Overview

A rectification deed is used when you want to rectify a mistake in the principal deed such as typographical errors or facts such as the total area of the property, incorrect location and address of the property, incorrect survey location, etc. All concerned parties should consent to the changes being made to the principal deed and the rectification deed should be registered. Most of us want to execute a sale deed or any legal document without any errors. Even if a document is prepared carefully by an experienced person, mistakes do occur. This may cause unnecessary confusion or trouble for the parties involved in the transaction. Let’s see how such issues can be corrected.

What is Rectification Deed?

A rectification deed is a supplementary document executed between the buyer and seller to rectify the mistakes made in the original/principal deed with respect to factual and typographical errors. This is also known as the confirmation deed or correction deed.

Why is Rectification Deed required?

It is common knowledge that sale deed is an important legal document that transfers the ownership of the property from the buyer to the seller. Though prepared by an efficient lawyer with utmost care, errors may occur in a sale deed at times. Some of the common errors made in a sale deed are:

    Incorrect description of the property such as its area and dimensions
    Incorrect description of the parties such as their names and addresses
    Incorrect location, address and survey number of the property
    Incorrect description of revenue records
    Incorrect information about prior title deeds
    Incorrect details about ownership or power of attorney
    Typographical errors

Any errors in sale deed, however minute or unintentional it may be, can lead to litigation and may result in the cancellation of the transaction. A sale deed is executed on a stamp paper of considerable value and it is not possible to execute different sale deeds when errors are detected. In such cases, a rectification deed can be executed to make the necessary corrections without affecting the transaction.

Now you may wonder whether a rectification deed is required if the mistakes are identified before registering the sale deed. In such instances, errors such as incorrect names and addresses of the buyer or seller, description of the property, etc. can be corrected in the sale deed itself, if they are identified prior to registration. The corrections can be authenticated by the involved parties (buyer and seller). A rectification deed is not required in such circumstances.

If a factual error pertaining to property measurement, terms of the transaction, etc, is identified, the particular page should be changed irrespective of the stamp cost on that page.

When to execute a Rectification Deed?

A rectification deed can be executed only when there is a factual error made in the original deed unintentionally and the original deed does not satisfy the requirements of both the parties involved. A rectification deed should be executed only if all the parties involved in the original deed agree with the addition, deletion or modification of any terms or information referred in the original deed.

Format of Rectification Deed

A rectification deed should be drafted in approved format and should include the following details:

    Name and address of the rectifier/vendor and purchaser
    Details of the principal deed
    Details of the rectification to be made

Registration of a Rectification Deed

After both parties concur with the corrections to be made, the same should be transferred to a duly executed document. The concerned parties should pay the required stamp duty and registration charges for the registration of the deed according to the laws of the state. The rectification deed should be registered with the sub-registrar’s office where the principal deed was registered. The stamp duty and registration charges for general issues such as typographical errors are Rs.100 each. However, the charges as applicable for conveyance deed should be paid if the rectification deed deals with changes in the location, names of the buyers/sellers, survey number, or area and dimensions of the property. Sometimes the registration authority may implement additional stamp duty and charges based on the situation.

While registering a rectification deed, you should be careful that:

    The rectification does not result in any fraud or violation of regulations.
    The scope of the principal deed is not altered
    Nature of transaction, such as a sale deed cannot be registered as a gift deed
    Change of scope from the original deed

If there are mistakes related to law in the original deed, a separate procedure should be followed and they cannot be fixed through the rectification deed.

Limitations of Rectification Deed

A rectification deed cannot be used to correct any errors made on points of law such as:

    Inadequate stamp duty
    Incorrect jurisdiction
    Both parties are not deprived of their rights.
    The terms are explained in simple language and in a clear and concise way. This may help prevent any future dispute.

Supplementary Rectification Deed

Sometimes, an error may occur in the rectification deed and it may require further rectification. A supplementary rectification deed can be executed in such cases to correct the errors. This deed can be executed with reasonable stamp duty and registration charges.

Rectification Deed vs. Ratification Deed

It is important for property owners to understand the differences between a rectification deed and a ratification deed to avoid errors and litigations. While a rectification deed is used to rectify errors pertaining to a fact, a ratification deed is executed to confirm or approve an action that was done on behalf of the principal by another person. For example, a person with power of attorney performs an act which is not clearly expressed in the terms of power of attorney. In such cases, the person who granted the power can ratify the act to confirm that the act carried out by the power of attorney is accepted and approved.

Ratification deed is also used in case of minors. For instance, a sale may be executed on behalf of a minor. The person can ratify the sale after attaining the legal age and accept the sale. Ratification deed can be executed such that the act/transaction would be valid from the time when it was originally carried out.

A ratification deed can be executed by the principal party even if the act was done by another person without the authority of the concerned party. For instance, a person may make a decision in the absence of his/her spouse. In such cases, it is always advisable to have the ratification in document format, wherever possible. A mere acknowledgement or verbal agreement may not be enough, based on the circumstances. After ratification is done, an unauthorized or irregular act becomes authorized as if it was done with the authority and power granted by the concerned person.

Ratification deed is important in cases where the act may not bind the principal on whose behalf the act was done. In such cases, the subsequent approval and acceptance from the principal is important. It important for the principal to approve the ratification only after being aware of all the facts and circumstances related to the transaction. The benefits of the transaction will be given to the person who gives ratification and at the same time will also have the corresponding responsibilities and obligations.

Some documents and transactions may need both rectification and ratification. You should be careful and determine which deed/documentation is suitable for your needs and execute it. Most of the times, if both parties agree to what has to be done, it is easy to execute the legal document with appropriate professional help. In some cases, the concerned parties may not agree to the suggested change or rectification in the executed documents. In such instances, they may file a suit under Section 26 of Specific Relief Act 1963 before court. If there is a genuine factual error which resulted in incorrect reflection of the real intention of the party, the law provides relief to parties. Sometimes, one of the parties may file a suit to have the deed rectified. The court can ask the deed to be rectified after ensuring that the real intention of the parties is not reflected in the deed. Understanding the need and importance of rectification deed, its limitations and the difference between rectification deed and ratification deed can help you to be vigilant and carry out trouble-free transactions.

Name : Veena R

Law Firm Name : Versatile Legal

Country : India

City : Bangalore

State : KARNATAKA