Frequently Asked Questions

In most matters, no. A registered or consulate-attested Power of Attorney allows the team to appear, file, sign, and represent on your behalf in Indian courts, registrar offices, and before government authorities. Physical presence is legally required only in specific situations, which are identified at intake.

IndusGuard operates with overlapping shifts covering US, UK, Gulf, and Australian time zones. Each matter has a named lead who is reachable directly. Weekly written progress notes are standard on every file.

A Power of Attorney is a legal document authorising a trusted person in India to act on your behalf. For NRIs, it is the instrument that makes remote handling of property, court proceedings, banking, and succession matters legally valid. It must be executed at the Indian Consulate or apostilled and adjudicated in India within 90 days of arrival.

IndusGuard serves NRIs in the USA, United Kingdom, UAE, Canada, Australia, Singapore, Germany, France, and New Zealand, with consular POA coordination and overlapping time-zone coverage for each region.

Yes. A Look Out Circular can be challenged through a writ petition in the relevant High Court under Article 226 of the Constitution. An advocate can file and argue the petition under a registered Power of Attorney. Courts have granted interim relief and final removal orders in LOC matters without the petitioner's physical presence.

An NRI (Non-Resident Indian) is an Indian citizen residing abroad. An OCI (Overseas Citizen of India) is a foreign national of Indian origin holding an OCI card. Both can own property, inherit assets, and engage Indian courts. OCI cardholders cannot hold agricultural land or plantation property. Indian personal laws apply to NRIs; OCI cardholders may be governed by the personal law of their country of citizenship in some matters.

Timelines depend on the matter type. A Power of Attorney execution takes 1-2 weeks. A property title report takes 5-7 working days. A succession certificate from a district court takes 3-9 months. Anticipatory bail in an urgent matter can be secured in 2-4 weeks. A partition suit can take 2-5 years. Written timeline estimates are provided after the initial discovery call.

Yes. An NRI can sell property in India through a registered Power of Attorney holder. The POA must be executed at the Indian Consulate or apostilled, adjudicated in India within 90 days, and registered where required for immovable property transactions. The attorney-holder can execute the sale deed, appear at the sub-registrar, and complete the transaction on the NRI's behalf.

The NRI typically needs: the original sale deed or title document, death certificate of the deceased owner, legal heir certificate or succession certificate, mutation document showing the NRI's name in revenue records, encumbrance certificate, tax receipts, and a registered Power of Attorney. Additional documents such as probate may be required depending on the state.

For long-term capital gains (property held over 24 months), the TDS rate is 12.5% as of the July 2024 budget amendments. For short-term gains, TDS is deducted at 30%. The resident buyer deducts and deposits TDS before making payment to the NRI seller.

Under FEMA rules, an NRI can repatriate up to USD 1 million per financial year from an NRO account. For property purchased with funds remitted from abroad through NRE or FCNR accounts, the entire sale proceeds are repatriable. Repatriation beyond USD 1 million per year requires prior RBI approval through an Authorised Dealer bank.

RERA (Real Estate Regulation and Development Act 2016) mandates that all real estate projects above 500 sq metres or eight units must be registered with the state RERA authority before sale. NRIs can file complaints before the state RERA authority against builders for delay, defective construction, or misrepresentation. RERA orders are enforceable as civil court decrees.

Title verification is an independent investigation of a property's ownership history, encumbrances, pending litigations, and regulatory compliance. It involves reviewing the chain of title documents, encumbrance certificate, mutation records, tax receipts, and court searches. For NRIs buying property in India from abroad, title verification prevents purchase of disputed, encumbered, or fraudulently transferred property.

West Bengal uses a distinct land record system based on Khatian numbers (RS and LR) and Dag numbers rather than the 7/12 extract used in Maharashtra. Mutation is processed at the BL&LRO (Block Land and Land Reforms Office). Bengal Hindus follow the Dayabhaga school of inheritance law. Probate of a Will is mandatory in West Bengal for immovable property, unlike most other Indian states.

A comprehensive title search covers: chain of title deeds for at least 30 years, encumbrance certificate from the sub-registrar, mutation records at the revenue authority, litigation searches at relevant courts, tax receipts, society NOC and share certificate where applicable, sanctioned building plan, occupancy certificate, and any Power of Attorney history in the title chain.

