WA Registrar's Caveat

[AngellaC]

Hi Everyone

Did you know that you can transact on a title that is subject to a Registrar's Caveat? There is no need for the Registrar/Landgate to be in the Workspace, but you might see this on the Participants screen - there is no need to do anything with this "Unrepresented Party".

Upon verification of the documents by Landgate, a warning should be displayed in the Documents screen referring to the Caveat, however, the transaction can proceed online as per usual. 

Such dealings will, however, not be eligible for auto-registration, and will be diverted to the usual examination queue. This will mean that it will take a bit longer for registration to be finalised.

Thanks

Angella

[Rakkamac]

Hi Angella,

Can you confirm this is also the case for a Subject to Claim Caveat which will remain on the title after settlement?

[AngellaC]

Hi @Rakkamac 

Yes, that is correct - you can proceed with these online in the same manner. Only an absolute caveat will bar the registration.

Angella

[JulieLamb]

I hear of a broker having problems with a Financier (wont name them but  not a bank lender) in  that they will not accept and proceed with their new mortgage because they do not  feel comfortable to proceed with a refinance as Landgate may not allow their mortgage to be registered.  They want Landgate to provide some sort of confirmation it will be removed.  They want an explanation of why a declaration of trust was lodged and who it protects.  . A copy of the declaration and all relevant information has has been provided.     

QUOTE:  FROM LENDER:

 Our legal department also noted such caveats are protective and the Registrar is not required to lift the caveat.  The Registrar will only do if the interests of the parties protected by the caveat are protected (as you can see in the examples given in the page you linked for us).  LANGATE MANUAL PROVIDED TO THEM

According to the PEXA Community (see this Article) the WA Registrar is unlikely to join the workspace and our mortgage dealing will be sent to an examination queue with no guarantee that the transaction will proceed.

One risk here is that the Registrar might look into the cash out question and while as a lender we are satisfied, the Registrar may apply a higher standard in the interests of the parties that the Registrar's caveat protects.

It would obviously be preferable for the Registrar to reach their decision before we fund but we need to understand the caveat before attempting to engage the Registrar.

 *end of Quote. 

????My question is how  can this lender  be convinced this is all normal and it is highly unlikely that the registrar will refuse their mortgage to be lodged.????

Thanks Julie

[DMc]

If anyone was concerned, remind them that Landgate reserves the right to deny ANY registerable document after lodgement since the introduction of VOI many years ago. Where were they then?

But you might have better luck showing them the relevant section (Detailing the Registrar Caveat) in the Landgate practice manual... 

Perhaps they would best consult an experienced WA legal advisor. 

[JulieLamb]

Thanks

We have done that with the Landgate Manual suggestion and also they have spoken to Landgate registrar as well.   So your backing   their theory that the registrar can deny  their mortgage.   Their Perth agent doesn't have a problem with paper refinances with a registrars caveat.  This will go around in circles with no where to go till then end of time.

Happy days. . 

[DMc]

Hopefully will remain written and untested theory, till the registrar decides to make it practise.

[DMc]

Hey @JulieLamb 

Stumbled across this in case of interest...

https://community.pexa.com.au/t5/Ask-the-PEXA-Community/Successful-lodgement-but-Settlement-Failure/...

[DGM]

Hi AngellaC. So is anything else actually required if the Caveat is to remain or will it happen automatically? Thanks.