Person Nominated By Deceased Cannot Claim Right Over Estate, Defeat Law Of Succession When Other Legal Heirs Have Claim: Karnataka HC

The Karnataka High Court has held that if a nomination is made during the lifetime of a deceased, it does not amount to divesting of title after the death of the deceased, notwithstanding the legal heirs. A single judge, Justice Hanchate Sanjeevkumar held thus while dismissing an appeal filed by one Annapurna who had challenged the order of the trial court rejecting her application to be impleaded in the suit filed by the legal heirs of deceased Kantesh Khandagale seeking issuance of succession certificate under Section 372 of the Indian Succession Act. The appellant contended that she is a nominee made by the deceased, therefore she is legally and lawfully eligible to receive the said policy amount, but not by respondent Nos.1 and 2. Then it said “Just because the deceased has made the appellant as nominee, that does not defeat the law of succession, when other legal heirs are having a right to claim estate of the deceased.” Observing that the purpose of making a nomination is to discharge the initial burden of the banker/insurance institution to pay the amount to the nominee without keeping themselves. Usha Devi 1984, the court said “There is no merit in the contention taken by the appellant that just because the appellant is made as nominee then, she alone is entitled to receive the entire amount depriving the right of other legal heirs.