Sauda 28
Sauda 28
Question upto Dec - 2008 are from CS Final Gr. I Old Course and from June
- 2009 onwards are from CS Professional Programme New Course.
8.1
8.2 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
SHORT NOTES
2005 - Dec [7] (b) Write short notes on the following:
(ii) Fowler's five rules of drafting. (3 marks)
Answer :
Fowler’s Five Rules of Drafting : As per “anyone who wishes to become
a good writer should endeavour, before he allows himself to be tempted by
more showy qualities, to be direct, simple, brief, vigorous and lucid.”
The principle referred to above may be translated into general in the
domain of vocabulary as follows :
(a) Prefer the familiar word to the far fetched (familiar words are readily
understood).
(b) Prefer the concrete word to the abstract (concrete words make meaning
more clear and precise).
(c) Prefer the single word to the circumlocution (single word gives direct
meaning avoiding adverb and adjective).
(d) Prefer the short word to the long (short word is easily grasped).
(e) Prefer the Saxon word to the Roman (use of Roman words may create
complications to convey proper sense to an ordinary person to
understand).
(f) Always prefer active voice to the passive voice in the drafting of
documents.
2006 - Dec [8] (b) Write brief notes on ‘force majeure’ and ‘deed escrow’.
(5 marks)
Answer :
Deed Escrow : A deed signed by one party and delivered to another as an
"escrow" for it is not a perfect deed. Until and unless the deed's signed by all
the parties are dated when the last party signs it. It is merely writing
(Scriptum). The deed operates from the date it is last signed. Escrow means
a simple writing not to become the deed of the expressed to be bound
thereby, until some condition should have been performed. (Halsbury Laws
of England, 3rd Edn., Vol. II, p. 348).
[Chapter # 1] General Principles of Drafting &... O 8.3
Force Majeure : Means Acts of God, wars or similar action affecting India,
Civil Commotions or general strike (excluding by its own employees) lying
beyond the reasonable control.
2007 - June [6] (b) Write short notes on any three of the following:
(i) Testimonium clause
(ii) Indenture
(iii) Deed Escrow
(iv) Habendum. (2 marks each)
Answer :
(i) Testimonium Clause : The clause of the deed is marked by this
clamps and is an integral part of the deed. Testimonium is the clause
in the last part of the deed. Testimonium signifies that the parties to
the document have signed the deed. This clause marks the close of
the deed and is an essential part of the deed.
The usual form of testimonium clause is as under:
"In witness whereof, parties hereto have hereunto set their
respective hands and seals the date and year first above written". This
is the usual English form of testimonium clause. In India, except in the
case of companies and corporations seals are not used and in those
cases testimonium clause reads as under:
"In witness whereof the parties hereto have signed this day on the
date above written."
Thus testimonium clause can be worded according to the status
and delegation of executants.
(ii) Indenture : Deeds in which there are two or more than two parties is
referred to as indenture. It was written in duplicate upon one piece of
parchment and two parts were severed so as to leave an indented or
vary edge, forging being then, rendered very difficult. Indentures were
so called as at one time they are indented or cut with uneven edge at
the top. In olden times, the practice was to make as many copies or
parts as they were called, of the instruments as they were parties to it,
which parts taken together formed the deed and to engross all of them
of the same skin of parchment.
(iii) Please refer 2006 - Dec [8] (b) on page no. 16
8.4 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
(iv) Habendum : Habendum is a part of deed which states the interest yet
to be taken by the purchaser. Habendum clause starts with the words
"THE HAVE AND TO HOLD". Formerly in England in case of a
gratuitous transfer, the equitable interest wherein remained with the
transferor and the transferee was not deemed to be the owner of the
beneficial interest. It was therefore, necessary to indicate in the deed
that it was being transferred for the use of the transferee if it was
intended to confer an equitable estate in him. It was for that reason
that the habendum commenced with the words: "to have to hold to the
use of...............". Now it is not necessary to express it so. In the
modern deeds, however, the expression "to have and" are omitted.
The habendum limits the estate mentioned in the parcels. The
transferee is mentioned again in the habendum for whose use the
estate is conveyed. If the property conveyed is encumbered, reference
thereto should be made in the habendum. If the parties to transfer
enter into covenants, they should be entered after the habendum.
2010 - Dec [5] Write notes on the following :
(i) Habendum (4 marks)
Answer:
Please refer 2007 - June [6] (b) (iv) on page no. 17
2010 - Dec [7] (b) Write a note on ‘covenants and undertakings’. (5 marks)
Answer:
Please refer 2008 - June [6] (b) of Chapter - 2 on page no. 45
2013 - June [8] (b) Write a note on ‘covenants and undertakings’.
