Bulletin No. 2008- 04 Land Titles Act Land Registration ...

Bulletin No. 2 0 0 8 - 0 4

Ministry of Government Services ServiceOntario

Policy and Regulatory Services Branch

D ATE: OCTOBER 8 , 2 0 0 8

Land Titles Act Land Registration Reform Act

1 . Notice under S. 7 1 of the Land Titles Act

2 . Application for Restrictions based on Cour t Or de r

3 . Cr ow n Le a se Public Lands Act

4 . No Dealings I ndicator I nform ation and Cha nge s

TO: ALL LAN D REGI STRARS

AN D

U SERS OF TH E ELECTRON I C LAN D REGI STRATI ON SYSTEM

The purpose of t his Bullet in is t o advise you of som e changes being m ade t o cert ain docum ent types, som e new statem ents being m ade available in docum ents created electronically and som e new docum ent types that are being m ade available.

These changes are being put in place t o supplem ent exist ing syst em s funct ionalit y as well as support ing t he ongoing work being done by t he Minist ry and Teranet I nc. on updat ing t he autom ated land registration system .

1 ) Notice under S. 7 1 of the Land Titles Act

A change is required t o t he elect ronic docum ent current ly called " Not ice under S.71 of t he Land Tit les Act " . This change result s in t he nam e of t he elect ronic docum ent being changed t o " Not ice" and a st at em ent being added t o ident ify the legislat ive authorit y for t he Not ice. A " Not ice under S. 71 of t he Land Tit les Act " is current ly abst racted on t he parcel regist er as " Not ice" . Once t he nam e of the electronic docum ent is changed to " Notice" , the docum ent will continue to be abstracted as " Notice" on the parcel register.

These changes are being im plem ent ed in a t wo- st ep process in order t o m inim ize t he im pact on work in progress docum ent s. The changes are scheduled for im plem ent at ion as follows:

Effect ive on Oct ober 13, 2008 t he nam e of t he docum ent called " Not ice under S.71 of t he Land Tit les Act " will be changed t o " Not ice" and t he following non- law st at em ent will be available for select ion :

3550 This Not ice is pursuant t o Sect ion 71 of t he Land Tit les Act .

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I t is recom m ended that the above statem ent be selected on Notices as soon as it is available for select ion on Oct ober 13, 2008. However, it will not be m andat ory unt il Novem ber 10, 2008 at which tim e further changes are being im plem ented to enforce the selection of statem ent 3550 in a " Notice" .

Transition I nform ation:

1 a) Docum ents that are W ork in Progress ? on October 1 3 , 2 0 0 8

Any docum ent ent it led " Not ice under S.71 of t he Land Tit les Act " t hat is in a Work I n Progress Folder will be affect ed only insofar as t he nam e of t he docum ent will be changed. Signat ures will not be rem oved but stat em ent 3550 will be available for select ion, if desired. As wit h other changes to signed docum ents, the selection or rem oval of a statem ent, including new statem ent 3550 or with the change to any inform ation, all signatures will be rem oved and the docum ent will require resigning prior to subm itting for registration.

1 b) D ocum e nt s t ha t ha ve be e n Re ce ipt e d but N ot Ce r t ifie d on Oct obe r 1 3 , 2 0 0 8

Any docum ent ent it led " Not ice under S.71 of t he Land Tit les Act " t hat has been receipt ed but not yet cert ified on Oct ober 13, 2008 will be affect ed by t he change of t he docum ent nam e. This change will take place when the docum ent is certified by land registry office staff and the process of changing t he docum ent from " Receipt ed" t o " Regist ered" occurs. Any " Not ice" t hat does not indicat e t hat it is regist ered pursuant t o sect ion 71 of t he Land Tit les Act will not be ret urned for correct ion for t hat reason and will be t reat ed as having been regist ered under Sect ion 71 of the Land Tit les Act .

1 c) "N otice" Docum ents Receipted betw een October 1 3 , 2 0 0 8 and Novem ber 1 0 , 2 0 0 8

Wit h t he int roduct ion of t he new stat em ent 3550 and wit h t he change of docum ent nam e, a " Not ice" docum ent subm it t ed for regist rat ion bet ween Oct ober 13, 2008 and Novem ber 10, 2008 m ay or m ay not include statem ent 3550. A " Notice" docum ent will not be returned for correction for the inclusion of statem ent 3550 and will be treated as having been registered under Section 71 of t he Land Tit les Act .