Title search reports are delivered within 5-7 working days for most urban properties. Rural or ancestral properties with incomplete revenue records may take 10-14 days. The report is delivered in plain English with red-flag items summarised and a recommendation on whether to proceed with the transaction.

An encumbrance certificate is an official record from the sub-registrar showing all registered transactions on a property over a specified period — mortgages, sales, gifts, and charges. It confirms whether the property is free of registered financial liabilities. An NRI should always obtain an EC covering at least 13-30 years before purchasing property in India.

A Khatian is the primary land ownership record in West Bengal, maintained at the Block Land and Land Reforms Office (BL&LRO). It records the owner's name, nature of holding, and survey details under an RS (Revisional Settlement) or LR (Land Reforms) number. Title verification for Bengal property begins with Khatian verification through the Banglarbhumi portal and ground-level BL&LRO records.

A title search detects the most common forms of property fraud in India: forged sale deeds, unregistered Powers of Attorney used for transfer, missing links in the succession chain, properties with adverse possession claims, properties subject to pending partition suits, and properties with undisclosed mortgages. It cannot detect fraudulent documents that have never been registered and leave no public record.

Probate is no longer universally mandatory across India after the Repealing and Amending Act 2025 came into effect in December 2025. However, probate remains mandatory in West Bengal for Wills dealing with immovable property. Banks, housing societies, and sub-registrars frequently insist on probate for NRI heirs even where not legally required. It is strongly recommended for high-value or potentially contested estates.

A legal heir certificate is issued by the local revenue authority within 15-30 days and establishes who the heirs are. It is used for property mutation, pension transfers, and utility connections. A succession certificate is issued by a civil court under the Indian Succession Act 1925, takes 3-9 months, and is required to collect movable financial assets such as bank deposits, shares, and mutual funds.

An NRI can obtain a succession certificate through an advocate in India under a registered Power of Attorney. The POA must be consulate-attested or apostilled. The advocate files the petition before the district civil court, manages the mandatory notice period, attends hearings, and collects the certificate. Most NRIs complete the entire process without any travel.

Yes. West Bengal continues to require probate for Wills dealing with immovable property located in the state. The petition is filed before the Calcutta High Court on its Original Side. NRIs inheriting property in Kolkata or anywhere in West Bengal through a Will must obtain probate before the property can be transferred, mortgaged, or sold.

Dayabhaga is the school of Hindu law followed in West Bengal and Assam, distinct from the Mitakshara school followed in the rest of India. Under Dayabhaga, a son has no birthright or coparcenary interest in the father's property during the father's lifetime. The father has full ownership and complete testamentary rights. This means NRIs inheriting under a Bengali Hindu father's Will have stronger legal footing than under Mitakshara coparcenary law.

The probate petition before the Calcutta High Court requires: the original Will, death certificate of the testator, proof that the property is located in West Bengal or the testator last resided there, identity documents of the executor and heirs, property documents, and a court fee calculated on the estimated value of the estate.

An Indian Will governs assets located in India. A separate Will should be prepared in each country where the NRI holds assets, as foreign courts may not give effect to an Indian Will without additional procedures. For NRIs holding assets in India and abroad, India-side Will drafting can be coordinated with estate counsel in the relevant foreign jurisdictions.

A private discretionary trust is a legal arrangement where assets are held by trustees for the benefit of named beneficiaries. The trustees have discretion over when and how much to distribute. NRI families use it to protect wealth across generations, provide for minor or dependent beneficiaries, and prevent assets from being fragmented through multiple inheritance proceedings.

A Hindu Undivided Family (HUF) is a separate legal and tax entity under Indian law available to Hindu, Jain, Sikh, and Buddhist families. It can hold property and generate income separately from individual family members. NRIs who are karta or coparceners of an HUF should be aware that FEMA rules apply to HUF assets and transactions involving NRI members require specific compliance.

Yes. Under Dayabhaga law, there is no automatic coparcenary interest in a father's property during his lifetime. This makes Will drafting and trust planning more straightforward in Bengal — the testator has full testamentary freedom over self-acquired and ancestral property. However, dying intestate can lead to fractured ownership among a larger class of heirs than under Mitakshara.

Yes. An NRI can be a trustee of an Indian private trust. However, FEMA rules govern any remittances into or out of the trust if the trustee is a non-resident. An NRI trustee should ensure that the trust deed contains clear provisions on succession of trusteeship to resident co-trustees to avoid operational difficulties.

