Chapter 3: Land Registry & Title Registration

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LAND REGISTRATION SYSTEM:

2 land registration systems exist in Ontario

1. Registry System (Registry Act) (being phased out)

2. Land Title Systems (Land Title Act)

POLARIS-automated system-Province of Ontario Land Registration and Information system-the mapping and property detail database of the Ontario Government

TERANET-a company responsible for the automation of property records in Ontario-responsible for the implementation, operation and enhancement of POLARIS)

Records are being converted to land titles

The Recording Act

The recording act provides statutory rules affecting interests with respect to land

In Ontario, land is registered under, either the Registry Act or the Land Title Act-NEVER BOTH

Registry System-the Land registrar is an administrative official taking no responsbility to verify title

Land Title System-the land Registrar maintains & guarantees title

The Registry Act

all land register at registry office, & adbstracts lots (titles) are divided under a township basis, divided into concession & lots

Plan #-each parcel of land got assigned a #

Land Titles Act

all land titles assigned parcel #

Method of registration in which government guarantees the title of land and operates the registration process

All transactions must be registered against the title in the province land title office

Certificate of Title-accurate reflection of the results of all proceedings affecting the property

An Assurance Fund is provided against errors & omission (adverse)

Each parcel of land is recorded at the Land Titles office as a unit of the property

A Land Titles office is referred to as:The Land Registry Office for the Land Titles Division of the Regional Muncipality

3 Principles: The Land Title System operates in accordance with 3 Principles

Mirror Principle: The registry of title is a mirror that accurately reflects the current facts that are material to a person's title

Curtain Principle: The register is the sole source of information for proposed buyers whom need not concern themselves with trust and equities that lie behind the curtain of information

Insurance Principle: The mirror (register) is deemed to give the absolute correct reflection of title, but if through human eroor a flaw appears, anyone who suffers loss must be put in the same position that he would have been in had the reflection been a true one

Forms Permitted for registration includes:

Transfer Deed (Form 1)

Charge/Mortgage of Land (Form 2)

Discharge of Charge/Mortgage (Form 3)

Document General (Form 4)

Schedule (Form 5)

Land Titles Assurance Fund-

part 5 of the Land Titles Act-provides that persons deprived of ownership through selected errors or fraud are entitled to compensation (provided that compensation cannot be obtained from other sources)

Compensation is subject to various qualifications-Apply to the Directors of Titles & Amount will be determined by them

Land Registry Office (LRO)

public access during business hours to search & register documents (e-registration for land transactions and online search-Teranet)

paperbased-real estate practioners search for property records by preparing a request for service form and paying appropriate fee

Automated-users access land info via comptuer using TERAVIEW software that provides secure gateway

fees include:document registration, furnishings of selected title records, provision of maps, large surveys, subdivision plans & oversize documents

Title Searching:

locating, organizing & condensing pertinent facts about documents and related materials registered on title

Typical search-lawyer, title searcher on behalf of lawyer

Employees of lending institutions, government representatives appraisers, private investigators, developers, municipal authories and law enforcement agency

Title info: once reviewed-leads to the conclusion of whether or not the owner has goods and marketable title

Other Services:

PPRS-Personal Property Registration System

-registered interest in equipment, inventory and consumer goods

-corporate, birth, marriage & death certificate registration

-stores info concerning purchase goods & other personal property used to secure loan regarding such purchasers (first, middle& last name)

-considered a chattel, under PPRS creditor files a financing statement that includes name, address of the debtors, classification of the chattel and brief description

Land Title Conversation Project

conversion of registry docs to land titles coincident with a change to automated POLARIS system

Land Titles Conversion Qualified: 1st application is replaced with large scale adminstrative conversion

A pre-established search procedure verifies existing titles within registry-certification of title is issued upon investigations & recommendation of rep of the Ministry of Government Services-LTCQ-properties converted

Title of Property is insured with claims being settle under Land Title Assurance Funds

Conversion Search Process: The administrative conversion of registry is to qualify land titles as part of POLARIS automated process, For land titles-a search process was developed that would account claims 40 years period & establish new owners

Land Title Converted Qualified vs Land Title Absolute

Land title absolute-is issued for parcels that are brought into land titles by way of 1st application

subject to titles qualifiers set out in section 44 of act.

