

Signed by the above named testator in our presence at the same time and each of us has in the
presence of the testator signed our name hereunder as an attesting witness

1. Name and details of Witness 1 Sign

2. Name and details of Witness 2 Sign
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POWER OF ATTORNEY
Power of Attorney is a document of agency or a formal arrangement by which one person
(Principal) gives another person (Attorney or Agent) authority to act on his behalf and in his
name. As per the Power of Attorney Act, 1882:
“Power-of-Attorney includes any instruments empowering a specified person to act for and in
the name of the person executing it.”
A Power of Attorney may be a general or special power. A General Power of Attorney covers
more than one subject matter while a Special Power of Attorney relates to a specific subject
matter, though it may contain several powers relating to the same subject matter. Power of
Attorney is required to be stamped but need not be mandatorily registered.
GENERAL POWER OF ATTORNEY
KNOW ALL MEN BY THESE PRESENTS THAT THIS GENERAL POWER OF
ATTORNEY is executed at New Delhi on this 1st day of January 2004 by M/s. TINRIN, a
company incorporated under the Companies Act having its registered office at E-1
WESTEND, New Delhi through its Managing Director Mr. X……(details) (hereinafter
referred to as the EXECUTANT), DO HEREBY APPOINT, NOMINATE, CONSTITUTE
AND AUTHORISE Sh. Y….(details), Executive Director of M/s TINRIN (hereinafter
referred to as the ATTORNEY) AS MY TRUE AND LAWFUL ATTORNEY TO
MANAGE, CONTROL, LOOKAFTER / SUPERVISE, PERFORM ALL LEGAL ACTS
MENTIONED HEREUNDER.
WHEREAS…..
AND WHEREAS…..(Mention few recitals like the purpose of making this GPA).
NOW THIS GENERAL POWER OF ATTORNEY WITNESSESTH AS UNDER:-
(i) To institute, commence and conduct any action, suit or other legal proceedings before any
Court, Arbitrator, Quasi-judicial or authorities, Offices, Tribunals, Labour Courts,
Conciliation Officers, Land Acquisition Officers, etc. on behalf of the company for
claiming any right, relief, recovery, title, interest, property or in respect of any matter
connected with or arising out of the Company‟s business and subject to aforesaid, to
settle, adjust, compromise or submit to Arbitration any such actions, suits or proceedings.
(ii) To defend all actions, suits, proceedings, applications, petitions, appeals, revisions,
reviews, arbitrations, conciliations, taxation and labour matters and other disputes that are
now pending or may hereafter be brought or made or instituted in any Court or office or
Tribunal, Arbitrator, Conciliation Officer, or any other Judicial or Quasi-judicial
authorities in the name of the company.
(iii) To appear and represent the Company in any Court of Justice or Tribunal whatsoever and
for the purpose aforesaid or any of them to sign and verify plaints, written statements,
applications and swear affidavits and to sign petitions and other necessary documents
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including Valalatnama and to appoint any Solicitor, Advocate, Pleader or other Legal
Advisor with the necessary power and such again at pleasure, to revoke and appoint
others in their place.
(iv) To continue and conduct or defend any appeal, review, revision, arbitration in any Court
or Tribunal or office against any order, judgment or decree made in suits, actions,
proceedings, application etc.
(v) Generally for and in the name and as the act and deed of the Company to make, execute
and do all and every such further and other acts. Deeds, matters and things as shall be fit,
requisite and necessary in and about the premises and for all or any of the purposes
aforesaid and as the Company could do if acting in the premises.
And I, the said Managing Director of the Company and also for the said Company hereby
agree to ratify and confirm whatsoever the said Attorney shall lawfully do or cause to be done
in or about the premises by virtue of these presents.
IN WITNESS WHEREOF I have hereunto signed this document on the date and place first
above written in the presence of following witnesses.

EXECUTANT
WITNESSES: (1)
(2)
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SPECIAL POWER TO ATTORNEY TO EXECUTE A SALE DEED

KNOW ALL MEN BY THESE PRESENTS THAT THIS SPECIAL POWER OF

ATTORNEY is executed at New Delhi on this 1st day of January 2004 by I, AB, ……(details)
(hereinafter referred to as the EXECUTANT), DO HEREBY APPOINT, NOMINATE,
CONSTITUTE AND AUTHORISE Sh. Y….(details), (hereinafter referred to as the
ATTORNEY) AS MY TRUE AND LAWFUL ATTORNEY TO PERFORM ALL LEGAL
ACTS MENTIONED HEREUNDER.
WHEREAS…..
AND WHEREAS…..(Mention few recitals like the purpose of making this SPA).
NOW THIS SPECIAL POWER OF ATTORNEY WITNESSESTH AS UNDER:-
1. To receive from the purchaser or his heirs or assigns the sum of Rs……………being the
price agreed to be paid to me by XY for the purchase of (description of property) under an
agreement dated the………………and to give an effectual receipt and discharge for the same;
2. To execute a proper sale deed of the said property or any other deed or assurance necessary
for the completion of the sale of such property and to get the same duly registered;

And I hereby agree to ratify and confirm whatsoever the said Attorney shall lawfully do or
cause to be done in or about the premises by virtue of these presents.
IN WITNESS WHEREOF I have hereunto signed this document on the date and place first
above written in the presence of following witnesses.