A family constitution is a governance document that sets out rules for how a family manages its shared business and property interests — including decision-making rights, entry and exit of family members from the business, dispute resolution mechanisms, and distribution of dividends. For NRI-resident family combinations it manages governance tensions between family members operating in different legal jurisdictions.

Yes. In mutual consent divorce proceedings, an NRI can execute a Power of Attorney authorising an advocate to appear and file on their behalf. Both spouses must give their consent, which can be recorded by video conference in many courts under BNSS 2023 provisions. The mandatory 6-month cooling-off period between the first and second motion applies unless waived by the Supreme Court.

Not automatically. Under Section 13 of the Code of Civil Procedure 1908, a foreign divorce decree is conclusive in India only if both parties were domiciled in that country at the time, or both voluntarily submitted to the foreign court's jurisdiction. A US default divorce obtained without the Indian spouse's participation is generally not recognised by Indian courts.

The priority is securing anticipatory bail under Section 482 of the BNSS 2023 before travelling to India. Engage an Indian advocate immediately. The advocate can file the anticipatory bail application without your physical presence. Additionally, check whether a Look Out Circular has been issued and whether there are grounds to file for quashing of the FIR under Section 528 BNSS 2023 if the complaint is mala fide.

Indian courts apply the welfare of the child as the paramount consideration regardless of where the child is physically located. India is not a signatory to the Hague Convention on International Child Abduction, so there is no automatic return order for children brought to India from abroad. Indian courts make independent welfare assessments. Mirror orders between Indian and foreign courts are a practical tool for NRI parents managing custody across jurisdictions.

Under Section 144 of the BNSS 2023, Indian courts can order maintenance regardless of where the respondent resides. Enforcement against an NRI abroad depends on whether a bilateral enforcement arrangement exists with that country. Within India, enforcement mechanisms include attachment of property, attachment of NRO or NRE accounts, and contempt proceedings.

Yes, if either spouse has a sufficient connection to India — Indian domicile, Indian citizenship, or place of last matrimonial residence in India. The relevant personal law (Hindu Marriage Act, Special Marriage Act, etc.) applies based on religion and the circumstances of the marriage. Indian courts regularly handle divorce petitions involving marriages solemnised abroad where one or both parties are Indian citizens.

India does not have a statutory matrimonial property regime imposing equitable division of all assets on divorce. Property that belonged to each spouse before marriage remains theirs. Courts can pass property-related relief orders in divorce proceedings, particularly for the matrimonial home. For NRIs, FEMA rules apply to any repatriation of assets following a divorce settlement.

A Look Out Circular is a notice issued by Indian authorities to immigration officials at airports and border points. A Detain LOC can result in an NRI being stopped and detained on landing. A Watch LOC alerts authorities to a person's movement without detention. LOCs can be issued by police, the CBI, the Enforcement Directorate, or the Income Tax department, sometimes without prior judicial approval.

A Look Out Circular can be challenged by filing a written representation to the issuing authority. If refused, a writ petition under Article 226 of the Constitution can be filed in the appropriate High Court. Courts have consistently held that an LOC affecting the right to travel under Articles 19 and 21 must have reasonable grounds and follow due process. Courts have removed LOCs in as little as 2-3 weeks in urgent matters.

Yes. An NRI can apply for anticipatory bail under Section 482 of the BNSS 2023 through an advocate in India without being physically present. The court holds a hearing, typically within 1-3 weeks of filing, and can grant protection from arrest before the NRI arrives. Anticipatory bail can cover the NRI's entire stay and appearance at future hearing dates.

Yes. Under Section 528 of the BNSS 2023, the High Court has inherent power to quash an FIR where the complaint is mala fide, the allegations do not make out an offence, or the parties have reached a genuine settlement. The Supreme Court in Arnesh Kumar v. State of Bihar established specific guidelines against routine arrests in 498A matters. Quashing is the preferred remedy for clearly fabricated complaints.

No. Interpol does not accept Red Corner Notices from India for cases under Section 498A (now Section 85 of BNS 2023) or allied matrimonial offences. An NRI facing a 498A case is therefore not at risk of international arrest through Interpol, though they may face an Indian Look Out Circular affecting travel to India specifically.