LCTQ involves parcels that are brought into land titles during the administrative conversion from registry records to develop property by registering a plan of subdivision or condo on an LTCQ must make an application for absolute title=removed

Title Problems:

IF a title related problem is uncovered during the search process that cannot be resolved, the property converted to land titles-it will be maintained in the registry system

Problem with boundaries, encroachment, conflicting description are more common

Automated Records & E-Registration

Land Registration Reform Act-3 Parts-April 1, 1985-instrumental for standardized records while paving way for E-reg

PART 1: LRRA-devoted for implementation of standard registration docs for both registry and land titles

PART 2: authorized automation of records & prperty mapping, including storage & retrieval of such docs

PART 3: outline procedures for e-reg including use of electronic formates, legislative title for land title conversion project

POLARIS (province of Ontario Land registration and information system)

operates based on title index, (description of property ownership) & property mapping (surveys & plans) databases

registers property under a parcel basis in the same fashion as a Land title sytem

guarantee of title normally associated with land titles does not accompany this parcelization process (parcelization refers to the organization of property by land ownership not geographic locations in registry)

By centralizing data, search time decreases manual abstracting eliminated & access provided to remotely search records as well as mapping info

Implementation

1) costly & timely because searching & reorganizing does & property data under ind. parcels=data forms basis for computerized title index

2) recording mapping info. forms the foundation for property mapping database-POLARIS permits users to find property by individual parcels (PIN#-property mapping=geographic pinpointing

Mapping

-address, owners name, property identification #

-if 1st 2unknown-PIN # quickly located through block & property index maps

BLOCK INDEX MAP-large tracts of land within individual communities are organized in terms of block uses block to find general location of property

PROPERTY INDEX MAP-views for appropriate property, each map a detailed expansion of individual blocks & identified in the block index map

PROPERTY IDENTIFICATION #-PIN

-assigned when properties are converted to land titles and automated under POLARIS system. A combination of block #'s & Property Index #s form the property identification #

ie. 00114=property # is 0051, and the PIN is 00114-0051

Teranet-e-services, web based application for the legal profession, spatial date-related programs, online payment of parking tickets, moving violations & e-service delivery

-originally described as a land information services company offering land related data access, technology and expertise to private/public

AUTOMATION OF LAND REGISTRY OFFICE

1991-Teranet worked with Ontario Government to revamp the land registry system

OBJECTIVE: TERANET-1) automate & enhance the Ontario's land registration system based on the POLARIS technology 2) Develop an info. utility to manage the land registration database & other land related info & serve as the communications gateway for remote access 3) Market its expertise, sytems by way of in-house expertise and related ino-systems by way of in-house expertise along with the resources of various technology partners

TERAVIEW

operated by Teranet, electronic gateway software, provides land info products & services included--Polaris land reg system

permit users (lawyers, real estate practitioners, municipal officials and appraisers to perform selected search activities online connection to land registry office

RE Prof. access title info, PIN#, confirm legal description as well as ownership particulars

Legal uses e-registration function, searches, creating and submitting title docs for registration, viewing

WRIT Search

features allow lawyers to search both personal & company names regarding written of execution

Each firm has Personal Security package (PSP) and packages are issued by completing a personal security licence application to Teranet & approved by Teranet & Teranet account holders

Searching POLARIS

The teraview software accesses 3 different databases within Polaris

1) Title Index Database-replaces abstract indexes, automatically updated as new docs are registered

2) Property Index Database-visual indexing maps to locate properties, updates occur following doc reg when mapping amendments are made relating to property boundaries

