Question: Can a demat account nominee receive the shares as an outright owner?
Answer: No. SEBI states the nominee is merely a trustee and must transfer the assets to the legal heirs, as per succession law.

Supporting evidence:
title: sebi.gov.in/1767611333081.pdf
quote: Under the Indian Succession Act, 1925 and Personal Succession Laws, a nominee is merely a trustee, limited to collecting the assets of the deceased and transferring it to the legal heir(s) It has been explicitly stated in the form that nominee(s) will receive the assets held in account/ folio of the deceased investor as trustee and on behalf of legal heir(s)
context: - B nomination once made can be cancelled by submitting a Form SH -14 along with Form ISR-3 declaration for opt out to the respective RTA for effecting the changes.
- 30) Can I provide multiple nominees for my shares?
Yes. You can provide multiple nominees by using Form SH-13
- 31) Can multiple nominees be made case if nominee is a minor?
No.
- 32) Upon demise of the holder of folio/demat account, whether the nominee receives the underlying asset in the capacity of a trustee or absolute owner?
Under the Indian Succession Act, 1925 and Personal Succession Laws, a nominee is merely a trustee, limited to collecting the assets of the deceased and transferring it to the legal heir(s). This legal position has been reiterated by the Hon'ble Supreme Court in its recent order dated December 14, 2023 in the matter of Shakti Yezdani & Anr. Vs. Jayanand Jayant Salgaonkar & Ors.
Accordingly, SEBI circular dated January 10, 2025 read with circular dated February 28, 2025 has reiterated the aforementioned legal position in the Nomination Form for demat accounts and Mutual Fund (MF) folios. It has been explicitly stated in the form that nominee(s) will receive the assets held in account/ folio of the deceased investor as trustee and on behalf of legal heir(s).

Contact details (Postal Address with PIN), E-mail address & Mobile number

- 33) If I hold physical share certificate(s), and want to update my address and contact details in the folio, whom should I approach?
Investor has to approach the RTA or the listed company to make the request. For the contact details of the respective RTA/STA of the listed company, please refer to answer to Q. No. 8 above.

61) Is physical transfer of securities allowed?

No, transfer of securities in physical form has been stopped with effect from April 01, 2019. Requests for effecting transfer of securities shall be processed only if the securities are held in the dematerialized form with a depository.
The relevant notifications are available in public domain on SEBI Website ( www.sebi.gov.in ).
- 62) I have purchased physical shares long back but forgot to get them transferred in my favour. What is the procedure that I should follow now?
From April 01, 2019, the transfer of shares held in physical form can be effected only after the shares are dematerialised. And shares can be de-materialized in the name of the holder and not in the name of unregistered buyer.
- 63) 'A' has bought securities in physica