EXECUTANT
WITNESSES: (1)
(2)

*****
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SALE OF IMMOVABLE PROPERTY

Section 54 of the Transfer of Property Act, 1882 defines Sale as:

“Sale is a transfer of ownership in exchange for a price paid or promised or part-paid or part-
promised.”

 The contract for sale of immovable property must be in writing.

 Section 55 of the Transfer of Property Act, 1882 lays down the duties, obligation and
rights of the vendor and purchaser under an agreement of sale, as well as for sale in
case of absence of contract to the contrary.
 Sale deed is chargeable with the stamp duty.
 Where the value of the immovable property is more than Rs. 100, it is required to be
compulsorily registered.
 An agreement for sale and sale deed should clearly show: who are the parties to the
contract (Vendor/Vendee or Vendor/Purchaser or Seller/Buyer); the subject matter; the
intention to sell and buy; the price agreed and how it is to be paid and other terms of
the contract.
 The contract for sale of immovable property is usually preceded by an agreement for
sale

AGREEMENT FOR SALE

THIS AGREEMENT is made at …………on this …………day of……….

BETWEEN

Mr. A aged……..s/o……….r/o….. (hereinafter referred to as the VENDOR which expression

shall, unless repugnant to the context or meaning thereof shall mean and include his heirs,
executors, administrators and assigns of the FIRST PART).

AND

Mr. B aged ……….s/o……….r/o….. (hereinafter referred to as the VENDEE/PURCHASER

which expression shall, unless repugnant to the context or meaning thereof shall mean and
include his heirs, executors, administrators and assigns of the SECOND PART).

WHEREAS the Vendor is the absolute owner of the property bearing

no…….admeasuring….situated at………(hereinafter referred to as the said property).
124

AND WHEREAS the Vendor has agreed to sell the said property to the Vendee at the price
and on the conditions mentioned hereinafter.

NOW IT IS AGREED BETWEEN THE PARTIES AS FOLLOWS:

1. The Vendor hereby agrees to sell, transfer and convey the said property in favour of
the Vendee.

2. That the consideration of Rs….is to be paid by the Vendee to the Vendor. Rs…..is to
be paid at the execution of this agreement as earnest money. Rs….on…..(date) and
lastly Rs….at the time of final sale deed.

3. The Vendor acknowledges the payment of Rs….as earnest money paid in

cash/cheque/dd no…drawn on ……(Bank name and Branch) by Vendee.

4. The Vendor shall make out a marketable title to the said property free from
encumbrances and reasonable doubts.

5. The Vendor shall deliver to the Vendee the title deeds relating to the said property in
his possession and power on execution of these presents for inspection and
investigation of the title by the Vendee or his advocate.

6. The Vendor agrees to apply for, obtain and furnish unto the Vendee all such
permissions as may be necessary under the laws for registration of Sale Deed.

7. The Vendor and the Vendee hereby agree that the sale will be completed within six
months from the date hereof.

8. All the taxes, levies etc due and payable against the said property shall be paid by the
Vendor till the completion of sale and thereafter it will be the responsibility of the
purchaser. The Vendor shall handover all the tax receipts etc. duly paid to the Vendee
at the time of completion of sale.

9. The Vendor agrees to handover actual, physical and vacant possession of the said
property unto the Vendee at the time of sale deed.

10. That the expenses towards the payment of stamp duty, registration charges and all
other incidental expenses for agreement for sale and sale deed shall be borne out by
the Vendee.

11. If the Vendor fails to make out the clear marketable title to the said property as
aforesaid then the Vendee will have the right to cancel this agreement by giving
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atleast fifteen days notice to the Vendor and after the expiration of fifteen days the
agreement shall stand terminated and the Vendor agrees to return the earnest money
to the Vendee.

12. If the Vendee fails to perform his obligations under this agreement within the time
stipulated then the Vendor shall be entitled to cancel this agreement by giving atleast
fifteen days notice in writing to the Vendee. On termination the Vendor will be
entitled to forfeit the earnest money paid by the Vendee.

SCHEDULE OF PROPERTY
Details of the property to be mentioned.

