on 02-07-2017 01:42 PM
Where the other party is a company, we always request a copy of the signed TOL so we can see if it is executed by the directors and/or secretary or under Power of Attorney. This determines whether we must do a company search at ASIC or a PoA search at Landgate. Under PEXA we have no idea who is executing on behalf of the company and what searches we require. Any suggestions on how we should deal with this situation?
on 03-07-2017 11:47 AM
Doc, This should not be a problem as the subscriber will need to be the authorised party within PEXA to act for that entity. At present, the reason that the Housing Authority are only completing a limited number of transactions, is the fact that they are required to update the Power of Attorneys to operate under PEXA for a number of the Joint Developments so they can complete the withdrawal of caveat via PEXA, rather than still complete a paper withdrawal. You therefore request the subscriber to confirm that they have the Power of Attorney and can still complete the required PA search if required. At the end of the day , the subscriber is the one who holds the authority to act and sign on behalf the proprietor on title or incoming proprietor.
on 03-07-2017 01:07 PM
Sounds like you're talking about a situation where you're acting for a buyer. I believe it's best practice in the paper world (rather than a requirement) that you search ASIC records if the seller is a company. And you would definitely want to search the PoA if Attorney was signing a paper Transfer. However, you do this to ensure that it will get thru the Landgate examination process & get registered.
As Jack has mentioned, it's the subscriber that signs an e-Transfer in PEXA and in doing so certifies that the client has authority to sell,
I think you also need to take into account that there is little/no gap between financial settlement, lodgement & registration in PEXA. So there is virtually no gap between the buyers funds being released and them gaining Indefeasible Title to the property.