All change at the Registers

1. Land and charge certificates

The Land Registration (Scotland) Rules 2006 replace the 1980 Rules. The 2006 Rules provide for the introduction of ARTL and amend the paper Land Register application forms. The new rules will commence on 22 January 2007 (although provisions specific to ARTL commenced on 14 November 2006).

The 2006 Rules largely restate the 1980 Rules but there are some significant changes.

One benefit is that the Keeper will be able to offer choice between paper and electronic certificates regardless of the medium of the application for registration. To facilitate this, rules 16 to 19 of the 1980 Rules have not been reproduced. As a consequence, paper certificates will no longer be updated, but in terms of s 6 of the Land Registration (Scotland) Act 1979, it is the case that only the title sheet held by the Keeper shows the current position of the rights and interests of a proprietor. Authenticated copies of the title sheet can readily be obtained.

The following changes will come into effect from 22 January 2007:

•     Land and charge certificates should not be submitted with applications for registration. For a limited period of two weeks from 22 January, certificates accompanying applications will be returned to the submitting agent with a covering letter. At the end of this interim period any land or charge certificate sent to the Agency will be destroyed.
•     Land certificates will only be issued in the case of a first registration or a title transfer (with certain limited exceptions). In cases where two or more linked applications contain title transfers, only one land certificate will be issued to the most recent transferee.
•     Charge certificates will be issued on the registration of a standard security. Where any other deed affecting the security is registered, it will not be included in the charge certificate.
•     It will no longer be possible to obtain a substitute certificate. If you wish a copy title sheet for your own use, please download one from Registers Direct or order an office copy.
•     In cases where an error in a land certificate has been identified, agents should alert the Keeper to this. However, it will no longer be necessary to return the certificate to have the title sheet corrected.

The proposed new paper forms for application for registration in the Land Register provide applicants with an option of either a paper or an electronic version of land and charge certificates. However, the electronic versions will not be available until other changes are made to the Agency’s computerised systems. More information on this will be published in a future edition of the Journal.

2. The Fees in the Registers of Scotland (Amendment) Order 20066

New fees are being introduced for registration and recording in the Land Register, General Register of Sasines and the Chancery and Judicial Registers. The Fees in the Registers of Scotland (Amendment) Order 2006 is intended for example in relation to the Register of Inhibitions to come into force on 22 January 2007.

The order affects only fees for registering and recording – it does not affect fees for the provision of information from, and inspection of, the various registers maintained by the Agency.

The new fees are the outcome of a review and public consultation exercise. Further details about the consultation and the responses received can be found on the Agency’s website at www.ros.gov.uk/consultations.html .

The new fees provide a simplified and more streamlined scale of charges. They will lead to a reduction in the Agency’s registration fee income of around 26%. This means that there will be significant savings for the majority of our customers. The new fees also provide for a reduced rate of charges for transactions carried out using Automated Registration of Title to Land (ARTL), the Agency’s new e-registration service that is being rolled out across Scotland early next year. (See table B.)

The most significant fee changes for registration in the Land Register or recording in the General Register of Sasines are:

•     the introduction of a fixed fee of £30 (£20 for ARTL), for standard securities and related deeds such as discharges; and
•     a reduction in the fees for registration or recording of a conveyance or other transfer of title in the price range of transactions in the £30,000 to £2,000,000 price range, and a rationalisation of the scale from 51 to 12 bands. (See table A)

ARTL applications

The order will contain new fees for applications for registration in the Land Register made using the ARTL system. These are generally 25% lower than the equivalent fees for paper applications, with savings ranging from £10 to £500 on each application made using the ARTL system. These fees will come into force when ARTL is introduced in early 2007.

Miscellaneous deeds

Miscellaneous deeds, for example tree preservation orders, improvement grants, deeds of conditions, minutes of waiver, notices of termination, preservation or converted servitudes, writs recorded by memorandum etc, will attract a fixed fee of £30 (ARTL £20). A receipt registered in terms of the Industrial and Provident Societies Act 1965 will be charged at £0.25.

Chancery and Judicial Registers

The fees for the main Chancery and Judicial Registers (that is the Register of Inhibitions and Adjudications, the Register of Deeds and Probative Writs in the Books of Council and Session, and the Register of Judgments) are also being reduced. The fees for the minor registers, such as the Register of the Great Seal and the Register of the Quarter Seal, face a moderate increase to cover the costs of the registration processes involved. The new fees are as shown in table C.

Payment of fees

We can now process the payment of registration fees by variable direct debit. This method of payment significantly reduces the costs incurred by the profession and the Agency in returning applications due to problems associated with incorrect or missing cheques. It also ensures that applications are given effect to on the day of receipt. The payment of fees by variable direct debit will be mandatory for applications submitted through ARTL.

Solicitors interested in taking advantage of variable direct debit should contact Customer Relations on 0131 200 3944 or by email: customer.relations@ros.gov.uk.

All applications for registration and recording in the Land Register, General Register of Sasines and the Chancery and Judicial Registers received on or after 22 January 2007 will be charged at the new fees. Further details of the fees and charges will be made available in due course through the Agency’s website at www.ros.gov.uk/fees .

3. New application forms

We are changing the look and layout of our application forms from 22 January 2007. These changes will make the forms easier to complete and will allow electronic scanning of the information provided on the forms. This will enable applications for registrations and reports to be processed more efficiently and accurately.

The key changes are as follows:

     The forms will require some new information (for example in relation to the Register of Inhibitions), or an assurance that applicants hold some information in safe places (for example a written declaration in terms of the Family Law (Scotland) Act 2006). This will avoid duplication of work for both applicants and Registers’ staff.

• The forms will feature barcodes and special markers to assist in the electronic scanning process. This means that those using the forms should not attempt to adjust the content or layout.
• The forms will provide for a choice between a paper and electronic format land certificate.
• The Agency’s e-Forms Online service is being amended to support the new forms. We have also taken this opportunity to provide additional functionality, including:
• improved layout and validation to make completion easier;
• the ability to store a version or template of the form in local folders;
• a defined PDF file that can be monochrome printed; and
• pre-population of FAS details and option to pre-populate additional forms.

The legislation to support the new forms will come into effect on 22 January 2007 to coincide with changes to the Fees Order.

Applications for a first registration, a dealing with whole and a transfer of part in the Land Register must be made using the revised version of the forms from 22 January. Any applications made using the current forms after that date will be rejected.

New paper forms will be available free of charge. However, we are encouraging solicitors to use e-forms online, or to download forms (which will be in PDF format) from our website at www.ros.gov.uk/newforms .

We will update e-forms online after close of business on Thursday 18 January, when the new forms will replace the old forms on the system. This will enable solicitors to prepare applications from the following day for submission to the Register from Monday 22 January.

Solicitors who currently use a template to prepare application forms or e-forms online will require to delete these and prepare new templates based on the updated forms.

Those using case management systems to generate application forms may wish to ensure that these are updated to incorporate the new forms. We have liaised with the main suppliers of such systems about the changes.

Further information and advice on the new forms is available from Customer Services on 0845 607 0161 or email customer.services@ros.gov.uk .

    Contact: tim.shepherd@ros.gov.uk

For charts please refer to  The Journal downloadable PDF file.