• Sibling selling a joint property

My father purchased a flat in 2007 and paid 11L. In addition, my brother took a loan of 7L. The flat is in both their names. My father passed away in 2010 and did not leave will. My brother moved in the flat then and he is living there with his family and my mother.
Now, he has initiated the process of selling the flat and exchanged a part of the money, without my consent. I live in USA and so he has sent me a POA to sign on the verbal promise that he will pay me my share after the transaction is completed. However, he does not have a good financial track record, so I want to make sure that my share is protected.

In such a case, how do I protect myself - 1) How will my share be calculated? 2) When should he pay me? 3) What legal documents should I ask him for to make sure that he will pay me when his transaction is completed? 

Thank You.
Asked 7 years ago in Property Law
Religion: Hindu

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15 Answers

It's advisable to ask him to make your share of payment before you sign the power of attorney in his favour. If he refuses to pay better get a registered agreement done with regards to division of amount that is got after selling of property so that later if he refuses you can file a suit for recovery of money. Share will be 1/3rd of the value since your mother Is also entitled to one.Share along with you and your brother.

Swarnarka Chowdhury
Advocate, Mysore
1879 Answers
5 Consultations

Dear Sir/Madam, first of all it is joint property of your father and your brother (if your brother not paying instalment of loan from his hard earned money this property is amounts to joint family property), even your father not left the will, you, your mother and your brother having equal rights and equal share on the said property. As per your query to my answer/ reply that 1. Equal share. 2. You discuss with purchasers for the same. 3.You have to take agreement with affidavit in this regard from your brother. ...by Chandrashekhar Vithal Jadhav Advocate and Law Consultant, Ex.Principal District Government Pleader, Bangalore Urban and Rural Districts.

C. V. Jadhav
Advocate, Bangalore
545 Answers
18 Consultations

1. See you will have 1/6 share of the total flat. As father had 1/2 share in his half share you will have 1/3 share as in father share also brother and mother will have share if no will.

2. Make an agreement with your brother that in this much time he will pay you consideration or ask for consideration than sign POA.

Shubham Jhajharia
Advocate, Ahmedabad
25513 Answers
179 Consultations

1) refuse to execute POA in favour of brother

2) insist that flat be transferred in joint names on demise of father

3)insist that sale consideration be paid in your name for your share in property

4) come down to india for execution of sale deed

Ajay Sethi
Advocate, Mumbai
99784 Answers
8145 Consultations

1) You can ask him a promissory note, this one type of a legal document.

2) Or you directly tell him you will signed POA on flat buyer's name in the exchange of Demand Draft or money transfer.

3) Ask you brother to give your share first than sign POA.

4) You can came here in India and sign sale deed and take money transfer at the time of agreement.

5) Your share in the property is 20%, see details below:

Your brother is direct first owner in flat so the amount contributed by him is 39% here we will round up to 40% his share and 60% your father's share.

In father's 60% share all three of you will get property distributed equally means you, mother and brother, 20% each.

Now here depends upon your mother to whom transfer her share.

Ganesh Kadam
Advocate, Pune
13008 Answers
267 Consultations

You don't sign a POA deed in his favor.

You are entitled for a rightful share out of your father's share in the property.

You can insist for joint selling.

If he does not agree then, You may file a partition suit seeking separate possession of your share in it.

You may also file an application seeking interim injunction restraining him from alienating or encumbering the property in any manner till disposal of partition suit.

There's no other legal way to ensure the safety of your share in property.

T Kalaiselvan
Advocate, Vellore
89985 Answers
2492 Consultations

Hi

1) Since the Flat is registered in the joint names of your father and brother, in the absence of any specific clause in sale deed that the property will vest in the name of the survivor after the demise of one of joint owner, it will be presumed under law that the flat is a joint property belonging both to your father and brother and each owner has 50% share in the said flat.

2) As your father died in the year 2010, upon his death , his legal heirs as per Section 8 of Hindu succession act will succeed to his share of flat and his legal heirs will be your mother, your brother and yourself(assuming there are no other class I heirs such as daughter, mother of deceased person).

3) So technically your father's 50% share will be equally divided in to 3 parts which is 1/2*1/3=1/6 of flat.

4) Since your brother is planning to sell the flat, the sale consideration shall be divisible in to 6 parts and you will get 1/6 of the sale consideration.

5) In order to protect yourself, you can issue a Power of attorney in favour of your brother and in that power of attorney, you can mention that any sale proceeds shall be remitted in your bank account only. So technically the power of attorney is restricted to signing documents on your behalf at sub-registrar office only and NOT for receiving sale consideration on your behalf.

6) In the sale deed, it should be specifically mentioned that the buyer SHALL make payments to the legal heirs (mother, brother and yourself) appropriate to their shares through RTGS / NEFT Transfer in the INDIVIDUAL names of legal heirs prior to registration of document at Sub-Registrar office failing which the sale deed shall be rendered null and void.

Hope this information is useful.

Rajgopalan Sripathi
Advocate, Hyderabad
2173 Answers
394 Consultations

1. Since your name does not appear in the tile deed , your share is devolved from half share of your father and hence if your father died leaving behind only you and your brother then his half share would be divided into two making you 1/4th share holder.