1 d) Docum ents that are W ork in Progress on Novem ber 1 0 , 2 0 0 8

Effect ive Novem ber 10, 2008 any " Not ice" docum ent t hat is in a Work I n Progress Folder t hat does not have statem ent 3550 selected will not pass t he syst em s validation checks when signing the docum ent . The following m essage will be received and st at em ent 3550 will be required t o be select ed before t he docum ent can be signed and subm it t ed for regist rat ion.

Missing inst rum ent level st at em ent : 3550.

As wit h other changes t o signed docum ent s, t he select ion or rem oval of a st at em ent , including new statem ent 3550 or with the m odification of any inform ation, all signatures will be rem oved and the docum ent will require resigning prior to subm itting for registration.

2 ) Applica t ion For Re st r ict ions Ba se d On Cour t Or de r

There is a new docum ent being creat ed for regist rat ion elect ronically, or when regist ering in paper in an office t hat does not have m andat ory elect ronic regist rat ion. This docum ent is t o be used when regist ering an Order from t he Court t hat im poses rest rict ions on dealing wit h a propert y. Generally t hese court s orders are known as Rest raining Orders and t hey oft en rest rict a propert y or properties from being encum bered or disposed of. When this docum ent is used, the No Dealings

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I ndicat or will be enabled on t he PI N( s) . The docum ent nam e will be abst ract ed on PI N( s) as " RESTRI CTI ONS ORDER" .

The inform at ion below set s out what st at em ent s are available or are required in t he new " Applicat ion For Rest rict ions Based On Court Order" docum ent and t he following will be added t o t he next release of t he Elect ronic Regist rat ion Procedural Guide.

Property

Once t he PI N has been ent ered, dat a from t he Propert y file in POLARI S is im port ed int o t he docum ent . I f t he applicat ion affect s m ore t han one PI N, ent er each PI N.

Party From

Ent er t he nam e of t he court .

Ap p lica n t

Ent er t he nam e( s) of t he applicant ( s) .

Statem ent

For an Applicat ion For Rest rict ions Based On Court Order, t he Order m ust form part of t he applicat ion and t he following st at em ent m ust be select ed. The order m ay be im port ed as a t xt , t if or a pdf form at . This st at em ent is a law st at em ent and can only be signed for com pleteness by a legal account holder.

3 7 2 1 The applicant applies to register the follow ing order insert order. The order is still in full force and effect

The t it le relat ed rest rict ion being im posed m ust be set out in t he following st at em ent . This st at em ent is a law st at em ent and can only be signed for com plet eness by a legal account holder.

3 7 5 0 The court order contains the follow ing title related restriction: I nsert r e st r ict ion .

Additional Statem ent

The following st at em ent is opt ional.

61 Schedule: Text

The following st at em ent is also available.

3730 This docum ent relat es t o regist rat ion num ber num ber( s) .

Land Transfer Tax

Land t ransfer t ax is opt ional and would only be used if t he order has t he effect of transferring land and creating a restriction.

Authority

For m ore inform at ion on t he proper aut horizat ion of docum ent s, see General Requirem ent s, Aut horizat ion of Docum ent s sect ion of t he Elect ronic Regist rat ion Procedures Guide.

Sig n a t or ie s

Once t he docum ent has been creat ed, select I nst rum ent from t he m enu bar, select Sign from t he drop down list . This screen provides for t he aut horizat ion of t he com plet eness and release of the docum ent.

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A Court Order t ype docum ent is required t o be elect ronically signed on behalf of t he applicant by his/ her solicit or. See General Requirem ent s, Signat ories sect ion of t he Elect ronic Regist rat ion Procedures Guide.

3 ) Cr ow n Le a se Public La nds Act

This new docum ent is being creat ed for regist rat ion and is t o be used when a Crown Lease Pat ent is issued by t he Minist ry of Nat ural Resources ( MNR) on Crown Lands. This docum ent can only be regist ered in paper form at as it will result in t he PI N( s) being creat ed. Once t he PI N( s) are creat ed, subsequent docum ent s can be regist ered elect ronically. The docum ent nam e will display on PI Ns as " CROWN LEASE PLA" . Crown leases under t he Public Lands Act have clauses wit hin t he lease t hat t he lessee m ust not assign, sublet, dispose of, or charge the leasehold parcel, unless the appropriat e Minist er consent s in writ ing. Therefore t his docum ent will also enable t he No Dealings I ndicat or on t it le t o t he PI N( s) creat ed by t his docum ent .

