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The Land Registration (Electronic Conveyancing) Rules 2008

S.I. 2008/1750 · Made 2 July 2008

Original text. legislation.gov.uk does not revise statutory instruments, so later amendments are not shown here. Changes made to it are listed under each provision when known.

Land Registration, England And Wales

Made 2nd July 2008

Laid before Parliament 4th July 2008

Coming into force 4th August 2008

The Lord Chancellor makes the following rules in exercise of the powers conferred by sections 1(2), 25(1), 66(2), 67(3), 71, 73(4), 91(2), 91(3)(d), 92(2), 95(b), 126 and 128(1) of, and paragraph 5 of Schedule 5 and paragraphs 6(a), (b) and (c) and 8 of Schedule 10 to, the Land Registration Act 2002f1.

In accordance with section 127f2 of the Land Registration Act 2002, he has received the advice and assistance of the Rule Committee appointed under that section.

Annotations to the whole text

Footnotes

f1

2002 c.9.

f2

Section 127 was amended by the Constitutional Reform Act 2005 (c.4.), section 15(1) and Schedule 4, Part 1, paragraphs 301 and 302.

Contents

  1. 1Citation and commencement
  2. 2Interpretation
  3. 3Electronic legal charges
  4. 4Registrar’s acknowledgement of time and date that an electronic legal charge took effect
  5. 5Amendments to the principal rules
  6. 6Disapplication of certain provisions in the principal rules
  7. Signature
  8. Schedule 1: CONTENTS OF AN ELECTRONIC LEGAL CHARGE
  9. 1Paragraph 1
  10. 2Paragraph 2
  11. 3Paragraph 3
  12. Schedule 2: PROVISIONS AFFECTING THE PRINCIPAL RULES
  13. Part 1: AMENDMENTS TO THE PRINCIPAL RULES
  14. 1Amendment of rule 12
  15. 2Amendment of rule 15
  16. 3Amendment of rule 92
  17. 4Amendment of rule 108
  18. 5Amendment of rule 133
  19. 6Amendment of rule 135
  20. 7Amendment of rule 217
  21. Part 2: DISAPPLICATION OF PROVISIONS IN THE PRINCIPAL RULES
  22. 1Disapplication of Part 3 of the principal rules
  23. 2Disapplication of rule 57
  24. 3Disapplication of rule 81(1)(b)
  25. 4Disapplication of rule 203
  26. Explanatory note

1Citation and commencement

These rules may be cited as the Land Registration (Electronic Conveyancing) Rules 2008 and shall come into force on 4 August 2008.

2Interpretation

(1)

In these rules—

  • “Borrower” means the person who charges the registered estate,

  • “E-MD reference” means a reference supplied by the registrar to the Lender which enables all or part of the wording of an electronic legal charge to be generated automatically,

  • “electronic legal charge” means a charge within rule 3(1),

  • “land registry network” means a network provided under section 92(1) of the Act,

  • “Lender” means the person to whom the registered estate is charged, and

  • “the principal rules” means the Land Registration Rules 2003f1.

(2)

Expressions used in these rules have the meaning that they bear in the principal rules, unless the contrary intention appears.

(3)

In Schedule 2, a reference to a rule by number is a reference to the rule so numbered in the principal rules.

3Electronic legal charges

(1)

Subject to paragraphs (2) to (7), the grant of a legal charge of the whole of the registered estate in a single registered title is a disposition within section 91(2) of the Act.

(2)

Paragraph (1) does not apply to—

(a)

a disposition to which rule 38 of the principal rules applies,

(b)

the grant of a legal charge by a body corporate, whether the body corporate is the Borrower or a Joint Borrower, or

(c)

a charge which is authenticated by a person other than the Borrower.

(3)

Paragraph (1) only applies if at the time a person authenticates the charge as Borrower or Joint Borrower—

(a)

that person is entered in the register as proprietor or joint proprietor of the registered estate that is charged, or

(b)

there is entered in the day list notice of an application to register that person as proprietor or joint proprietor of the registered estate that is charged.

(4)

Paragraph (1) only applies if the Borrower authenticates the charge personally.

(5)

Paragraph (1) only applies if—

(a)

the charge is prepared using a procedure for doing so permitted by the land registry network, and

(b)

each electronic signature which the charge has, and the certification of each electronic signature, are in accordance with the provisions of a network access agreement.

(6)

A procedure within paragraph (5)(a) may, whether or not it is the only procedure within that sub-paragraph, require all or any of the provisions specified in Schedule 1 to be drafted automatically using an E-MD reference.

(7)

Schedule 1 (which makes provision about the contents of an electronic legal charge) has effect.

(8)

In this rule —

  • “Joint Borrower” means, where the Borrower comprises two or more persons, one of those persons, and

  • “joint proprietor” means, where the proprietor of a registered estate comprises two or more persons, one of those persons.

4Registrar’s acknowledgement of time and date that an electronic legal charge took effect

Following receipt of notification, in accordance with the provisions in the charge required by paragraph 1(b) and (c) of Schedule 1, that the charge is to take effect, the registrar must send to the person who notified the registrar an acknowledgement stating the time and date when the notification was received.

5Amendments to the principal rules

The principal rules are amended as set out in Part 1 of Schedule 2.

6Disapplication of certain provisions in the principal rules

Provisions in the principal rules are disapplied as set out in Part 2 of Schedule 2.

