Registration of a document is a process of getting the documents registered with the help of the officer with the intention of preventing fraud. All documents are required to be registeredwhether are binding or not. It helps to avoid legal proceedings and dispute over authenticity. However, the registration of the document does not confer any right over property but act as an evidence that a transaction that has been registered. Though it is not mandatory to get every document registered, it is advisable to do so to avoid legal proceedings. Under the Registration Act, 1908, there are two kinds of registration- Mandatory Registration and Optional Registration. The same has been discussed in the article.
Scope and Purpose of Registration Act, 1908
The Registration Act, 1908 provides a systematic method of registering public documents and to provide information to the people making them aware of their rights and obligations regarding the property. It lends to the importance of documents and its inviolability. It also deemed to prevent fraud.
Types of Registration under the Registration Act, 1908
Under the Act, there are two kinds of registration that can be done;
First is the Mandatory Registration which is provided under section 17 of the Registration Act, 1908.There are certain documents for which the registration has been made compulsory. Those documents include:
- Any Gift or deed which is related to the immovable property;
- Non-testamentary instruments – which will acknowledge the payment made or receipt for consideration for the declaration, limitation, assignment, extinction or creation of any right, interest or title;
- Any lease of immovable property or for which the term is exceeding one year or reservation has been made for yearly rent;
- For the purpose of Section 53A of Transfer of Property Act, 1882, any document made in pursuance of a contract that involves the transfer of consideration for any immovable property, executed on or after the initiation of the Act and other related acts like Laws (Amendment) Act, 2001.
If any person fails to do so, such transfer will be declared as invalid.
The second is the Optional Registration provided in section 18 of the Registration Act, 1908. There are documents that are not required to get registered and such registrations are optional namely;
- Adoption Deed made;
- Instrument relates to joint stock market;
- Debentures issued;
- Documents less than the value of one hundred rupees;
- Document related to past transaction;
- Instruments relating to collateral security;
- Order or decree passed by the court;
- Agreement to sell;
- Agreement to the mortgage;
- Power of attorney;
- Promissory note;
- Certificate of sale;
- Counterpart of the lease;
- Instrument relating to Partition.
Place of Registering Documents
Under Section 28 of the Registration Act, the registration of documents relating to land, such documents should be submitted to the sub-registrar where the property situates. Also, Section 29 talks about the registration of other documents at a place where the person executing such document desires to be registered.
Time for Registration of Documents
All the documents except will or codicil should be presented within the period of four months. But there is a provision for accepting the documents after four months provided that the fees of registration needed to be paid ten times more than actual fees as provided under the Section 23 of Registration Act, 1908.
If there are many people that are executing documents at a different time then such document should be presented for registration within four months starting from the date of the execution as provided under Section 25 of Registration Act, 1908.
The prescribed fees for such documents have been mentioned in Section 80 of the Act.
The registration of a document provides transparency. Even if a document is lost or damaged, the authentication can be proved through the registration. So, it is important to get the documents registered to have a proof of authenticity and to avoid legal proceedings.