IN WITNESS WHEREOF parties hereunto have signed this document on the date and place
first above written in the presence of following witnesses.

VENDOR

VENDEE

WITNESSES: (1)
(2)
126

SALE DEED FOR RS. 2,50,000/-

THIS SALE DEED is made at …………on this …………day of……….

BETWEEN

Mr…… aged……..s/o……….r/o….. (hereinafter referred to as the VENDOR which

expression shall, unless repugnant to the context or meaning thereof shall mean and include
his heirs, executors, administrators and assigns of the FIRST PART).

AND

Mr……. aged ……….s/o……….r/o….. (hereinafter referred to as the

VENDEE/PURCHASER which expression shall, unless repugnant to the context or meaning
thereof shall mean and include his heirs, executors, administrators and assigns of the
SECOND PART).

WHEREAS the vendor purchased a freehold residential plot measuring 300 sq. yds. and
bearing No.170 in „M‟ Block of the residential colony known as Greater Kailash Part-II, New
Delhi vide sale deed dated 6.8.85 registered in the office of the Sub-Registrar, New Delhi as
document No. 5560 Addl. Book No. I, Vol. No. 5318 at pages 136 to 152 on 6.8.85.
The aforementioned plot is bounded as under :-
EAST ... ROAD NORTH … PLOT NO. M-168
WEST… SERVICE LANE SOUTH… PLOT NO. M-172

AND WHEREAS the Vendor after purchasing the said plot, got the building plan sanctioned
from the Municipal Corporation of Delhi vide their letter/file No. 400/B/85 dated 13.12.85.
Then the Vendor caused construction thereon of residential building on different floor levels.

AND WHEREAS the Vendor to sell and the Vendee has agreed to purchase part of Basement
(760 Sq. ft. approx), one front Bed Room if First Floor (with attached bath room and small
balcony) of the said building on „as is where is‟ basis for a total consideration of Rs.
2,50,000/- (Rupees two lacs and fifty thousand only) on the terms and conditions setforth
hereinafter.
NOW THIS SALE DEED WITNESSES AS FOLLOWS:
1. That in pursuance of this agreement, the Vendor has already received from the Vendee a
sum of Rs. 2,00,000/0 (Rupees two lacs only) as part sale consideration, the receipt of
which the Vendor hereby admit and acknowledge.
2. The balance amount of Rs. 50,000/- (Rupees fifty thousand only) has been paid by the
Vendee to the Vendor by cheque No. 010806 dated 29.9.86 drawn on Central Bank of
India, Kalkaji, New Delhi-110019.
 127

3. That is view of the amount of sale consideration received as per para 1 above, the Vendor
hereby grant, convey and transfer all his rights, titles and interests as held on the date
hereof in the said part of basement and part of First Floor of M-170, Greater Kailash Part-
II, New Delhi together with undivided, indivisible and impartible proportionate
ownership rights on the land underneath the said building, on the terms and conditions
contained herein, provided that common staircase, water tanks and other common
facilities, fittings etc. shall be used and enjoyed by the Vendee alongwith other
owners/occupants of the said building.
4. That the Vendor is free to sell the remaining portion (s) of the said residential building to
any other party/parties with common rights for use of common entrances, common
passages, staircases, water tanks, common facilities etc. and the Vendee will not make
any objection thereto.
5. That the Vendor assures that the sale of the said residential portion/domestic storage
space is free from attachment, tenancies gifts, decree, prior sale and religious disputes
and if it is proved otherwise at any time and the Vendee suffers any loss due to any of the
aforementioned reasons, then the Vendor shall be liable to make good the loss thus
suffered by the Vendee.
6. That the Vendee has perused the original title deed, sanctioned plans. Sale plans etc. and
has fully satisfied herself.
7. That the Vendee/occupants shall have no right to use or affix or exhibit any display
boards or any big writing or any sing boards at the external face of the said building.
8. That all expenses of registration, Corporation tax etc. have been borne and paid by the
Vendee.
9. That charges for maintenance/consumption for common amenities such as lights in
staircases etc. and booster and charges for major repairs etc. shall be paid by the owners
of all the portions proportionately.
10. That all taxes from the date of the Agreement to sell the said portion shall be borne and
paid by the Vendee. If assessment of taxes in not made separately for each portion, then
all the owners of the said building shall pay such charges proportionately directly to the
authorities concerned and the Vendor shall in no way be responsible for the same.
11. That the Vendee shall keep the said property in properly repaired and good condition and
shall not do anything or omit to do anything which may endanger or affect the other
portions of the said building or hinder the proper and reasonable use of such portions by
the other owners/occupants of the said building.
12. That the existing use of the said portion of first floor is residential and that on Basement
domestic storage. The Vendee shall neither use the said portion for any illegal, immoral
or commercial purpose nor use it so as to cause annoyance or nuisance to the other
owners/occupants of the said building. Common parts e.g. staircase, passage, driveway
etc. will in no case be used for keeping/chaining pets/does or any other animal/bird or
storing cycles, scooter, motor-cycles etc.
13. The Vendee has also satisfied herself about the soundness of the title of the Vendor and
his power to sell the said portion in the manner stated herein.
128