(4 marks)
Answer:
Please refer 2008 - June [6] (b) of Chapter - 2 on page no. 45
2013 - Dec [4] Write notes on the following:
(i) Habendum and reddendum (4 marks)
[Chapter # 1] General Principles of Drafting &... O 8.5
Answer :
HABENDUM
(i) Habendum is a part of deed which states the interest, the purchaser
is to take in the property. The habendum clause starts with the words.
“THE HAVE AND THE HOLDS”
(ii) Formerly in England, if there was a gratuitous transfer, the transferee
was not deemed to be the owner of the beneficial estate in the
property.
(iii) The habendum limits the estate mentioned in the parcels.
(iv) In India, such Phrases as “to have and to hold” or such an expression
as “to the use of the purchaser” can very well be avoided as in cases
except those of voluntary transfers, such an expression is superfluous.
REDDENDUM
This is peculiar to a deed of lease. Here is mentioned this mode and time
fixed for payment. It begins with the word “rendering or paying” with
reference to the reserved rent is payable during the terms of the lease. Place
where payable and instalment where mentioned. If there is apportionment of
rent that is also mentioned.
2014 - Dec [3A] (Or) Write notes on the following:
(i) Covenants and undertakings. (4 marks)
Answer:
Please refer 2008 - June [6] (b) of chapter 2 on page no. 45
DISTINGUISH BETWEEN
2006 - June [7] (a) Distinguish between ‘contract’ and ‘conveyance’.
(5 marks)
Answer:
Contract Conveyance
(a) Any right of any action is not (a) It alters the ownership of existing
created in conveyance. right.
DESCRIPTIVE QUESTIONS
2006 - June [5] {C} (c) What is meant by ‘recitals’ as a component in a
deed? What is its evidentiary value? (5 marks)
Answer :
Recitals : Recitals contain the short story of the property up to its vesting
into its transferors. Care should be taken that recitals are short and
intelligible. Recitals may be of two types. One, narrative recitals which relates
to the past history of the property transferred and sets out the facts and
instrument necessary to show the title and relation to the party to the subject
matter of the deed as to how the property was originally acquired and held
and in what manner it has developed upon the grantor or transferor. The
extent of interest and the title of the person should be recited. It should be
written in chronological order i.e. in order of occurrence. This forms part of
narrative recitals. This is followed by industry recitals, which explain the
motive or intention behind execution of deed.
Recitals should be inserted with great caution because they precede the
operative part and as a matter of fact contain the explanation to the operative
part of the deed. If the same is ambiguous recitals operate as estoppel.
Recital offers good evidence of facts recited therein. Recitals are not
generally taken into evidence but are open to interpretation by the courts. If
the operative part of the deed is ambiguous anything contained in the recital
will help in its interpretation or meaning. In the same sense, it is necessary
that where recitals contain chronological events that must be narrated in
chronological order.
Recital generally begins with the words "Whereas" and when there are
several recitals instead of repeating the words "Whereas" before each and
every one of them, it is better to divide the recitals into numbered paragraphs
for example, "Whereas"-
1.
2.
3.
etc.
It has been held that "Recitals" carry evidentiary importance in the deed.
It is an evidence against the parties to the instrument and those claiming
under and it may operate as estoppel [Ram Charan v. Girija Nandini, 3 SCR
841 (1965)].
[Chapter # 1] General Principles of Drafting &... O 8.11
2006 - June [6] (b) Define and differentiate between the following terms :
(i) Instruments;
(ii) Document; and
(iii) Deed. (10 marks)
Answer :
(i) Instrument : The word "instrument" includes every document by which
any right or liability is, or purports to be, created, transferred, modified,
limited, extended, suspended, extinguished or recorded.
(ii) Document : Document as per General Clauses Act, 1894 means any
matter expressed or described upon any substance by means of
letters, figures or marks, or by more than one of those means,
intended to be used, or which may be used, for the purpose of
recording that matter. As for instance, a writing is a document, words
printed, lithographed or photographed are documents; a map or plan
of a place or stone is a document. A caricature is a document. Thus
document is a paper or other material thing affording information, proof
or evidence of anything.
(iii) Deed : The term deed connects all the instruments by which two or
more persons agree to effect any right or liability.
A deed may be defined as a formal writing of a non-testamentary
character, which purports and operates to create, declare, confirm,
assign, limit or extinguish some right, title or interest.
