Flat transfer to more than one nominee
If 2 persons are nominated by member and if both nominees wants their name to be mentioned in the Share Certificate on the death of member, what is the way out as only one can be admitted as member. Second nominee cannot even be appointed as Associate as the first named nominee himself does not have right, title and interest in the property as he is merely a trustee. As per MCS Act, as amended in 2014, to be an associate member he should be a part owner having right, title and interest in property, which will be absent in this case.
Asked 1 year ago in Property Law from Greater Mumbai, Maharashtra
What is the relationship of second nominee with the person died.
Advocate, New Delhi
1) nominee is only a trustee for legal heirs .
2) on death of flat owner society would transfer flat in name of the nominees
3) apply to Bombay high court and obtain letters of administration from high court in name of legal heirs
By implication of law the nominee who does not have the right, title and interest in property cannot be admitted as a member.
Nominees cannot transfer the shares on their names.
You have yourself stated very clearly the status of the nominee after the death of the owners, therefore the legal heirs are to to decide about getting the shares on their names by all of them except one giving NOC to thet except one.
Nomination is the process whereby a person is appointed to hold and take care of the flat after the death of the owner of the flat And a nominee in such a case, therefore, is only a caretaker of the flat and not the owner thereof. The nominee will only hold the flat of the deceased as a trustee and will be legally bound to transfer it as per the provisions of the Will or the legal heirs as per the applicable laws of succession.
Under section 30 of the Maharashtra Co-operative Societies Act, 1960, upon the death of a member of a society their shares are transferred to the nominee, but such transfer does not imply transfer of the property contained under the shares of the society. The nominee is merely a trustee for the deceased person’s estate. Justice A.P. Deshpande in a landmark decision said that “it would be the personal law of an individual that would determine the successor to the property and not the nomination under the Cooperative Societies Act”.