14. While building is under construction, the Vendee shall have the right to make at her own
discretion any internal alternations (except structural) in the said portion at her own cost
and expenses.
15. That the Vendee shall not construct anything whatsoever upon or over hanging the said
land or the portion of the said land kept uncovered and unbuilt upon the building
(including terrace). The Vendee shall not make any alterations involving structural
changes in the said protion/building. The Vendee shall have no right to use the terrace at
the top of the building.
16. That the Vendee and owners/occupants (alongwith servants/workmen) of all the portions
of the said building will have full right for access to booster pump (tubewell), water
meter, sewer tank, overhead water tank etc. at all reasonable times only on notice (except
in the case of emergency) to get their underground and overhead tanks, booster pump etc.
repaired/cleaned.
17. That photostat copies of title deeds etc. have been handed over by the Vendor to the
Vendee and physical, vacant possession of the said floor/portion has also been taken by
the Vendee.
18. That this transaction has taken place at New Delhi. As such Delhi Court shall have
exclusive jurisdiction to entertain any dispute arising out of or in any way touching or
concerning this deed.

SCHEDULE OF PROPERTY
Details of the property to be mentioned.

IN WITNESS WHEREOF parties hereunto have signed this document on the date and place
first above written in the presence of following witnesses.

VENDOR

VENDEE

WITNESSES: (1)
(2)

* ****
 129

LEASE DEED

THIS LEASE DEED is made and executed at Delhi on ………(Date)

BETWEEN
Smt. Sudarshan Kaur W/o Sh. Paramjit Singh R/o H. No. M-170, Greater Kailash-II, New
Delhi hereinafter referred to as the LESSOR, which expression shall unless excluded or
repugnant to the context to be deemed to include legal heirs i.e. Mr. Paramjit Singh, Husband
of Lessor herein, successors, executors, administrators, representatives and assigns of the
FIRST PART.
AND
M/s. Dave Thomson Associates (India) Pvt. Ltd. having its registered office at Satyug-Villa
1st Floor, 5, Gurunanak Nagar off Shankarshet Road, Pune through, their Director Mr. H. R.
Srinivas to enter into these presences hereinafter referred to as the LESSEE which expression
unless excuded or repugnant to the context shall include and mean, successors, successors in
interest and assigns of the SECOND PART.

WHEREAS the Lessor has represented to the Lessee that she is the owner/landlady of the
Basement portion of the construction at M-170, Greater Kailash-II, New Delhi admeasuring
760 Sq. ft. approximate covered area in the said premises and is desirous of letting out the
same, hereinafter referred to as the demised premises.
AND WHEREAS the Lessee has offered to take the demised premises on Lease and the
Lessor has agreed to let out the same on the terms and conditions hareinafter specified.

NOW THIS AGREEMENT WITNESSETH AS UNDER:

1. That the Lessor hereby conveys to the Lessee the basement portion of the said premises
admeasuring 760 Sq. ft. Approx for a period of 24 months with effect from 1st Sept. 1993
at a monthly, rent of Rs. 4000/- (Rs. Four thousand only) exclusive of Electricity, water
charges, actual bills/ rental charges of Telephone/Fax whenever installed in the demises
premises.
2. That the Lease will be for an initial period of 24 months with effect from 1st Sept. 1993, in
case the Lease is reminded at the option of the Lessor and with an enhances increase of
10% of rent payable per annum immediately after expire of every 12 months period. The
duration of Lease period 24 months is the essence of this agreement with the provision
that both, the Lessor and the Lessee have the right to either terminate the Lease even
before the expiry of the Lease period, by giving 3 months written notice. The Lease is
therefore for a fixed period of 24 months w.e.f. 1st Sept. 1993 ending on 31st Aug. 1995
130