2. If you have any other legal heir living like your mother or sister then your father's half share would be divided into number of legal heirs including the brother who is already has its exclusive one half share in the property.

3. So the sale proceeds would be divided keeping your share in mind.

4. If you have reservations about your brother you can consider cancelling the POA and giving a fresh POA to any of you other close relative.

5. You can share your bank details with the prospective buyer do he can make direct remittance of your share to your bank account.

Devajyoti Barman
Advocate, Kolkata
23655 Answers
537 Consultations

Firstly, the share of your father will be distributed or you say be given to you, your mother and your brother as per Succession Act as he has not left any will.

Secondly, in this way your brother would have two shares, one is his own and another one which is from your father’s share.

Thirdly, if he wants to sell that flat then he would have to pay your share amount for sure.

Fourthly, now I advice you to first apply for the succession certificate through some one in India on Specific Power of Attorney.

Fifthly, then through that person only file a share of property in civil court.

I am saying all these as in future he may deny also to give you anything though you may then also file a case for not getting your consent but that would take so much court time and yours also.

Sanjay Baniwal
Advocate, South Delhi
5477 Answers
13 Consultations

1. Your brother has only 50% undivided share in the flat.

2. He has also inherited from the 50% shared held in the flat by your late father.

3. You too have a share in the 50% share held in the flat by your late father.

4. Are there any other legal heirs apart from you two, of your your late father?

5. If not then you have 25% share in the flat and your brother has balance 75% share.

6. Your brother can deal only with his own 75% share and cannot deal with your 25% without your consent.

7. Have you given a power to sell your share in the flat in the power of attorney you have given to your brother? You need to check that. Such a power of attorney will need to be stamped and registered before it can be used by your brother for selling your share.

8. I advise you to issue a public notice in local indian newspapers informing the public that after the demise of your father, you have a legal share in the flat and the same cannot be dealt with by anyone except you.

9. If you don't trust your brother, you can revoke the power of attorney given by you to him and instead appoint some trusted attorney on your behalf who can do the sale transaction of your share on your behalf.

Yusuf Rampurawala
Advocate, Mumbai
7899 Answers
79 Consultations

In the power of attorney you can insert a clause that a fix percentage of sale proceeds shall be transferred to you immediately after completion of sale. You can also insert a specific clause about your share in the property and your intention that this power of attorney is being executed to complete the sale deed and transfer of sale proceeds to you in proportionate of your share in the property. Oral promise has no value and you cannot recover your share in the property once the sale deed is executed by your brother and refused to give your share.

Shivendra Pratap Singh
Advocate, Lucknow
5127 Answers
78 Consultations

Hello,

You will get the 1/3rd share if the flat was bought by your father.

Enter into an agreement among yourself and do not give a POA.

Or before the sale agreement get your share and then only sign in the required documents.

Get in touch with a local lawyer of the place where the sale proceedings are taking place.

regards

Anilesh Tewari
Advocate, New Delhi
18103 Answers
377 Consultations

Dear Client,

You are equal share holder in fathers share along with mother and brother, 1/3 each and rest 50% is already vest in brother if he contributed in purchase. So your share in sale amount 1/3rd of 1/2 portion.

Execute an agreement as to within how much time money will be paid to u or include same clause in POA.

Yogendra Singh Rajawat
Advocate, Jaipur
23081 Answers
31 Consultations

1. The sale deed should mention that the property stands in the joint names of your late father, who died intestate and brother and after the demise of your father, his share of the flat has been equally inherited by you and your said brother (provided you have no other siblings and that your mother is no more).

2. It should be mentioned in the said sale deed that your share of sales proceeds i.e. 1/4th of the price will be paid separately in your account while registering the flat.

3.You can ask your brother to get the sale deed drafted accordingly and to send the same to you for your verification.

4. Thereafter, it will be ideal for you to issue a POA in favour of your brother (preferably in favour of any of your trusted person in India if you have any trust deficit on your brother) mentioning exactly the same terms in it based on which the POA has been executed and any deviation from the laid terms will make the POA invalid.

5. Thereafter you should get your the POA notarised before the appropriate officer of the local Indian Consulate.;

6. If there is no other claimant of your late father's share of the flat excepting you and your brother, then you shall have 1/4th of the total price at which the flat is being sold.

7., The your share of the consideration should be deposited/remitted with/to your Bank before the sale deed is registered.

8. However, it will be prudent on your part to execute the POA in favour of some one trusted by you to ensure that you are not cheated and no money is sent to you by your brother after the completion of sale.

9. You can also ask your share from him as advance and then execute the POA in his favour which will be the safest transaction for you.

Krishna Kishore Ganguly
Advocate, Kolkata
27703 Answers
726 Consultations

Dear Sir,

My answers are as follows:

1) How will my share be calculated?

Ans: Your share may be calculated mutually since your brother invested Rs. 7 Lakh. Usually such property will be called as HUF property and you are entitled for half share.

2) When should he pay me?

Ans: If you have no faith on your brother then you may take tentatively a post dated cheque for half of the market value of the property.

3) What legal documents should I ask him for to make sure that he will pay me when his transaction is completed?

Ans: It is sufficient to take post dated cheques or pronotes or bonds. The easiest way of liquidation lies with post dated cheques.

Kishan Dutt Kalaskar
Advocate, Bangalore
6230 Answers
499 Consultations

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