on 10-04-2018 10:52 PM - last edited a week ago
As a PEXA Direct Virtual Specialist (VIC) who helps practitioners learn how to use PEXA, I am often asked about Nominations. I hope our Victorian members find this article helpful as there seems to be some confusion in the community around this topic.
What is a Nomination?
A Nomination is an Administrative Notice used to request the Registrar to deal with a title in a particular way. Specifically, nominations lodged via PEXA relate to the current title in anticipation of an upcoming lodgement. It might assist if you think of nominating as "making the title available".
For more information please see the Certificates of Title and Administrative Notices Guide, available on the LUV website.
When do you need to lodge a Nomination?
To help you ascertain the answer, you will need to consider these questions:
Where the title is currently a paper title and lodgement will be completed via PEXA, then a Nomination is required.
This will be lodged by the party who holds the paper title, thereby converting the paper title to an eCT and “making it available” to the lodgement case.
Where the title is currently an eCT and lodgement will be completed via the paper channel, then a Nomination to Paper Instrument is required.
This will be lodged by the CT Controller, who specifies details of the paper instrument in the Nomination to Paper Instrument.
Note: Lodging a Nomination to Paper Instrument does not convert the eCT to a paper title, nor does it mean that the new title will be issued as a paper title.
Where the title is currently an eCT and lodgement will be completed via PEXA
The CT Controller is the mortgagee on title. A Discharge of Mortgage and Transfer will be lodged together in the same lodgement case via PEXA. A Nomination is not required as the mortgagee is a party to the transaction, having prepared the Discharge of Mortgage which forms part of the lodgement case.
The CT Controller is the mortgagee on title, and the practitioner is lodging an instrument (eg ASP or APR) via PEXA. A Nomination is required as the mortgagee is not a party to the transaction. In this scenario the practitioner will need to invite the mortgagee into the workspace as CT Controller so that it can nominate the title (or "make the title available") to the lodgement case.
How do I create a Nomination?
Please refer to this guide.
Note: The Nomination must be signed and lodged prior to the upcoming lodgement. Please ensure that you review the Certifications in the Nomination before lodging same.
When do you need to lodge a Withdrawal of Nomination?
Scenario 1: The CT Controller has lodged a Nomination to Paper Instrument in anticipation of lodgement (eg Transfer) via the paper channel. Circumstances have changed and lodgement will be completed via PEXA instead. In this scenario the CT Controller will need to lodge a Withdrawal of Nomination (followed by a Nomination if the CT Controller is not a party to the PEXA transaction).
Scenario 2: The holder of a paper title has lodged a Nomination in anticipation of lodgement (eg Transfer) via PEXA. Circumstances have changed and lodgement will be completed via the paper channel instead. In this scenario the CT Controller will need to lodge a Withdrawal of Nomination, followed by a Nomination to Paper Instrument.
Scenario 3: The holder of a paper title or CT Controller, has lodged a Nomination in anticipation of lodgement (eg Transfer) via PEXA. For one reason or another, the anticipated lodgement is deleted and recreated in the workspace. In this scenario the CT Controller will need to lodge a Withdrawal of Nomination (a new Nomination may be required to be lodged depending on your specific scenario).
I hold an eCT on behalf of my client. Do I nominate to paper in PEXA if I want to convert it to a paper title?
Lodging a Nomination to Paper Instrument does not convert the eCT to a paper title. If you need to convert an eCT to paper title you will need to lodge your application directly with Land Use Victoria. The application form can be found on the LUV website.
Note: Where there is an upcoming lodgement to be completed via PEXA, the new title can be issued as a paper title if the appropriate selection is made in the Lodgement Instructions.
What about the paper titles we hold in Deeds?
For bulk conversion of paper titles to eCTs please contact Land Use Victoria to discuss.
Please contact your PEXA Direct Specialist or post your question below.
on 15-05-2018 01:44 PM
With scenario A, if there is no mortgage on title and the vendor's legal practitioner has control of the eCT, would the same principles apply? Would we need to nominate the eCT to the financial settlement workspace or is signing the transfer sufficient to make us a party to the transaction and therefore not required to nominate the title to the workspace?
15-05-2018 08:50 PM - edited 15-05-2018 08:52 PM
Yes that is correct, a nomination will not be required in the scenario you described.
on 29-08-2018 05:04 PM
Hi, I am just a little confused where we have control of pCT for proprietor on title I have been advised that you do not need to create a role as CT controller is that correct? If so, when creating the nomination I have been advised that we should remove the Lodgement Instruction ahead of the nomination? Can you please confirm.
29-08-2018 06:03 PM - edited 29-08-2018 06:14 PM
That is correct there is no need to create an additional role of CT Controller for a Transfer workspace, if you hold the paper title and you represent the proprietor on title. The Nomination should be created (and lodged) after the Transfer document has been created, within the same workspace. Please note Lodgement Instructions are not normally removed unless you intend to delete all documents in that lodgement. I recommend that you contact your PEXA Direct Specialist if you need further clarification on the process.
on 30-08-2018 08:59 AM
Nancy, thank you for your reply. It is contrary to the telephone advice I received from PEXA when I was told to remove the document ie. lodgement instruction for the Nomination. As you have indicated in your reply that deleted all documents from the workspace.
on 31-08-2018 05:24 PM
Without knowing the details of your workspace it may have been necessary to remove the Lodgement Instructions in your scenario, or perhaps there was misunderstanding over the telephone. Our sincere apologies if you were misinformed. I understand your PEXA Direct Specialist has been in contact with you to clarify. Thank you for taking the time to post on Community.
on 03-12-2018 04:52 PM
In scenario 2 (withdrawal of nomination) what happens if the person who created the original nomination (Party A) has subsequently transferred control of the title to another subscriber (Party B) before lodging the withdrawal. Will Party A still be able/need to create the withdrawal or will Party B be able to create the withdrawal as the current CT controller?
on 04-12-2018 12:28 PM
Great question. We would recommend that Party A lodges a Withdrawal of Nomination before transferring CT Control to Party B. There may be issues if Party A has lodged a Nomination, then attempts to transfer CT control of that title to Party B while the Nomination is in place.