• Letter of Administration, retarded son

In our CO-Op Housing society, we have a flat where in the owner passed away & the owner's son is mentally retarded alive today, this flat is now on the ownership of the mentally retarded son. The son is alive and is in a special child care home. The building has gone in redevelopment and The Guardian of the Mentally retarded son is co ordinating all the redevelopment process by Power Of Attorney with the society and the developer. 
The Guardian has given the Society a Letter Of Administration dated 16th Sep 2021 & is asking to proceed further with the process of transferring the ownership of the flat on the guardians name(ownership is on the name of mentally retarded son as per society records)

1. Can the society transfer the shares, ownership of the flat to the guardian with the letter of administration when the son is still alive?, if yes what other documents are required ?

2. Unfortunately after some time if the sone passes away, can the society transfer the shares , ownership of the flat on the guardians name ?

3. The Letter of Administration - LOA provided by the guardian is issued on the 16th Sep 2021. Understand the LOA is valid only for one year. Does the society need to ask new LOA valid for this year?

4. Does the letter of administration give any right to the administrator to sell the property / flat when the son on whose name the flat is still alive?

5. What documents does the society need to be very much focused on for this 

6. Are there any other points to consider for this case?
Asked 2 years ago in Property Law
Religion: Hindu

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7 Answers

a letter of administration grants the appointed administrator the same authority as an executor; allowing them to access, manage and distribute the deceased's assets, debts, and other financial matters.

 

2) society does not need to ask for new LA 

 

3) As per S. 307 (2) (ii) of Indian Succession Act,the Administrator cannot sale the property without permission from the Court which has granted the LoA. 

 

4) no need to transfer flat in name of administrator /guardian he can manage the flat for mentally retarded 

Ajay Sethi
Advocate, Mumbai
99827 Answers
8148 Consultations

society can transfer shares of flat in administrator name in fiduciary capacity  as administrator only 

 

administrator has  powers with regard to the management of the property of the mentally challenged owner would have enjoyed. 

 

3) administrator can rent the property so that mentally retarded owner can enjoy rental income to meet his expenses 

Ajay Sethi
Advocate, Mumbai
99827 Answers
8148 Consultations

1. the shares and the flat can be transferred to the administrator, however he will have to hold the same only as a trustee for the son on whom the property has devolved being the sole surviving legal heir of the deceased member

2. ideally the administrator has to take steps to transfer the shares and the flat to the name of the son. as the son is not mentally sound, and thus cannot sign on any document, a guardian needs to be appointed for the son by the Court. How the administrator is claiming as the guardian of the son is beyond my comprehension. What is the relationship between the administrator and the son? Has the administrator produced any court order to show that he has been appointed as a guardian for the son? If not then he cannot act at all for the son as his alleged guardian. The administrator's role is only restricted to administering and protecting the estate of the deceased member. How he is claiming double capacity of administrator of the deceased member and also the guardian of the son, is highly suspect and raises eyebrows!

3. after the demise of the son, the property will go to the heirs of the son and NOT to the so called guardian

4. LOA has no validity period unless if any validity period is specifically stated on the LOA grant 

5. the administrator can sell the property of the deceased only with the express permission of the Court

6. ask the administrator to produce a court copy under which he is appointed as the alleged guardian of the son

7. the administrator will have to file an interim application in the Court for necessary directions from the court considering the heir is not in a state of mind to sign on the transfer deed under which the property would be transferred to the son. so ask the administrator to produce such court order in which necessary directions are given by the court as regards what is to be done in such a case

Yusuf Rampurawala
Advocate, Mumbai
7901 Answers
79 Consultations

1. Section 61 of the Mental Health  Act also provided that all instruments of transfer for the property, such as conveyance, would be signed by the Manager, in the name and on behalf of such mentally ill person. Section 62 of the Act provided for performance of contracts, which were entered into by the mentally ill person.

The guardian shall be a trustee to the mentally challenged person and all his acts in this regard should be for the welfare of the menially retarded person.

2. The guardian's duty comes to an end after the death of the mentally retarded person. The legal heirs of the person shall be entitled to succeed the said properties after that.

3. The LOA is a different concept to that of the legal guardian of the mentally retarded person.The guardian shall be appointed by the district collector under sub-section (2) of section 54, the Collector of the District, may appoint any suitable person to be his guardian.  But LOA (Letter of Administration) is an official court document issued for the purpose of giving authority to a person (it is granted) to administer all the estate of a deceased person. It is issued in case when a person dies intestate (without leaving a Will).

It is not understood that how come a LOA was issued to a person who has not been appointed as the legal guardian of the mentally challenged person. 

4. If a person dies intestate, an administrator is appointed by court through Letters of Administration (LOA) to administer the estate of the deceased person.Living person by a testament in entitled to give directions regarding his estate and affairs after his demise. Similarly, a living person should be empowered to appoint guardian for his person and property when he is in good health with express powers to manage his financial affairs during his illness.

However in this situation, the LOA cannot sell the property when the person is alive.

5. The certified copy of the appointment of legal guardian for the mentally ill person under the seal and signature of the district collector.

 

T Kalaiselvan
Advocate, Vellore
90028 Answers
2497 Consultations

If a person dies intestate i.e., without leaving a Will or any testamentary document, an administrator is appointed by the court through the issuance of Letters of Administration (LOA) to administer the estate of the deceased person.

 

In the present case the person is alive hence the LOA is not valid, therefore the society may reject the LOA produced by the administrator.

Some of the acts recognised are:

  • Letters of administration entitle the administrator to all rights belonging to the intestate as effectually as if the administration had been granted at the moment after his death.
  • Administrator is the legal representative for all purposes and all the property of the deceased person is vested in him.
  • No other than the person to whom the same may have been granted shall have the power to sue or prosecute any suit, or otherwise act as representative of the deceased.
  • No act by the administrator tending to the diminution or damage of the intestate's estate shall be validated.

Therefore the society cannot transfer the property in the name of the administrator of the property that belongs to the person who is alive. 

T Kalaiselvan
Advocate, Vellore
90028 Answers
2497 Consultations

Dear Client,

The situation you've described involves legal intricacies and might vary based on the specific laws and regulations of your region. A "Letter of Administration" is typically granted by a court to an individual (the administrator) to manage and distribute the estate of a deceased person who did not leave a will. It empowers the administrator to handle the affairs of the deceased, including property matters.

Regarding the transfer of ownership of the flat from the mentally retarded son to the guardian/administrator, several factors might come into play. The Letter of Administration grants legal authority to manage the deceased person's estate. However, it might not automatically authorize the transfer of property ownership. The administrator must follow legal procedures to transfer ownership as per the laws in your region. Depending on the severity of the son's mental condition, there might be legal considerations regarding his capacity to own or transfer property. If he lacks the mental capacity to make decisions, the court might have appointed the guardian to act in his best interest. The society might have its own set of rules and regulations governing property transfers. They may require specific documentation or legal processes to transfer ownership.

You can reach out to us for further assistance

Anik Miu
Advocate, Bangalore
11020 Answers
125 Consultations

No it can’t be transferred to him. Only his guardian or person appointed by court and specifically through court order the same has to be done 

Prashant Nayak
Advocate, Mumbai
34550 Answers
249 Consultations

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