Travelling to India with a pending FIR without anticipatory bail in place carries a real risk of arrest at immigration or by police. The risk level depends on the nature of the offence, the state where the FIR is filed, and whether an LOC has been issued. An anticipatory bail order from the relevant sessions court or High Court prevents arrest for the duration specified in the order.

For most procedural matters in criminal proceedings, an advocate can appear on behalf of the accused without the accused being physically present. For specific stages where the court directs personal appearance — such as framing of charges or recording of the accused's statement under Section 313 BNSS — physical presence is legally required unless the court permits video conference appearance under BNSS 2023 digital proceedings provisions.

The primary legal routes are: a cheque bounce complaint under Section 138 of the Negotiable Instruments Act if payment was by cheque; a summary suit under Order XXXVII of the CPC for acknowledged debts; a civil suit for recovery; or an IBC application under Section 7 (financial creditor) or Section 9 (operational creditor) for debts above Rs. 1 crore. The chosen route depends on the nature of the debt, the amount, and the debtor's solvency.

A cheque bounce case under Section 138 of the Negotiable Instruments Act is a criminal complaint that can be filed within 30 days of the legal notice period expiring. The drawer of the dishonoured cheque faces up to 2 years imprisonment and a fine up to twice the cheque amount. NRIs can file complaints through an advocate in India under a Power of Attorney.

SARFAESI (Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act 2002) allows banks and NBFCs to take possession of secured assets without a court order when a borrower defaults. NRI borrowers with secured loans in India can challenge SARFAESI actions before the Debt Recovery Tribunal (DRT) within 45 days of the possession notice. The DRT can grant a stay on enforcement.

Yes. Foreign creditors are not excluded from filing insolvency applications under the IBC. A financial creditor (Section 7 application) or operational creditor (Section 9 application) that is a foreign entity can file before the NCLT. The minimum threshold is Rs. 1 crore for corporate insolvency proceedings.

Under the Limitation Act 1963, a simple money recovery suit must be filed within 3 years from when the right to sue accrues (typically the date of default or demand). For suits on a bond or mortgage, 12 years. Missing the limitation period bars the suit entirely, making early legal action essential.

Yes. Any person who has purchased goods or availed services qualifies as a consumer under the Consumer Protection Act 2019. NRIs who have purchased property, financial products, or services from Indian companies can file complaints before the District Consumer Commission (for claims up to Rs. 50 lakh), State Consumer Commission (up to Rs. 2 crore), or National Consumer Commission (above Rs. 2 crore).

The Consumer Protection Act 2019 replaced the 1986 Act and introduced: online complaints through the E-Daakhil portal, product liability for manufacturers and sellers, stricter penalties for misleading advertisements, mediation as a mandatory first step in certain disputes, and expanded jurisdiction to cover e-commerce platforms and online transactions.

Yes. RERA complaints can be filed online through each state's RERA portal. NRIs who have purchased property in a RERA-registered project can file complaints for delayed possession, defective construction, false representations, or refund claims. An advocate in India can file and represent the NRI before the RERA authority through a Power of Attorney.

Consumer complaints must be filed within 2 years from the date the cause of action arises under the Consumer Protection Act 2019. The Consumer Commission can condone delay for sufficient cause. NRIs should file promptly on discovering the deficiency to avoid limitation issues.

Yes. Insurance claim repudiation constitutes a deficiency in service under the Consumer Protection Act 2019. NRIs with life, health, property, or vehicle insurance policies in India can file before the appropriate Consumer Commission. Complaints against insurance companies can also be filed before the Insurance Ombudsman for faster resolution.

A foreign company can establish an India presence through: a wholly owned subsidiary (Indian private limited company, most flexible structure), a branch office (for companies with profitable overseas operations, limited activities permitted), a liaison office (representative office only, no commercial activities), or a project office (for specific projects). FDI route confirmation and RBI reporting requirements apply to all structures.

Most sectors in India allow FDI under the Automatic Route without prior government approval — the investment is reported to the RBI within 30 days through the FC-GPR form after share allotment. Certain sensitive sectors require Government Route approval from the Ministry of Finance or the relevant sectoral ministry before investment.