thereafter the Lessor shall have the option to renew the Lease for a further period of 2
years at the terms and conditions as laid out by the Lessor.
3. That on the date of execution of this Lease Deed the Lessee had paid a sum of Rs. 36000/-
(Rs. Thirty Six Thousand only) vide pay order
No._______________________dated________________drawn on……….as security
deposit which will be kept by the Lessor for the due performance of the terms and
conditions of this Lease, free of interest. On termination of the Lease, the Lessor shall
refund the security deposit/unadjusted Advance rent, if any. In case the Lessor fails to
refund the security Deposit/balance advance rent, the Lessee shall be entitled to charge
interest 21% P.A. from the date of termination of Lease till the date of refund. Aditionally,
the Lessee shall be entitled to hold possession of the property till the refund of security
deposit/unadjusted advance rent alongwith interest, if any is made without payment of
rent/Lease money. This will be applicable only on production of documentary proof by the
Lessee to the Lessor that all dues pertiaining to electricity and any other charges payable
by the Lessee have been cleared upto date.
4. The Lessee covenants with Lessor as under :
i) That the Lessee agrees to pay a monthly rent of Rs. 4000/- (Rs. Four thousand only)
mentioned above on or before 7th day of every month.
ii) The Lessee agree to carry out minor repairs or replacement of broken parts in electrical
and sanitary installations and glasses himself, but major repairs pertaining to the
structure of the house will have to be done by the Lessor, as and when considered
necessary by him. However, the Lessee shall handover the vacant physical possession
to the Lessor on termination of this Lease in the same conditions as it has been handed
over to him on 1-9-93.
iii) That the Lease is for a period of 24 months only commencing from 1-9-93. The Lessee
shall give vacant possession of the premises to the Lessor after the expiry of the Lease
period.
iv) That the Lessee shall duly comply with all the local rules and regulations of local
authorities with regard to the use of the premises.
v) That the Lessee shall pay the electricity charges in accordance with the bills at rates
determined by DESU and accordance with bills/demands received from DESU, NDMC
including meter rents etc. The meter readings on the date of possession will be duly
recorded.
vi) That the demised premises have been let out to the Lessee for authorised use only.
vii) That the Lessee shall permit the Lessor or his duly authorised agents during reasonable
hours in the day time to enter upon the demised premises for inspection of the Lessor‟s
fixtures and fittings therein, and the premises as may be deemed fit by the Lessor.
 131

viii) That the Lessee at the expiry of this Lease shall deliver peaceful and vacant possession
of the demised premises to the Lessor together with the fittings and fixtures installed in
good condition as the same are at present, reasonable wear and tear and damage by fire,
earthquake, civil commotion, act of God excepted including lightening to fittings etc.
but excluding telephones, fax computers and air conditioners. No fixtures, wood work
etc. carried by the Lessee shall be removed/damaged at the time of handing over vacant
possession of the demised premises.
ix) That the Lessee shall not make any8 alteration of permanent nature within the premises
as well as in the open space, without the written consent of the Lessor.
x) That the Lessor shall not interfere with the peaceful enjoyment of the property by the
Lessee whether directly on indirectly.
xi) That the Lessee shall keep the premises in good tenantable condition and shall not
cause any loss/ damage to it, subject to normal wear and tear of the premises.
The Lessee shall observe and perform at all time during the continuance of the terms
hereby created all the terms and conditions herein as contained.
xii) That the Lessee shall in the event of unfortunate and unseen demise or incapacitation of
Lessor will for all purposes treat Mr. Paramjit Singh, Husband of Lessor as the rightful
receipt of rents or anyother dues payable by the Lessee as per the terms set forth above
in this deed without any let or hinderances. The said Mr. Paramjit Singh will have the
full authority to enforce any or all provisions contained in this agreement. He shall by
my sole beneficiary and executor.
xiii) That the Lessee will not park any motor car or any other vehicle in this outer drive way
of the premises at any time both inside and outside the main gate.

5. That the Lessor hereby covenants with Lessee as follow:-

i) That the Lessor has good right and full power and absolute authority to Lease the
demised premises to the Lessee in manner herein contained.
ii) To observe and perform t all times during the continuance of their terms hereby
created, all the terms and conditions contained in the Lease by virtue of which the
Lessor is holding the said premises and to keep the Lessee indeminified against any
breach or consequences thereof.
iii) To pay discharge all rates and taxes whether Municipal or otherwise and to her
assessments and outgoing which pare payable in respect of Lessor failing to pay any
such amount when the same shall fall due for payment, the Lessee shall be entitled to
pay the same on behalf of the Lessor and to deduct the amount so paid from the rent
payable by the Lessee to the Lessor hereunder.
iv) To comply with, at his own cost, all requirements and regulations of the Municipals or
other lawful authority concerning the demised premises to the observed by the
owner/landlady.
132

