Nil EC stands for Nil Encumbrance Certificate. If no deeds of transactions are registered in respect of a property nil encumbrance certificate is issued in Form No.16. If Certificate is issued in this form, it means that there are no registered transactions / liabilities on the property for a given period of time unregistered transactions are not included in this certificate.
People shall be very careful in filling the application form for EC, if they give incomplete/inaccurate details, then they may get a wrong EC. Interested parties may approach the Sub Registrar and by paying statutory fee, can verify the records personally. EC cannot be taken as a sole criterion to buy a property or lend money. It is better to undertake comprehensive study as suggested in “property purchase precautions”.
Property law is the area of law that governs the various forms of ownership and tenancy in real property(land as distinct from personal or movable possessions) and in personal property, within the common law legal system. In the civil law system, there is a division between movable and immovable property.