A shareholders' agreement governs the rights and obligations of shareholders beyond the company's articles of association. For foreign investors in Indian companies, it typically covers investor protection rights (anti-dilution, information rights, affirmative voting rights), exit mechanisms (put options, drag-along, tag-along), board representation, and dispute resolution. It should be governed by Indian law and contain an arbitration clause specifying a neutral seat.

A foreign-owned Indian private limited company must file: annual returns and financial statements with the ROC (MCA portal), annual general meeting minutes, director KYC (DIR-3 KYC) for all directors, foreign investment annual return with the RBI (FLA return), income tax return, GST returns if applicable, and FC-GPR or FC-TRS reports for any equity changes. Board meetings must be held at least once per quarter.

Yes. An NRI can be a director of an Indian private or public limited company. At least one director must be a resident in India (present for at least 182 days in the preceding calendar year). NRI directors must obtain a Director Identification Number (DIN), complete annual DIR-3 KYC, and comply with FEMA rules on their directorship-related remuneration and transactions.

A foreign-owned Indian subsidiary can be wound up voluntarily under Section 59 of the IBC (where the company is solvent) or through the MCA fast-track exit scheme for dormant companies. Prior RBI approval may be required for repatriation of liquidation proceeds. The process typically takes 6-18 months for an orderly voluntary winding up with proper FEMA and tax compliance.

Legal due diligence in an Indian M&A transaction is an independent investigation of the target company's legal standing — reviewing corporate documents, contracts, litigation, regulatory compliance, intellectual property, employment, real estate, and tax. The output is a red-flag report identifying risks and liabilities that affect the transaction price or structure. Diligence typically covers 5-7 years of corporate history.

A slump sale is a transfer of an entire business undertaking for a lump sum without assigning individual asset values. It is governed by Section 50B of the Income Tax Act. A share sale transfers ownership of the company by transferring its shares. The key differences are tax treatment, stamp duty implications, and the transfer of liabilities to the buyer.

The IBC resolution process allows foreign companies to submit resolution plans for Indian companies admitted to Corporate Insolvency Resolution Process (CIRP). The resolution plan must be approved by the Committee of Creditors and the NCLT. FEMA compliance is required for the investment, and sector-specific foreign investment restrictions continue to apply even in an IBC acquisition.

Depending on the transaction, approvals may be required from: CCI (Competition Commission of India) for transactions meeting threshold criteria, RBI for FDI or ODI-related equity changes, SEBI for listed companies, sector regulators (IRDAI for insurance, RBI for banking, TRAI for telecom), and the NCLT for Court-sanctioned schemes of arrangement.

A scheme of arrangement under Sections 230-232 of the Companies Act 2013 is a Court-supervised merger, demerger, or reorganisation approved by the NCLT after shareholder and creditor voting. It is used for mergers between Indian companies, demergers of business units into separate companies, and cross-border mergers involving one Indian and one foreign company.

IndusGuard coordinates the complete India-side process: entity selection and FDI route confirmation, legal and regulatory diligence on the investee company, term sheet review, SAFE or CCPS documentation, shareholder agreement, conditions precedent management, FC-GPR FEMA reporting post-investment, and post-closing governance rights. Coordination with your overseas counsel and tax advisors is standard.

Yes. IndusGuard handles the Indian-side share-swap transaction, FEMA approvals for outbound investment under the ODI regulations, round-tripping compliance review, and tax positioning — coordinated with your overseas counsel and chartered accountants.

A SAFE (Simple Agreement for Future Equity) is a convertible instrument that gives an investor the right to convert their investment into equity at a future priced round. SAFEs are not explicitly regulated under Indian company law, which creates complexity for Indian-incorporated entities. For Indian startups, CCPS (Compulsorily Convertible Preference Shares) is the more common and FEMA-compliant instrument for pre-Series A investment.

FC-GPR (Foreign Currency — Gross Provisional Return) is the RBI reporting form filed by an Indian company within 30 days of receiving FDI and allotting shares to a foreign investor. It is filed on the RBI's FIRMS portal through the Authorised Dealer bank. Late filing attracts penalties. IndusGuard coordinates FC-GPR filing as a standard part of every inbound investment transaction.

Under FEMA pricing guidelines, shares of an Indian unlisted company cannot be issued to a foreign investor at a price lower than the fair market value determined by a SEBI-registered merchant banker or chartered accountant using internationally accepted valuation methodologies. The FMV creates a floor price — investors cannot invest at a discount below FMV.

