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Electronic Property Transactions - getting it right

NZ $45.00
This book is only available in PDF format 
Author(s): Tim Jones, Robert Muir
Published: 24 March, 2003
Pages: 192



It is 50+ years since the passing of the Land Transfer Act 1952. At the time this was a milestone piece of legislation in land transfer administration and practice. It has proved to be a robust piece of legislation standing the test of time well with little change. It has served well to guard the integrity of the Torrens system and guarantee of title in New Zealand.

Against the backdrop of this legislation, there has been significant change in property practice in New Zealand. This has bought significant pressure on land transfer administration. For example, the New Zealand population has increased remarkably since 1952. This has bought a huge increase in the number of transactions passing through the land registry. There have been two new forms of title created or devised by statute – strata titles under the Unit Titles Act 1972 and the cross lease title system. These in themselves added to the complexity of land transfer administration. In addition the number of titles have significantly increased through land development around the major centres in New Zealand fuelled by the ever-increasing population. Furthermore, there have been an increasing number of statutes requiring notification or memorialisation against the land register. The Resource Management Act 1991, the Local Government Act 2002, Domestic Violence Act 1995, Rating Powers Act 1988 are just some examples of statutes that produced the need to note instruments or notices against the land register.

All the above lead to increased stress on land transfer administration in New Zealand. The paper based system had run its course and could offer little in the way of further efficiencies. In the face of high transaction volumes, cumbersome paper handling processes and burgeoning document storage requirements, it became evident that a major overhaul of the registration system was required.

In the mid 1990’s a solution was sought to resolve these administrative challenges. Commencing in 1996 a process was embarked on to revolutionise land transfer administration in New Zealand. This journey started with the reorganisation of the “bureaucracy” through to computerising of the database and computerising of the processing impacting on the land registry database. In 1996 there was the implementation of process integration which brought together Land Registry and Department of Lands and Survey processes under one common umbrella. 1998 saw the passing of the Land Transfer (Automation) Amendment Act to computerise the database for titles and plans. Then 2002 saw the passing of the Land Transfer (Computer Registers and Electronic Lodgement) Amendment Act by which certain parts of the process of lodging data to alter and update the register could be carried out electronically.

The purpose of this paper is to analyse and explain how electronic registration eDealing works. At the same time there will be an analysis of how eDealing will change some aspects of property practice. There will also be an analysis and explanation of certain enhancements to key features of the Land Transfer Act such as easements, caveats, plan deposit procedures, as well as some analysis of the changed balance between the Land Transfer Act and Land Transfer Regulations 2002 by which a significant number of features of land transfer administration have been brought into the regulations.


Content outline

  • Part 1 - Landonline stage two
    • An overview of Landonline stage two
    • Getting starting - becoming an authorised user
    • Creating an e-dealing
    • e-dealing certifications
    • Lender issues
    • Registrar - general of land audit requirements
    • System security
    • Removal of duplicate titles, fraud and the state guarantee of title
    • System reliability and disaster recovery
    • Future developments
  • Part 2 - Key changes to registration requirements for paper based transactions
    • Forms and execution
    • Transfers
    • Easements
    • Land covenants
    • Mortgages
    • Leases
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