v) That the Lessee paying the Lease money hereby reserved and performing the several
covenants conditions and agreements herein contained and on its part to be observed
and performed, the Lessee shall peaceably hold and enjoy the demised premises
together with the Lessor fixtures and fittings therein during the said terms without any
interruption or disturbance from or by the Lessor or any person claiming through under
or in trust for the Lessor.
6. It is hereby mutually agreed and declared by the parties hereto as follows :-
i) In the event of the demised premises or any part thereof being destroyed or damaged by
fire, earth quake, flood war air raid civil commotion, roits or other act of God or
irrestible force during the period of the Lease, this Lease shall at the option of the
Lessee be terminated. And in the event of the Lessee being desirous of any part thereof
as the case may be so as to enable the Lessor to repair the damage or reinstate the same
and the rents hereby reserved shall remain suspended till the demised premises or any
part thereof as the case may be reinstated or restored to its former state and possession
if delivered over to the Lessee for the remaining part of this Lease, if any.
ii) That in the event of any dispute or difference arising out of this agreement, the matter
will be referred to the Arbitrator apporved by common consent of both the parties and
his decision will be binding on both parties.
iii) That the parties to the agreement have specifically agreed that considering the location,
accommodation, and condition of the said property, the Lease rent is fair rent and in
consonance with the property, market rates.
iv) That the terms and conditions of this agreement as stated above shall be binding on
both the parties.
v) If the rents or other amounts due under the Lease deed or any part thereof shall remain
unpaid for more than one month and if any covenant on the Lessee‟s part herein
contained shall not be performed or observed by the Lessee and shall continue to do so
for the period of 30 days after written notice by the Lessor thereof to the Lessee then
and in any of the said cases it shall be lawful for the Lessor to renter the demised
premises or upon any part thereof in the name of the whole and the Lease shall
thereupon be terminated, but without prejudice to any claim or action or remedy which
either of the parties may have against the other as on that date in respect of any branch,
non-performance or non-observance of the covenants or conditions herein contained.
vi) The Lease shall automatically come to an and determined on the expiry of the Lease
period. Hence peaceful and vacant possession of the demised premises will be deemed
to have been handed over by the Lessee to the Lessor.
vii) The cost of preparation of the original Lease and duplicate thereof and stamps and
registration fee and in connection with the same shall be borne and paid by the Lessee.
The Lessor shall retain the original of the Lease deed and the Lessee the duplicate
thereof.
 133

IN WITNESS WHEREOF, these presents have been executed by the parties hereto on the
day, month and year first mentioned herein above in presence of witness:
LESSOR
LESSEE
Witnesses: (1) (2)

Note: Read Section 105 to Section 111 of the Transfer of Property Act, 1882.
134

MORTAGAGE DEED

THIS DEED OF MORTGAGE is executed at Delhi on this 31st day of January 2017
BY

Mr. A son of Sh. ____ resident of ____ hereinafter called the MORTGAGOR, which
expression shall mean and include his heirs, legal representatives, executors, administrators
and assigns of the First Part;
IN FAVOUR OF
M/s ABC Ltd., A company incorporated under the Companies Act having its registered office
at ___ hereinafter called the MORTGAGEE, which expression shall mean and include its
successors.
WHEREAS the Mortgagor has vide Lease-deed dated 5.1.1988 purchased / taken on
perpetual Leases from the President of India, a vacant residential plot bearing Municipal No.
A-25 situated at Ashok vihar , Delhi
AND WHEREAS per the terms of the said perpetual Lease-deed, the Mortgagor is required to
construct a residential building on the aforesaid vacant plot of land;
AND WHEREAS the Mortgagor is not possessed with the financial means to undertake the
construction of the residential building on the aforesaid plot of land;
AND WHEREAS the Mortgagee, with whom the Mortgagor is presently employed, has
agreed to advance a lone of Rs.2,00,000/- ( RUPEES Two lakhs only ) to the Mortgagor, and
which loan shall be utilized by the Mortgagor towards the construction of a residential house
on the above vacant plot of land.
AND WHEREAS in consideration of the aforesaid amount of Rs. 2,00,000/- borrowed by the
Mortgagor from the Mortgagee, the Mortgagor has agreed to execute this Mortgageed, deed
of the vacant plot of land in favour of the Mortgagee.
NOW THIS DEED, THEREFORE WITNESSES AS UNDER:
1. The Mortgagor admits and acknowledges that he owes a sum of Rs.2,00,000/- to the
Mortgagee on the basis of promissory note and receipt dated 1.6.1990 executed by him in
favour of the Mortgagee.
2. The Mortgagor shall be lible to pay interest on the above stated principal sum of Rs.
2,00,000/- @Rs. 12/- per cent per annum form the date of the loan until payment and in this
manner the total charge of the referred property of the Mortgagor shall be the principal sum of
Rs. 2,00,000/- and interest accruing thereupon.
3. The Mortgagor will pay to the Mortgagee the said sum of Rs. 2,00,00/- in equal
monthly installment of Rs.2000/- per month on or before the 31st December, 2000 and in the
meantime interest thereon or on such thereof as shall for the time being remain unpaid, at the
rate of 12% percent per annum by half yearly payments on the 30th day of June and the 31st
day of December in each year.
 135