Yes. NRIs can hold shares in Indian companies under the FDI policy on a non-repatriation basis (treated as domestic investment, no FEMA reporting required) or on a repatriation basis (subject to FDI sectoral caps and FEMA reporting). For NRI founders, the choice of basis affects how they can eventually repatriate sale proceeds when the startup is acquired or they exit.

An Employee Stock Option Plan grants employees the right to purchase company shares at a predetermined price after a vesting period. For NRI employees of Indian companies, exercising ESOPs involves receiving shares of an Indian company. If the NRI subsequently wants to transfer these shares to a foreign account or receive sale proceeds abroad, FEMA repatriation rules and FC-TRS reporting requirements apply.

A standard Indian loan transaction requires: a facility agreement specifying terms and conditions, a deed of hypothecation for movable assets, a mortgage deed for immovable property security, personal or corporate guarantees, a demand promissory note, and post-dated cheques or NACH mandate. CERSAI registration of the security interest is mandatory for secured lending.

CERSAI (Central Registry of Securitisation Asset Reconstruction and Security Interest of India) is the central registry where security interests over assets must be registered. Failure to register within 30 days of creation gives the security interest lower priority against a subsequent registered charge. CERSAI registration is mandatory for mortgages, hypothecation, and assignment of receivables.

Under SARFAESI 2002, a secured creditor can issue a demand notice giving the borrower 60 days to repay. If the borrower fails to repay, the creditor can take possession of the secured asset (physical or symbolic), manage the asset, and sell it by public auction — all without a court order. The borrower can file an application before the DRT within 45 days of the possession notice to challenge enforcement.

NBFCs (Non-Banking Financial Companies) are regulated by the RBI under the RBI Act 1934 and various Master Directions. Key compliance requirements include minimum net owned fund, scale-based regulation tiers (Base, Middle, Upper, Top Layer), KYC and AML compliance, fair practices code, and periodic supervisory reporting. Foreign-owned NBFCs require RBI approval for establishment and are subject to FDI sectoral limits.

Yes. Foreign banks operating through India branches and foreign NBFCs with appropriate RBI approvals can enforce loans against Indian borrowers through the DRT under the Recovery of Debts and Bankruptcy Act 1993. For debt amounts above Rs. 20 lakh, the DRT is the appropriate forum.

The SARFAESI process begins with a demand notice under Section 13(2) giving the borrower 60 days to repay. If unpaid, the lender takes symbolic or physical possession of the secured asset under Section 13(4). The lender can then manage or sell the asset by public auction. The borrower has the right to file a Section 17 application before the DRT within 45 days of the possession notice.

A borrower can file a Section 17 application before the Debt Recovery Tribunal within 45 days of receiving the possession notice. The DRT can stay the SARFAESI enforcement if prima facie grounds are made out. The borrower must typically deposit a percentage of the outstanding loan as a condition for the stay. DRT orders are appealable to the DRAT.

The Corporate Insolvency Resolution Process (CIRP) begins with an application by a financial creditor (Section 7) or operational creditor (Section 9) before the NCLT. Once admitted, a moratorium is declared, an Insolvency Resolution Professional is appointed, and resolution plans must be submitted within 180 days (extendable to 330 days).

The minimum default amount for filing a corporate insolvency application under the IBC is Rs. 1 crore, as revised in 2020 from the original Rs. 1 lakh threshold. For personal insolvency and bankruptcy under Part III of the IBC, the minimum default threshold is Rs. 1,000.

Yes. Foreign creditors can submit claims in the CIRP, participate in the Committee of Creditors, and submit resolution plans for the insolvent company subject to FEMA compliance. Foreign resolution applicants who are successful in acquiring the company through IBC must comply with applicable FDI sector restrictions and pricing norms.

Under the Real Estate (Regulation and Development) Act 2016, all real estate projects where the area of land proposed to be developed exceeds 500 square metres or the number of apartments proposed to be developed exceeds 8 (inclusive of all phases) must be registered with the state RERA authority before any advertisement, marketing, or sale.

A developer registered under RERA must: disclose all project details on the RERA website, deposit 70% of funds collected from buyers into a separate project account, adhere to the registered project timeline, obtain completion certificate and occupancy certificate before handing over possession, and rectify structural defects reported within 5 years of possession at their own cost.