A deed is a present grant rather than a mere promise to be
performed in the future. Deeds are in writing, signed, sealed and
delivered. Deeds are instruments , but all instruments are not deeds.
All deeds are documents. But it is not always that all documents
are deeds. A document under seal may not be a deed if it remains
undelivered e.g., a will, an award, a certificate of admission to a
learned society, a certificate of shares or stocks and share warrant to
bearer, an agreement signed by directors and sealed with the
company’s seal, license to use a patented article or letters of co-
ordinations.
8.12 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
2006 - June [8] (a) “Drafting of document is a skilled man’s job.” Explain this
statement with some important do’s and don’ts in drafting. (5 marks)
Answer :
The essence of the process of drafting is synthesis of law and fact in a
languages. A proper understanding of drafting cannot be realised unless the
nexus between the law, the facts and the language is fully understood and
accepted. This requires serious thinking followed by prompt action to reduce
the available information into writing with a legal meaning.
Some Do’s :
1. Reduce the group of words to single word;
2. Use simple verb for a group of words;
3. Avoid round-about construction;
4. Avoid unnecessary repetition;
5. Write shorter sentences;
6. Express the ideas in fewer words;
7. Prefer the active to the passive voice sentences;
8. Choose the right word;
9. know exactly the meaning of words and sentences you are writing; and
10. Put yourself in the place of reader, read the document and satisfy
yourself about the content, interpretation and the sense it carries.
Some Don’ts : The following things should be avoided while drafting the
documents :
(a) Avoid the use of words of same sound. For example, the words
"Employer" and "Employee".
(b) When the clause in the document is numbered it is convenient to refer
to any one clause by using single number for it. For example, "in clause
2 above" and so on.
(c) Negative in successive phrases would be very carefully employed.
(d) Draftsman should avoid the use of words "less than" or "more than”,
instead they must use "not exceeding".
(e) If the draftsman has provided for each of the two positions to happen
without each other and also happen without, "either" will not be
sufficient; he should write "either or express the meaning of the two in
other clauses.
[Chapter # 1] General Principles of Drafting &... O 8.13
In writing and typing the following mistakes always occur which should
be avoided:
1. "And" and "or";
2. "Any" and "my";
3. "Know" and "now";
4. "Appointed" and "Applied";
5. "Present" and "Past" tense.
2007 - Dec [6] (a) What are the important principles which a draftsman
should keep in mind in drafting and conveyancing? (3 marks)
Answer :
The following principles of drafting & conveyancing must be adhered to :
(a) Fowler’s five principles of drafting. According to Fowler, "anyone who
wishes to become a good writer should endeavour, before he allows
himself to be tempted by more showy qualities, to be direct, simple, brief,
vigorous and lucid".
The principle referred to above may be translated into general in the
domain of vocabulary as follows:
(i) Prefer the familiar word to the far fetched (familiar words are readily
understood).
(ii) Prefer the concrete word to the abstract (concrete words make
meaning more clear and precise).
(iii) Prefer the single word to the circumlocution (single word gives direct
meaning avoiding adverb and adjective).
(iv) Prefer the short word to the long (short word is easily grasped).
(v) Prefer the Saxon word to the Roman (use of Roman words may
create complications to convey proper sense to an ordinary person
to understand).
(vi) Always prefer active voice to the passive voice in the drafting of
documents.
(b) Outline the contents of a document before drafting.
(c) Skeleton draft and its self-appraisal.
(d) Legal provisions must be complied with.
8.14 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
it was being transferred for the use of the transferee if it was intended to
confer an equitable estate in him. It was for that reason that the habendum
commenced with the words: “to have to hold to the use of ............”. Now it
is not necessary to express it so. In the modern deeds, however, the
expression “to have and” are omitted. The habendum limits the estate
mentioned in the parcels. The transferee is mentioned again in the
habendum for whose use the estate is conveyed. Whatever precedes the
habendum is called the premises. The parcels or the description of the
property usually again included in the premises. If the property conveyed is
encumbered, reference thereto should be made in the habendum. If the
parties to transfer enter into covenants, they should be entered after the
habendum.
In India such phrases as “to have and to hold” or such an expression as
“to the use of the purchaser” can very well be avoided as in cases except
those of voluntary transfers such an expression is superfluous.
2010 - June [1] {C} (b) What are the do’s and don’ts which should be
considered while drafting documents? (5 marks)
(c) Explain the following:
(i) Deed pool
(ii) Deed poll
(iii) Indenture
(iv) Cyrographum
(v) Deed escrow. (2 marks each)
Answer :
(b) Please refer 2006 - June [8] (a) on page no. 26
(c) (i) Deed Pool : It is an arrangement wherein as many copies are made
as there are parties, so that each party may be in possession of a
copy.
