A title deed and cession are both legal documents related to property ownership, but there are some key differences between them.
Definition:
Title Deed: A title deed is a legal document that proves ownership of a property. It provides details about the property, such as its location, size, boundaries, and ownership history.
Cession: Cession, on the other hand, refers to the act of transferring or assigning rights to a property or asset from one person (the cedent) to another person (the cessionary). It is a legal document that records the transfer of rights.
Ownership:
Title Deed: A title deed is the ultimate proof of ownership. It shows that the person named on the deed has the full legal right to possess, use, and transfer the property.
Cession: Cession does not confer ownership but rather transfers certain rights or interests in a property from one party to another. For example, a mortgage lender might require a cession from the borrower to secure their interest in the property until the loan is repaid.
Purpose:
Title Deed: The primary purpose of a title deed is to establish and confirm ownership of a property. It is often required for various purposes, including selling, transferring, or mortgaging the property.
Cession: The purpose of a cession is to transfer rights or interests in a property. This can include security interests, mortgages, leases, or any other form of agreement where a person is assigning their rights to another party.
Legal implications:
Title Deed: A title deed guarantees the legal ownership rights of the property owner. It allows them to protect their ownership interests and take legal actions in case of any disputes.
Cession: A cession creates a legal relationship between the cedent and cessionary, defining their respective rights and obligations regarding the property. It allows the cessionary to enforce their rights and interests in the property.
In summary, a title deed confirms ownership of a property, while a cession transfers certain rights or interests in a property from one party to another. While a title deed establishes full legal ownership, a cession only transfers specific rights or interests.