Since succession certificate has been issued in names of A and B shares would be transmitted in same order
Share transfer with Succession certificate
My Parents had paased away without any will. We obtained succession certificate from the court in favour of family members A and B Say My father has shares of compnay G and my mother also has equal shares of company G with different folio. The question is Can my father's share be transmitted in the name of A and B and my mother's share can be transmitted in the name of B and A (Only order of names is different) with mutual understanding. We have no plan of selling these shares.
Asked 2 years ago in Property Law
Religion: Hindu
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12 Answers
Yes if you have succession the same can be done
Is there a section of code that you can mention as a supportive document.
Asked 2 years ago
You can execute a registered family settlement deed amongst yourselves as per the percentage agreed upon between you for the said transfer
1. Depending on prayer in Application for Succession Certificate and Court Order on such Application, the movable property can be transferred in the manner so desired PROVIDED both A & B agree to the same via a separate registered Declaration Deed.
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- After the demise of parents ,intestate , the property would be devolved upon A & B equally.
- The share will also can be share equally , and under mutual understanding it can be transmitted to either of the two.
- Move an application for transmission of shares .
1) Transmission of shares is a process by operation of law where under the Shares are registered in a Company in the name of deceased person are registered in the name of his legal heirs by the Company on proof of death
2) Transmission of shares takes place when registered member dies or is adjudicated insolvent or lunatic by competent court
3) Article of the Company usually provide the provisions of Transmission of shares
4) legal heirs should obtain a Succession Certificate/Letter of Administration of the last deceased joint holder in their favour and follow the procedure for transmission
5) since succession certificate mentions name of legal heirs company would transmit shares in same order
1. Since the arrangement is within the legal heirs, both A and B can enter into a Family Settlement Deed and mutually settle this issue as suggested.
2. This Family Settlement Deed can be submitted to the statutory authorities, if there's a need.
The Transmission Request Form should be filled up by legal heirs who would like to have the shares held by the deceased transmitted in their names.
The applicants should fill up their names on the Form in the same order in which their names should appear on the share certificates.
the transmission of shares takes place due to the operation of law that is on the death of the holder of shares or in an event where the holder becomes insolvent/lunatic.
It will be affected when the application of transmission of shares along with relevant documents is valid.
As per Section 56 of the Companies Act, 2013 read with Rule 11 of Companies (Share Capital & Debenture) Rules, 2014
The following are the relevant documents for the transmission of shares
- Certified Copy of Death Certificate
- Self Attested Copy of PAN
- Succession certificate/ Probate of Will/Will/ Letter of Administration/ Court Decree
- Specimen signature of successor
Dear Client,
After you have secured a succession certificate you can inherit the shares of your father and mother in your name.
Thank you
1. Both A & B have been certified to be the successors of the properties of their parents without mentioning anything about the order.
2. So, they can place their names in any order they wish to while substituting their names in the share certificates of their parents.
There is no section of law which specifies the order in which they should apply for substituting their names in the share certificates of their deceased parents.