4. That any interest not paid on the due dates shall be treated as principal and added to the
principal sum herby secured and bear interest at the rate and payable on the half yearly days
aforesaid.
5. In consideration of the aforesaid, the Mortgagor hereby transfer by way of simple
mortgage to the Mortgagee, a vacant residential plot bearing Municipal No. A-25, Ashok
Vihar, Delhi.
6. By this deed, the Mortgagor also mortgages to the Mortgagee any building and all other
permanent structures that shall be built on the aforesaid vacant plot by the Mortgagor.
7. The Mortgagor hereby covenants with the Mortgagee as follows :
(i) That the said premises are free from all encumbrances and the Mortgagor undertakes
that until the entire principal amount and interest, if any due, is not paid back to the
Mortgagee, the Mortgagor shall not create any fresh mortgage, charge, pledge, or in any other
manner, alienate the corpus or his interest in the aforesaid property to any third person.
(ii) If the Mortgagor fails to pay the sum with interest after it has become payable under
the provisions of the this deed, the Mortgagee shall, in addition to any other remedy available
to him under the law, have the power to sell without the intervention of a Court the mortgaged
property or any part thereof for the realization of the money due to it hereunder.
(iii) During the continuance of the Mortgage, the Mortgagor shall keep any building or
permanent structure erected on the aforesaid plot of land insured against damage by fire in the
name of the Mortgagor with an Insurance Company and shall punctually pay all premium on
such insurance and shall produced to the Mortgagee on demand, the policy of such insurance
and the receipt for the premium so paid.
Provided always, that if the Mortgagor shall make default in any of the above matters, the
Mortgagee may, in its discretion, insure and keep insured all or any of the said building and
permanent structures to the amount aforesaid and that the expenses of doing shall be repaid to
it by the Mortgagor on demand, and until so paid shall be added to the principal money
hereby secured and bear interest accordingly and be secured in the like manner as the said
principal.
IN WITNESSES WHEREOF the Mortgagor has executed this document on the date, first
above written.
MORTGAGOR

MORTGAGEE
WITNESSES

1.
2.
*****
136

PARTNERSHIP DEED
THIS DEED OF PARTNERSHIP is executed at New Delhi on this 20th day of January,2004
BETWEEN
Sh. X S/o _____ R/o____, hereinafter called „THE FIRST PARTY‟ which expression shall
mean and include his heirs, successors, executors and legal representatives.
AND
Sh. Y S/o Sh. ____ R/o ______, hereinafter called „THE SECOND PARTY‟ which
expression shall mean and include his heirs, successors, executors and legal representatives.
WHEREAS the First Party is in occupation as a tenant of property measuring 1000 sq. ft. on
the ground floor bearing No. E-1 Ram Nagar, Delhi.
AND WHEREAS the First Party is desirous of carrying on the business of interior decoration
and the Second Party, being experienced in this trade, has approached the First Party to run
this business with him jointly in partnership.
AND WHEREAS the parties have agreed to commence and run the business of interior
decoration, furnishing, manufacture and sale of furnishing, manufacture and sale of furniture,
soft furnishing and accessories in partnership.
NOW, THEREFORE, THIS DEED WITNESSES AS UNDER:
1. The name and style of the this partnership business shall be M/s XYZ
2. The business of this partnership shall be considered to have commenced on 20th day of
January, 2004
3. That the principal place of business of this partnership shall be at . E-1 Ram nagar, Delhi.
However, the same may be shifted or carried on elsewhere as well with the mutual
consent of both the parties from time to time.
4. That the business of the partnership shall be interior decoration, furnishing, manufacture
and sale of furniture, soft furnishing and accessories. However, the parties will also be
entitled to extend their activities into business or manufacturing of any other item as well.
5. The shares of the parties in the profits and losses shall be as follows :
i) First Party – 51% ii) Second Party – 49%
6. The initial capital has been contributed by both the parties by investing a sum of Rs.
15,000/- each. If and when more funds are required for the business, the partners shall
invest the same. However, any capital investment of the partners shall not carry any
interest. In case loans or deposits are raised from outside i.e. friends and relations of the
partner or the financial institutions then only those loans or deposits, which are taken with
the written consent of both the partners and are entered in the books of accounts of the
partnership, shall be binding on the firm. The partnership shall maintain regular books of
accounts in accordance with the customs of trade and all dealings of the partnership shall
be duly recorded in the same. The account books etc. shall be maintained in the place of
business at . E-1 Ram Nagar, Delhi.
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7. Each of the partners shall be entitled to withdraw a sum of Rs. 2000/- every month which
shall be adjustable in the final profit and loss account to be prepared every year.
8. The First Party shall also be entitled to withdraw a sum of Rs. 5000/- per month towards
the rent he is paying to the Landlord in respect of the portion of property No.E-1 Ram
Nagar, Delhi
9. The tenancy rights in respect of property No. . E-1 Ram Nagar, Delhi shall always vest in
the First Party and whenever the partnership is dissolved for any reason whatsoever, the
Second Party shall not be entitled to any right, title or interest in the same.
10. That the partnership shall maintain proper books of accounts in the normal course of
business at the principal place of its business and the same shall always be open for
inspection to the partners.
11. That the first accounting period of the partnership shall close on 31 st March, 2005 and
thereafter the financial year, shall run from 1st April every year to 31st March of the
subsequent of the English calendar.
12. That the bank accounts of the partnership and / or its branches shall be operated under the
signatures of any of the partners.
13. That at the close of the accounting period / year, a trial balance, profit and loss account
and balance-sheet etc. shall be prepared and the profit and loss in the ration enumerated
above shall be credited / debited to the capital account of the partners.
14. That either of the parties would not be entitled to carry on similar or competitive trade
individually or in partnership and in any other manner.
15. The partnership shall be at Will. However, whenever any party intends to dissolve the
same or retire from the same, he shall give an advance notice of 15 days to the other party
and during the period of notice, profit and loss account, balance sheets shall be completed
to finalize the accounts in between as partiers as well as with the outsiders.
16. That in the event of any dispute arising between the partnership with respect to any clause
of this document or the working of the partnership or for anything indicated thereof, the
same shall be decided by arbitration in accordance with the provisions of the Arbitration
Act and by no other process.
17. That in all other matters not provided herein, the partnership shall be governed by the
Indian Partnership Act as applicable from time to time.
IN WITNESS WHEREOF the parties have signed this document on the date first above
written in presence of the following witnesses.
FIRST PARTY
SECOND PARTY