3) Image Database-plans/images of all active instruments in title index databases. E-reg docs are updated shortly after reg. Paperbase docs micorfilm and transferred image database

Preparing for E-Reg-allows search parcel records with polaris enter -unique 9 digit property ID #, municipal address, name, registered instruments, map, condo plans & plan of subdivision

EREG Method-Individual provided access can register docs electronically from their offices, use Kiosk in land reg office, crown grants & declaration & decription must be registered traditional way

PROCEDURES-docket includes registration docs prepared by one's lawyer with subsequent forwarding (messaging) through Teraview Gateway software

Completing Docs-seller's lawyer access Teraview software and creates a transfer by inserting relevant info.

1) Form 1-including Planning Act statements & other legal statements that are part of document package-transfer/Deed of Land-property details, transferor & transferee-lawyer sends a message to buyers lawyer-access doc

CREATE & UPDATE-docs prepared by eg transfer/deed of lands

2) Buyers lawyer-accepts access & checks for writs of execution against the seller-none-buyers lawyer adds B info -completes the land transfer tax statement found in the Land Transfer Tax Affidavit that accompanies Transfer/Deed

3) After completed by both lawyers, electronic signature 2 types of signatures are required-completness and signed-validates accuracy of statement made

4) Release Sign-confirms docs ready for registration-both lawyers release docs for registration

REGISTRATION DOCUMENTS-Land Registration Reform Act Sets out 5 docs

Franchise Types

FORM 1 Transfer/deed of land (land transfer tax affidavit accompanies form 1 @ pt of registration

FORM 2 Charge/Mortgage of Land

FORM 3 Discharge of Charge/Mortgage

Form 4 Document General

Form 5 Schedule-used as a standard att. to form 4

Transfer/Deed of land-used to convey title-full names seller (transferor) & buyer (transferee) & date of birth

Implied Covenant-Sec 5-Land Registration Regorm Act sets out the implied covenants for a transfer of land by the transferor

Land Transfer Tax Affidavit-must accompany every doc being registered in Ont. Land registry office that transfer an % in land-required by the Land Transfer Tax Act when this doc is presented for registration-Tax paid to Ministry of Finance

Charge/Mortgage of Land-Form 2-standard form used to register a mortgage under either the registry or land title systems, important info-mortgage financing on property being listed, balance of form-property details including an assessment, roll number, fee associated mortgage registration, Mortgage is a charge-land registration reform act, no transfer of title occurs, rather identifies a debt against the chargor's (mortgagors) property

Standard Charge Terms-A doc containing mortgage terms and conditions registered by a mortgagee in land registry which can be referenced in a charge/mortgage land & # is assigned

Discharge of Charge/Mortgage-formed used to discharge a mortgage registry/land titles, executed by mortgagee & given to mortgagor verifying mortgage loan repaid in full, doc is registered @ the land registration office, lawyer prepares discharge & a fee is charged for service

Doc General-blank form meeting prescribe standard ie notice of lien, caution, discharge of lien, power of attorney, judgement & notice of survivorship

Schedule-used as an attachment with other paper based or electronic forms

Leasehold Interest-may be registered land titles system-lessee (tenant) holding a lease exceeding 3 years must register a notice of lease, using form in order to protect their interest, Lessor (Landlord) can register an assignment of rents relating to a lease that has been registered

Crown Lands-public land-Public land act

Crown Patent-original title deeded by government & generally accepted as the root of all title, portion of land reserved for future road construction

Native Land-reserve land held by Crown for native pple Indian Act-surrendering & management of land by Federal Government

National Registry-national indian land registry 1968

Power of Attorney-involved in registration of property, delegated written authority to a person to action behalf of another person, donor-grans POA, Attorney-exercises power

Real Property-a continuing power of Attorney for property deal with REmust be registered in the registry office showing both donor & attorney

Estate of Deceased Person (registered owner)_administered by an estate trustee (sign on behalf of deceased) & estate trustee with a Will (formerly an executor)

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