(ii) Deed Poll : A deed made and at the same time executed by single
party e.g. power of attorney, is called a deed poll because in olden
times, it was polled or cut level at the top. It had a polled or clean cut
edge. It is generally used for the purpose of granting powers of
attorney and for exercising powers of appointment or setting out an
arbitrator's award. It is drawn in first person usually.
8.18 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
(iii) Indenture : Indenture are those deeds in which there are two or
more parties. It was written in duplicate upon one piece of
parchment and two parts were severed so as to leave an indented
or vary edge, forging being then, rendered very difficult. Indentures
were so called as at one time they are indented or cut with uneven
edge at the top. In olden times, the practice was to make as many
copies or parts as they were called, of the instruments as they were
parties to it, which parts taken together formed the deed and to
engross all of them of the same skin of parchment.
(iv) Cyrographum : This was another type of indenture in olden times.
The word "Cyrographum" was written between two or more copies
of the document and the parchment was cut in a jugged line through
this word. The idea was that the difficulty of so cutting another piece
of parchment that it would fit exactly into this cutting and writing
constituted a safeguard against the fraudulent substitution of a
different writing for one of the parts of the original. This practice of
indenting deeds also has ceased long ago and indentures are really
now obsolete but the practice of calling a deed executed by more
than one party as an "indenture" still continues in England.
(v) Deed Escrow : A deed signed by one party and delivered to another
as an "escrow" for it is not a perfect deed. It is only a mere writing
(Scriptum) unless signed by all the parties and dated when the last
party signs it. The deed operates from the date it is last signed.
Escrow means a simple writing not to become the deed of the
expressed to be bound thereby, until some condition should have
been performed (Halsbury Laws of England, 3rd Edn., Vol. II, p.
348).
2010 - Dec [1] {C} (c) What is meant by ‘recitals’ as a component in a deed?
What is its evidentiary value ? (5 marks)
Answer:
Please refer 2006 - June [5] {C} (c) on page no. 24
2010 - Dec [2] (a) Explain the following :
(ii) Testimonium (2 marks)
(iv) Deed escrow (2 marks)
[Chapter # 1] General Principles of Drafting &... O 8.19
Answer :
(ii) Please refer 2007 - June [6] (b) (i) on page no. 17
(iv) Please refer 2007 - June [6] (b) (iii) on page no. 17
2010 - Dec [6] (a) Define the term ‘deed’. Explain any seven usual clauses
in a deed. (8 marks)
(b) Whether an unburnt fresh hard disk in a computer is a ‘document’ within
the meaning of section 3 read with section 65B of the Indian Evidence Act,
1872 ? Discuss with reference to case law. (4 marks)
Answer :
(a) Please refer 2009 - Dec [1] {C} (b) on page no. 29
Answer:
(b) The issue whether hard disc of a computer is a document within the
meaning of sections 3 and 65B of the Evidence Act, 1872 was decided
in the case Dharamvir v. CBI [148 (2008) DLT [288].
In this case it was held that hard disc is a document. The court held
that as long as nothing at all is written on to a hard disc and it is
subjected to no change, it will be a mere electronic storage device like
any other hardware of the computer. Once the hard disc is subject to any
change, then even if it restored to the original position by reversing that
change, the information concerning the two steps, viz., the change and
its reversal will be stored in the subcutaneous memory of the hard disc
and can be retrieved by using software designed for that purpose.
Therefore, a hard disc that is once written upon or subjected to any
change is itself an electronic record even if it does not at present contain
any accessible information.
In addition there could be active information available on the hard
disc which is accessible and convertible into other forms of data and
transferable to other electronic devices. The active information would
also constitute an electronic record. Given the wide definition of the
words ‘document’ and ‘evidence’ in the amended Section 2(o) and 2(t)
of IT Act, there can be no doubt that an electronic record is a document.
8.20 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
(iii) Where the property is house, the Easements annexed thereto, the rent
thereof accruing after the transfer and the locks, keys, doors windows,
etc.
(iv) Where the property is a debt or other actionable claim, the securities
there of but not arrears of interest accrued before the transfer.
2011 - Dec [1] {C} (a) “All instruments are legal documents, but all legal
documents are not instruments.” Critically evaluate with reference to leading
cases. (10 marks)
Answer :
According to Section 3 of the Indian Evidence Act, 1872, defines Document
as “any matter expressed or described upon any substance by means of
letter, figures, or marks, or more than one of these means, intended to be
used or which may be used for purposes of recording that matter.