WITNESSES (1) (2)

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DEED OF DISSOLUTION OF PARTNERSHIP

THIS DEED OF DISSOLUTION is executed at Delhi on this 31st days of January,2004
BETWEEN
A son of ________ resident of ____________, hereinafter called „THE FIRST PARTY‟,
which expression shall, unless repugnant to the context or meaning hereof, mean and include
his heirs, successors, executors and legal representatives.
AND
B son of ________ resident of ____________, hereinafter called „THE SECOND PARTY‟,
which expression shall, unless repugnant to the context or meaning hereof, mean and include
his heirs, successors, executors and legal representatives.
WHEREAS the parties have been carrying on business in partnership under the name and
style of „M/s ABC‟, from premises bearing No. . E-1 Ram Nagar, Delhi, on the basis of a
partnership deed executed between them on 20th March, 2002;
AND WHEREAS it has been mutually decided by the parties hereto to dissolve this
partnership and to reduce the terms of this dissolution into writing;
NOW, THEREFORE, THIS DOCUMENT WITNESSES AS UNDER:

1. That the partnership constituted by the parties hereto vide the partnership deed dated
20.3.2002 on the basis of which business under the name and style of „M/s. ABC‟ was
carried at premises No. . E-1 Ram Nagar, Delhi has been dissolved with effect from today
i.e. 31.1.2004.
2. That all the accounts of the partnership have been agreed and understood by the parties
and all trading results, profits and losses and personal debit and credit entries and
balances, have been checked and accepted by them as per the account books.
3. That all records, account books, etc. of the dissolved partnership have been delivered to
the First Party hereto, who shall be responsible to notify all concerned authorities about
the fact of this dissolution and shall also be responsible to get the assessments, if any
pending, completed.
4. That the First Party shall produce the account books of the partnership, whenever
reasonably required by the Second Party, either before the assessment authorities or
before any other authority.
5. That the partners shall be liable for their individual taxes. However, any taxes or
payments raise against the dissolved partnership, shall be met by the individual parties, in
accordance with his ratio of profits and losses in terms of the partnership deed.
6. That none of the parties shall be liable for any liability raised by the other in the name of
the erstwhile partnership firm.
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7. Without prejudice to any rights and remedies herein contained, each of the parties hereto
hereby releases and discharges the other from all actions, proceedings, claims and
demands on account of the said partnership.

8. That it is mutually agreed if any dispute arises between the parties in relation to present
Dissolution Deed then the same shall be referred to the Sole Arbitrator to be appointed by
continuing partner under the provisions of Arbitration and Conciliation Act, 1996, and
place of arbitration shall be at New Delhi.

IN WITNESS WHEREOF the parties have signed this document on the date first above
written in presence of the following witnesses.
FIRST PARTY
SECOND PARTY

WITNESSES (1) (2)