Is a relinquishment deed governed by Section 122 of the Transfer of Property Act, 1882?

Not ordinarily. Section 122 defines a gift as a voluntary transfer without consideration. A relinquishment or release deed must be classified according to its substance, the rights released, applicable registration law and the relevant State or Union Territory stamp law.

Does a relinquishment deed relating to immovable property require registration?

An instrument that creates, declares, assigns, limits or extinguishes rights in immovable property generally attracts compulsory registration under Section 17 of the Registration Act, 1908, subject to the Act and applicable local law.

How is stamp duty on a relinquishment deed calculated?

Stamp duty is governed by the applicable State or Union Territory law and can depend on the nature of the transaction, relationship between parties, consideration and property value. The local registration and stamp authority should be checked before execution.

Legal Format | Immovable Property

Relinquishment Deed Format for Immovable Property in India

A relinquishment deed (also commonly called a release deed) is used when a person who already has a share or interest in property gives up that share or interest in favour of another person who has an existing interest in the same property. It is commonly used among co-owners or legal heirs after succession.

Important legal correction: Section 122 of the Transfer of Property Act, 1882 deals with a gift, meaning a voluntary transfer without consideration. A relinquishment deed is not automatically a gift deed. Its legal treatment depends on the substance of the transaction, whether consideration is paid, the relationship and existing rights of the parties, and the applicable State/UT stamp and registration law.

Where an instrument itself creates, declares, assigns, limits or extinguishes a right, title or interest in immovable property, compulsory registration may apply under Section 17 of the Registration Act, 1908. Stamp duty and registration fees are State/UT-specific and should be verified with the jurisdictional registration authority before execution.

Sample Relinquishment Deed Format

The following specimen retains the substance of the earlier draft while modernising its language. It should be adapted to the title documents, succession facts, applicable personal/succession law, consideration (if any), local stamp law and registration requirements.

DEED OF RELINQUISHMENT / RELEASE

This Deed of Relinquishment is made and executed on this ____ day of __________, 20____ at __________.

BY
Shri/Smt. ______________________________, son/daughter/wife of ______________________________, aged about ____ years, residing at ______________________________________________ (hereinafter referred to as the "Releasor/First Party", which expression shall, unless repugnant to the context, include his/her heirs, legal representatives, executors, administrators and permitted assigns);

AND

Shri/Smt. ______________________________, son/daughter/wife of ______________________________, aged about ____ years, residing at ______________________________________________ (hereinafter referred to as the "Releasee/Second Party", which expression shall, unless repugnant to the context, include his/her heirs, legal representatives, executors, administrators and permitted assigns).

Recitals

A. Late Shri/Smt. ______________________________ died on __________ [intestate / leaving a valid Will dated __________], and the parties claim rights in the property described in the Schedule below in accordance with the applicable law and title documents.

B. The property is more particularly described as Flat/House/Property No. ______________________________, situated at ______________________________________________, admeasuring approximately __________ sq. ft./sq. m., together with all appurtenant rights and interests (hereinafter referred to as the "Said Property").

C. The Releasor represents that he/she holds or claims a lawful share, right, title or interest in the Said Property and has agreed to relinquish/release such share, right, title and interest in favour of the Releasee, who already has an existing share or interest in the Said Property.

D. This relinquishment is made [without monetary consideration] / [for a consideration of ₹____________ (Rupees ______________________________ only), the receipt and sufficiency of which the Releasor acknowledges], as applicable to the actual transaction.

E. The parties desire to record the relinquishment/release in writing and to complete stamping, registration, mutation and other formalities required by applicable law.

Now This Deed Witnesses as Follows

1. The Releasor hereby irrevocably releases and relinquishes in favour of the Releasee all the Releasor's lawful share, right, title, claim and interest in the Said Property, to the extent legally transferable by the Releasor.

2. Upon lawful execution and registration of this Deed, the Releasee shall be entitled to hold and enjoy the share so released together with the Releasee's existing rights, subject to applicable law, encumbrances disclosed in the title documents and the rights of any third party lawfully subsisting.

3. The Releasor declares that, except as specifically disclosed in this Deed, the Releasor has not created any transfer, charge, lien or encumbrance over the share being released and shall execute such further lawful documents or declarations as may reasonably be required to give effect to this Deed.

4. The parties may present this Deed before the jurisdictional Sub-Registrar/registration authority and may apply for mutation or correction of records with the competent municipal, revenue, housing-society or other authority, as applicable.

Schedule of Property

Property/Flat No.: ______________________________
Building/Project/Survey/Khasra No.: ______________________________
Street/Locality: ______________________________
Village/Town/City/District/State: ______________________________
Area: ______________________________
Boundaries, if applicable:
East: ____________________ West: ____________________
North: ___________________ South: ___________________

IN WITNESS WHEREOF, the parties have executed this Deed on the date and at the place first stated above.

Releasor / First Party
Name: ____________________

Releasee / Second Party
Name: ____________________

Witness 1
Name & Address: ____________________

Witness 2
Name & Address: ____________________

Legal Notes Before Using This Format

Section 122 TPA applies to gifts

Section 122 of the Transfer of Property Act, 1882 defines a gift as a voluntary transfer of existing movable or immovable property made without consideration and accepted by or on behalf of the donee. If the real transaction is a gift, it should not be incorrectly described merely as a relinquishment.

Gift of immovable property: Section 123 TPA

For a gift of immovable property, Section 123 requires a registered instrument signed by or on behalf of the donor and attested by at least two witnesses.

Registration of a release/relinquishment instrument

Section 17 of the Registration Act, 1908 provides for compulsory registration of specified instruments, including non-testamentary instruments that create, declare, assign, limit or extinguish rights, title or interest of the prescribed value in immovable property. The exact application to a document depends on its legal effect and the facts of the transaction.

Stamp duty is State/UT-specific

Stamp duty concessions, valuation rules, family-member concessions and registration charges vary by State or Union Territory. Check the current law and notifications applicable where the property is situated before signing or presenting the deed for registration.

Practical safeguard: Verify the chain of title, legal-heir or succession documents, encumbrances, property description, identity details, consideration clause, applicable stamp duty and registration procedure before execution. This specimen is a general drafting aid and not a substitute for advice on a specific transaction.

Official Legal Resources

India Code - Transfer of Property Act, 1882 India Code - Registration Act, 1908 India Code - Indian Stamp Act, 1899 Department of Land Resources - Model Property Registration Documents

Frequently Asked Questions

Is a relinquishment deed the same as a gift deed?

No. A gift under Section 122 TPA is expressly without consideration. A relinquishment/release generally concerns the surrender of an existing share or interest, often in favour of another co-owner or co-heir. The document must reflect the true transaction.

Can consideration be paid under a relinquishment deed?

A release may in practice be documented with or without consideration, but consideration can affect the legal character of the transaction, stamp duty and other consequences. The clause should therefore be drafted according to the actual facts and applicable State law.

Should the deed be registered?

Where the document itself operates to extinguish or transfer rights in immovable property, compulsory registration will ordinarily need to be examined under Section 17 of the Registration Act, 1908. Local registration rules and exemptions, if any, must also be checked.