Yes. Foreign companies can invest in Indian real estate development through FDI subject to FEMA and DPIIT guidelines. The minimum capitalisation requirements that previously applied to FDI in construction development have been removed in recent years. NRI investment in real estate is permitted on both repatriation and non-repatriation basis.

Under RERA, a buyer is entitled to interest at the prescribed rate (typically SBI's highest MCLR plus 2%) from the developer for every month of delay. The buyer can also withdraw from the project and claim a full refund with interest. RERA orders are enforceable as civil court decrees, and non-compliance attracts penalties of up to 10% of the project cost and imprisonment.

A joint development agreement (JDA) is a contract between a landowner and a developer whereby the landowner contributes land and the developer contributes construction expertise. Key risk points include the revenue or area share ratio, construction timeline obligations, quality standards, liability on RERA registration, tax treatment of the land contribution, and the mechanism for resolving disputes between the parties.

Parties to a commercial contract involving an Indian and foreign company can choose the governing law by express clause. However, certain mandatory provisions of Indian law (such as labour law, FEMA, and consumer protection) apply regardless of the chosen governing law for activities conducted in India. Indian courts will apply the chosen foreign law to contractual disputes unless it is contrary to Indian public policy.

Under the Limitation Act 1963, a suit for breach of contract must be filed within 3 years from the date the breach occurs or the date the right to sue accrues. For suits on a contract under seal, 12 years. Missing the limitation period is a complete bar to the suit.

Foreign companies contracting with Indian counterparts should insist on: a clear dispute resolution clause specifying arbitration at a neutral seat, a governing law clause, an indemnification clause with a liability cap, IP ownership and assignment provisions, a force majeure clause, data protection and confidentiality clauses, and FEMA-compliant payment terms.

A foreign parent can license intellectual property to its Indian subsidiary through a technology licensing agreement. The royalty payment from the Indian subsidiary to the foreign parent is subject to income tax withholding in India at rates modified by applicable DTAA. The license agreement must be on arm's length transfer pricing terms. FEMA permits remittance of royalties subject to the authorised dealer bank's compliance process.

A post-termination non-compete clause is generally not enforceable in India. Section 27 of the Indian Contract Act 1872 renders agreements in restraint of trade void. Courts have consistently refused to enforce post-termination non-competes. However, non-solicitation of clients and employees clauses may be enforceable where they protect specific legitimate business interests.

SIAC (Singapore International Arbitration Centre) is the most commonly used institution for India-related international commercial arbitration, followed by the ICC (International Chamber of Commerce). Within India, the MCIA (Mumbai Centre for International Arbitration) and DIAC are growing institutional choices. The choice depends on the counterparty's preferences, the contract value, and the preferred seat of arbitration.

Yes. India is a signatory to the New York Convention on the Recognition and Enforcement of Foreign Arbitral Awards 1958. Foreign arbitral awards from New York Convention countries are enforced in India under Part II of the Arbitration and Conciliation Act 1996. The grounds for refusal are narrow and mirror the Convention's grounds: procedural irregularity, jurisdiction, and public policy.

Indian courts can refuse enforcement of a foreign arbitral award if it is contrary to the fundamental policy of Indian law, the interests of India, or justice and morality. The Supreme Court in Ssangyong Engineering v. NHAI narrowed the public policy ground in 2019, holding that courts cannot review the merits of an award under the guise of public policy.

Enforcement of a foreign arbitral award in India typically takes 2-5 years at the High Court level, including any challenges by the judgment debtor. An execution petition is filed in the appropriate High Court after obtaining an enforcement order. Interim orders restraining dissipation of assets can be sought at the outset.

Yes. Indian parties can agree to arbitrate at a foreign seat under foreign institutional rules. The Supreme Court in PASL Wind Solutions v. GE Power confirmed that two Indian parties can choose a foreign seat and that the resulting award is a foreign award enforceable under the New York Convention framework in India.

Under Section 6 of the Income Tax Act 1961, an individual is a resident of India if they are present in India for 182 days or more in a financial year, or 60 days or more in the current year and 365 days or more in the preceding 4 years. For NRIs who visit India, the 182-day rule is typically applicable. Income earned or accrued in India is taxable regardless of residency status.