Examples:
(i) Writings;
(ii) Prints;
(iii) Maps;
(iv) A caricature
(v) Photo
(vi) Video etc.
However, an instrument is a specific type of legal document used or intended
to be so used or capable of being used as evidence of:
— Financial / monetary / legal right or liability.
— Purports to be so created, transferred.
modified, limited, extended, suspended, extinguished or recorded those
rights and liabilities.
The word instrument has been interpreted in different judgements by
different courts with reference to the different enactment.
Example :
1. As per Section 2(b) of the Notaries Act, 1952 and Section 2(14) of the
Indian Stamp Act, 1899, the word “instrument” includes every document
by which any right or liability is or purports to be created, transferred,
modified limited, extended, suspended, extinguished or recorded.
[Chapter # 1] General Principles of Drafting &... O 8.23
Answer :
Parcels Clause
This is a technical expression meaning methodical description of the
property. It is necessary that in case of non-testamentary document
containing a map or plan of the property shall not be accepted unless it is
accompanied by the True Copy. Usually the Parcel Clause starts with the
words All Those.......................... And further or description covers as per the
type of property subjected to transfer under the deed. This clause includes
words such as : Messuages, Tenements, Hereditaments, Land, Water etc.
But use of these words has been rendered unnecessary in view of Section
8 of Transfer of Property Act, 1882. This Section has cut down the length of
the deeds and done away with description of minute details of the incidents
of the property intended to be conveyed.
2013 - Dec [5] (a) “Drafting may be defined as the synthesis of law and fact
in a language form.” Explain. (8 marks)
Answer :
Drafting may be defined as the synthesis of law and fact in a language form
[Stanley Robinson: Drafting its application to conveyancing and commercial
document 1980]
(i) All three characteristics rank equally in importance.
(ii) Legal drafting is the crystallization and expression in definitive form of
a legal right, privilege function, duty or status.
(iii) Legal instrument such as constitution, status, regulations, ordinances,
contract, wills, conveyances, indentures, trusts and leases.
NOTE: The process of drafting operates in two planes, the conceptual and
verbal besides seeking the right words, Drafting, therefore, is first thinking
and second composing.
2014 - June [2] Explain the following :
(a) Reasons for drafting recitals in a deed with due caution.
(c) Drafting and conveyancing have the same meaning though these are not
interchangeable. (4 marks each)
[Chapter # 1] General Principles of Drafting &... O 8.25
Answer:
(a) Recitals should be inserted with great caution because they precede the
operative part and as a matter of fact contain the explanation to the
operative part of the deed. If the same is ambiguous recitals operate as
estoppel. Recital offers good evidence of facts recited therein. Recitals
are not generally taken into evidence but are open for interpretation for
the courts. If the operative part of the deed is ambiguous anything
contained in the recital will help in its interpretation or meaning. In the
same sense, it is necessary that where recitals contain chronological
events that must be narrated in chronological order.
Recitals carry evidentiary importance in the deed. It is an evidence
against the parties to the instrument and those claiming under and it may
operate as estoppel [Ram Charan v. Girija Nandini, 3 SCR 841 (1965)].
Answer:
(c) Drafting and Conveyance Distinguished: Both the terms “drafting and
conveyancing” provide the same meaning although these terms are not
interchangeable. Conveyancing gives more stress on documentation
much concerned with the transfer of property from one person to
another, whereas “drafting” gives a general meaning synonymous to
preparation of drafting of documents. Document may include
documents relating to transfer of property as well as other
“documents” in a sense as per definition given in Section 3(18) of the
General Clauses Act, 1897 which include any matter written, expressed
or described upon any substance by means of letters, figures or mark,
which is intended to be used for the purpose of recording that matter.
For example, for a banker the document would mean loan agreement,
deed of mortgage, charge, pledge, guarantee, etc. For a businessman,
document would mean something as defined under Section 2(4) of the
Indian Sale of Goods Act, 1930 so as to include a document of title to
goods i.e. “Bill of lading, dock-warrant, warehouse-keepers’ certificate,
wharfingers’ certificate, railway receipt multi-model transport document
warrant or order for the delivery of goods and any other document used
in ordinary course of business as proof of the possession or control of
goods or authorising or purporting to authorise, either by endorsement
or by delivery, the possessor of the document to transfer or receive
goods thereby represented.
8.26 O Solved Scanner CS Prof. Prog. M-III Paper 8 (New Syllabus)
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