Signature

Signed by authority of the Lord Chancellor

Michael Wills

Minister of State

Ministry of Justice

2nd July 2008

1

To be within rule 3(1), a charge must contain the following—

(a)

the title number and description of the property that is charged,

(b)

a provision that the charge takes effect when the registrar receives notification, using a procedure for doing so permitted by the land registry network and in accordance with the provision in the charge required by sub-paragraph (c), that the charge is to take effect,

(c)

a provision that the Subscriber who prepared the charge under rule 3(5)(a) is the person who is to notify the registrar that the charge is to take effect,

(d)

the Borrower’s name,

(e)

the E-MD reference, if any, applicable to the charge,

(f)

the Lender’s name and intended address for service for entry in the register,

(g)

if the Lender is a company registered in any part of the United Kingdom under the Companies Acts or the Companies (Northern Ireland) Order 1986f1, the Lender’s registered number,

(h)

if the Lender is a limited liability partnership incorporated under the Limited Liability Partnerships Act 2000f2, the Lender’s registered number,

(i)

if the Lender is a corporation incorporated outside the United Kingdom, the territory in which the Lender is incorporated and the Lender’s registered number, if any, in England and Wales,

(j)

a statement to the effect that the Borrower (stating, if desired, whether with full or limited title guarantee) charges to the Lender the property referred to in sub-paragraph (a) by way of legal mortgage with payment of all money secured by the charge,

(k)

a statement, if such be the case, that the Lender is under an obligation to make further advances and applies for the obligation to be entered in the register, and

(l)

a statement, if such be the case, that the Borrower applies to enter a standard form of restriction in the proprietorship register of the registered estate that is charged and, if so, the wording of the standard form of restriction.

2

(1)

A charge within rule 3(1) may contain provisions additional to those in paragraph 1.

(2)

For the purposes of registration of an electronic legal charge, if there is a conflict between any such additional provision and a provision contained in the charge in accordance with paragraph 1 the latter provision shall prevail.

(3)

The registrar need make no entry in the register in respect of any matter contained in any such additional provisions.

3

In this Schedule—

  • “full network access agreement” has the same meaning as in the Land Registration (Network Access) Rules 2008f1, and

  • “Subscriber” means a person who has entered into a full network access agreement with the registrar.

1Amendment of rule 12

In rule 12(4), after “include” insert “an application for a network access agreement under paragraph 1(4) of Schedule 5 to the Act, or”.

2Amendment of rule 15

In rule 15(2)(a), for “a business” substitute “the”.

3Amendment of rule 92

In rule 92(7)(b), after “CH1” insert “or in an electronic legal charge”.

4Amendment of rule 108

In rule 108(3), after “CH1,” insert “in an electronic legal charge”.

5Amendment of rule 133

In rule 133(2), omit the “and” at the end of sub-paragraph (e), and before the full stop at the end of paragraph (f) insert—

“, and

(g)

any document relating to an application for a network access agreement under paragraph 1(4) of Schedule 5 to the Act”.

6Amendment of rule 135

In rule 135(2), omit the “and” at the end of sub-paragraph (e), and before the full stop at the end of paragraph (f) insert—

“, and

(g)

any document relating to an application for a network access agreement under paragraph 1(4) of Schedule 5 to the Act”.

7Amendment of rule 217

In rule 217(1), after the definition of “day list”, insert ““electronic legal charge” has the same meaning as in the Land Registration (Electronic Conveyancing) Rules 2008,”.

1Disapplication of Part 3 of the principal rules

Part 3 of the principal rules (Applications: General Provisions) does not apply to applications for a network access agreement under paragraph 1(4) of Schedule 5 to the Act.

2Disapplication of rule 57

Rule 57 does not apply to a person applying to register an electronic legal charge.

3Disapplication of rule 81(1)(b)

Rule 81(1)(b) does not apply to an application for an agreed notice in respect of an electronic legal charge stored by the registrar, provided that the applicant gives sufficient details of the charge to enable the registrar to identify it.

4Disapplication of rule 203

Rule 203 does not apply to an application made using the land registry network where the document delivered with the application is in electronic form but the registrar may retain the document and at any time thereafter delete it if satisfied that further retention is unnecessary.

Explanatory note

(This note is not part of the Rules)

These Rules are made under the Land Registration Act 2002 (the Act), and make provision for the creation of legal charges in electronic form.

Rule 3, made under section 91 of the Act, provides for certain kinds of legal charge to be created by means of an electronic document. In accordance with section 91(3), it lays down conditions that must be met if such a document is to be effective. Schedule 1 states what information such a charge must contain, while allowing for optional information. Rule 4 requires that, when notified in accordance with the provisions of the charge that the charge is to take effect, the registrar must send the person giving the notification an acknowledgement stating the time and date that it was received.

Rules 5 and 6, and Schedule 2, amend or disapply certain provisions of the Land Registration Rules 2003 to cater for electronic legal charges, retention and deletion of electronic documents and applications to the registrar under paragraph 1 of Schedule 5 to the Act to enter into a network access agreement. Additionally, rule 15 (time at which applications are taken to be made) is amended. This rule covers certain applications, whether or not they are delivered in electronic form.

An Impact Assessment has been prepared and placed in the library of each House of Parliament. Copies can be obtained from the Land Registry, 32 Lincoln’s Inn Fields, London WC2A 3PH.