Definition
Relinquishment Deed
A relinquishment deed is a legal document by which a co-owner or legal heir voluntarily gives up their share in a property in favour of other co-owners or heirs.
It is commonly used among family members — for example, when one heir surrenders their inherited share of a property to siblings, often without consideration. To be valid for immovable property, a relinquishment deed must be in writing, signed, witnessed and registered, with applicable stamp duty, which is frequently lower for transfers among close relatives.
Unlike a gift deed (which can be to anyone), a relinquishment is typically between co-owners or co-heirs and only transfers the relinquishing party's existing share. It is a useful tool to consolidate ownership and settle inheritance amicably, and once registered it is generally irrevocable.
Related terms
- Intestate SuccessionIntestate succession is the distribution of a deceased person's assets according to statutory law when they die without leaving a valid will.
- Joint OwnershipJoint ownership is when two or more people together hold legal title to a property or asset, sharing rights and, depending on the structure, the manner of succession.
- Gift DeedA gift deed is a legal document used to voluntarily transfer ownership of property or money from one person (the donor) to another (the donee) without any consideration in return.
Plain-English explainer from The Dispatch Investors Encyclopedia. General information, not financial advice.