NEWSLETTER - ISSUE 1

Registration

The on-line registration (or computer lodgement) of documentation (Core Record System 2 or CRS2) is still in the design phase. However, registration within the current Landonline environment (CRS 1) presents some changes you should be aware of:

> The duplicate title will still need to be produced for registration. However, the title reference will change by the addition of a prefix to the existing number. For example, Wellington title 10B/246 becomes WN10B/246 under Landonline. (The prefixes for each registry converted to Landonline are recited above in brackets under the heading "Registries Already Converted".) The duplicate title will be destroyed upon registration or rejection of the dealing, and an updated title showing only the current interests will be issued automatically in its place.

> When lodging a dealing, only a single copy of the document is required. It is therefore not necessary to produce mortgages or leases in duplicate, as LINZ will not retain any paper copy - Under Landonline it will image the document and return the same to the firm who produced it for registration.

> Stapling is the preferred method for binding multi-page documents. Please do not glue, stitch or bind them in any other fashion. As LINZ requires documents presented for registration to be flat, please do not fold them prior to registration.

> Once LINZ receives the documents they will go through an automatic document feeder to be scanned. This requires the documents to be on A4, standard weight paper (i.e. 80-100gsm), and executed in black or dark blue ink. LINZ will not keep a paper copy of any documents lodged as part of a registration. We note that under Section 20 Land Transfer (Automation) Amendment Act 1998 the Registrar has the power to return documents that are not capable of being imaged.

> Once documents have been scanned, they will be returned to you with a barcode endorsed on the back showing a DOC ID number. Please note that this is not the registration number of the document. The registration number of the document is in fact the small number at the top left hand corner of the sticker. When further dealing with a document registered under the Landonline system, this registration number should be referred to, not the DOC ID number.

> The preferred method for discharging mortgages or surrendering leases is to use a separate A4 form. Production of the duplicate copy of the affected mortgage or lease is not required. However, if the discharge or surrender has been endorsed on the duplicate copy of the mortgage or lease, it may be presented in that form. (Please feel free to continue to supply us with duplicate documents, as they are useful when checking registration. We will forward any superfluous documentation back to you.)

> Further dealings with registered documents do not require the duplicate copy of that document to be produced for registration (refer Section 17(3) Land Transfer (Automation) Amendment Act 1998).

> Dealings with existing leases will automatically generate a new leasehold title. This will be issued without fee. However, the registration of a new lease will require the new title fee of $131 to be paid in addition to the registration fee of the lease. LINZ has cited Section 7 Land Transfer (Automation) Amendment Act 1998 as its authority to levy this fee.

> New titles issuing under Landonline (e.g. from a subdivision) will differ in that they will be assigned a unique identifier, which is a sequence of numbers rather than the conventional alphanumeric reference. Each unique identifier is not pre-allocated to a specific registry, but is rather taken from a nationwide series. This is because there will ultimately be only one registry.

> Caveats present a challenge under Landonline. Although the smaller registries are now administered from a regional office (e.g. the Westland registry work is processed by the Christchurch office), it is still a requirement that a physical address for service on the caveator be provided within the original registration district. For example, a caveat lodged in the Westland registry will need to provide a physical address within that registration district, notwithstanding the fact that Christchurch will process the caveat. This difficulty has arisen as a consequence of Section 138 Land Transfer Act 1952 not being amended by the Land Transfer (Automation) Amendment Act 1998. (As we have a nationwide network of sub-agents in each registration district, we can provide the appropriate physical address on your behalf.)

If you have any questions regarding the registration procedure in the Landonline environment, please do not hesitate to contact one of our experienced Land Transfer Consultants for advice.