A DTAA between India and the NRI's country of residence prevents the same income from being taxed twice. It allocates taxing rights between the two countries for different income types — salary, dividends, interest, capital gains, and business profits. NRIs can claim DTAA benefits by filing Form 10F and a tax residency certificate from their country of residence with the Indian payer before withholding tax is deducted.

For long-term capital gains (property held over 24 months), the tax rate is 12.5% without indexation as of the July 2024 budget. For properties acquired before July 23, 2024, NRIs can elect between 12.5% without indexation or 20% with indexation — whichever produces the lower liability. Short-term capital gains are taxed at 30%.

A GST show-cause notice is issued by a tax officer proposing additional tax demand, penalty, or interest. The recipient must respond within the specified time — typically 30 days — with written submissions and supporting documents. The response must address each ground of demand factually and legally. Failure to respond is treated as admission of the demand.

Transfer pricing rules under Section 92 of the Income Tax Act 1961 apply to international transactions between associated enterprises (related parties). The transaction must be at arm's length price. Indian subsidiaries of foreign companies must maintain transfer pricing documentation and file Form 3CEB annually. The Transfer Pricing Officer can adjust the arm's length price, leading to additional tax demand.

The Foreign Exchange Management Act 1999 (FEMA) regulates all foreign exchange transactions involving residents and non-residents of India. It applies to NRIs dealing with Indian assets, foreign companies investing in India, Indian companies investing abroad, and cross-border payments. Violations of FEMA are civil offences adjudicated by the Enforcement Directorate.

Under FEMA 1999 and the Non-Debt Instruments Rules 2019, NRIs can hold residential and commercial property in India acquired by purchase, gift, or inheritance. NRIs cannot hold agricultural land, plantation property, or farmhouses (except through inheritance). Sale proceeds from residential or commercial property can be repatriated up to USD 1 million per financial year from an NRO account.

FEMA compounding is a process under Section 15 of FEMA whereby a person who has committed a FEMA violation applies to the RBI or Enforcement Directorate to settle the violation by paying a compounding fee. It is available for most FEMA contraventions including delayed FC-GPR filing and failure to repatriate export proceeds. Compounding provides immunity from further proceedings for the compounded violation.

Under the Automatic Route, a foreign investor can invest in an Indian company without prior approval from the government or RBI — the investment is reported to the RBI through FC-GPR within 30 days of share allotment. Under the Government Route, prior approval from the relevant ministry is required before investment. The Government Route applies to sensitive sectors including defence, media, banking, and insurance above specified thresholds.

Overseas Direct Investment (ODI) is investment by an Indian entity in a foreign entity through equity, loan, or guarantee. Indian residents can invest abroad under the Automatic Route up to 400% of their net worth. Investments must be reported to the RBI through the ODI form. NRIs are not subject to the ODI rules for investments made on a non-repatriation basis.

Trademark registration in India under the Trade Marks Act 1999 takes approximately 18-24 months from filing to registration in an uncontested matter. The process involves filing, formality examination, substantive examination, publication in the Trade Marks Journal, a 4-month opposition window, and registration. The trademark is valid for 10 years from the filing date and renewable indefinitely.

Yes. A foreign company can file a trademark application in India through an Indian trademark agent. For companies in countries that are party to the Paris Convention, a priority claim based on a home country application can be made within 6 months of the home filing. India is also a member of the Madrid Protocol, allowing international trademark applications designating India through the WIPO Madrid System.

India's patent system is governed by the Patents Act 1970. A patent application can be filed directly at the Indian Patent Office or through the PCT (Patent Cooperation Treaty) national phase. Patents are granted for 20 years from the filing date. India's patent law has strict requirements on patentable subject matter — notably Section 3(d) which prevents evergreening of pharmaceutical patents.

An IP infringement suit is filed before a District Court having jurisdiction or, for commercial disputes above Rs. 3 lakh, before the Commercial Court or Commercial Division of the High Court. The plaintiff can simultaneously seek an interim injunction, discovery, and damages. John Doe orders restraining unknown infringers are available in appropriate cases.

Trademark squatting — registering a foreign brand's mark in India before the foreign company enters — is a growing risk. The most effective protection is early defensive trademark filing in India, even before market entry. If squatting has already occurred, the foreign company can oppose the registration during the 4-month opposition window, file a rectification petition based on prior use and goodwill, or sue for passing off in court.