4 ) N o D e a lings I ndica t or I nfor m a t ion a nd Cha nge s

I n the autom ated system , a " No Dealings I ndicator" is available and m ay be placed on a parcel for various reasons. I t could be a result of an invest igat ion t hat t he Land Regist rar is doing on t he propert y while a det erm inat ion is m ade whet her a Land Regist rar's Caut ion needs t o be regist ered on t it le t o t he propert y. I t could also be as a result of t he regist rat ion of a Land Regist rar's Caut ion or t he regist rat ion of one of t he docum ent t ypes list ed below. Once a No Dealings I ndicat or has been placed on the property, it has the effect of preventing m ost registrations. I t is im portant to not e that cert ain docum ent s are perm it t ed t o be registered even t hough t he No Dealings I ndicat or has been placed on a parcel. As a result the system has been designed in such a way that docum ents are allowed to be receipted, even when a No Dealings I ndicator is on title, when specific statem ents ( see below) are m ade or when certain docum ents are registered.

The t ype of regist ered docum ent t hat places t he No Dealings I ndicat or on t it le det erm ines t he t ype of docum ent that is prevented from registration without first m aking one of the statem ents set out below in 4a) or 4b) . For exam ple, if a Caut ion- Charge is regist ered on a parcel t he int ent of t he docum ent is to restrict dealings with the charge and therefore, a discharge is prevented unless one of t he st at em ent s below in 4a) or 4b) is select ed in t he discharge. I f t he parcel has a Caut ion- Land registered on it, the intent of the docum ent is to restrict dealings with the land, however another Caut ion ? Land would not be rest rict ed so as t o allow for ot her int erest s t o be prot ect ed and therefore one of the stat em ents below in 4a) or 4b) is not required for that docum ent to be r eceipt ed.

I n addit ion, in cert ain t ypes of docum ent s a stat em ent referenced below in 4a) or 4b) is not required t o be select ed in order for t he regist rat ion t o occur. One exam ple is a Const ruct ion Lien. A Const ruct ion Lien is not prevent ed because of t he st at ut ory requirem ent t o regist er wit hin a specified tim e fram e in order for the lien to be preserved.

The following list of docum ent t ypes are docum ent s t hat cause t he No Dealings I ndicat or t o be placed on a property for which the select ion of the new or existing statem ents referenced below m ay allow the registration of subsequent docum ents.

Annex Rest rict ive Covenant s S.118- Charge, displays on PI N as: RESTRI CTI ON - CH Applicat ion For I nhibit ing Order- Charge, displays on PI N as: APL I NH ORDR- CHRG Applicat ion For I nhibit ing Order- Land, displays on PI N as: APL I NH ORDR- LAND Applicat ion For Rest rict ions Based On Court Order, displays on PI N as: RESTRI CTI ONS ORDER Applicat ion To Annex Rest rict ive Covenant s S.118, displays on PI N as: RESTRI CTI ON- LAND Caut ion- Charge, displays on PI N as: CAUTI ON- CHARGE Caut ion- Charge ( Bankrupt cy & I nsolvency Act ) , displays on PI N as: CAUTI ON CH BKRUPT

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Caut ion- Land, displays on PI N as: CAUTI ON- LAND Caut ion- Land ( Bankrupt cy & I nsolvency Act ) , displays on PI N as: CAUTI ON LND BKRUPT Caut ion- Land ( Est at es Adm inist rat ion Act ) , displays on PI N as: CAU- LND EST ADMI N Crown Lease ( Public Lands Act ) , displays on PI N as: CROWN LEASE PLA

4 a) New Statem ents Related to the No Dealings I ndicator

I n addict ion t o t he st at em ent s set out in t he General Requirem ent s of t he Elect ronic Regist rat ion Procedures Guide, and reproduced below, select ion of one of t he following t hree new st at em ent s will allow certain docum ents to be registered when a parcel register has an active " No Dealings" I ndicat or on t he t it le. The st at em ent s shown in bold font are law st at em ent s and can only be signed for com plet eness by a legal account holder.

3 7 5 5 I n accordance w ith registration num ber, the consent of Nam e has been obtained for the registration of this docum ent.

3 7 5 6 The registration of this docum ent is not prohibited by registration num ber.

3757 I n accordance with registration num ber, Nam e has consented to the registration of this docum ent . I m port Consent

NOTE: I f t he consent is in form of a Court Order, a free- form t ext law st at em ent in St at em ent 61 m ust be included t o indicat e t hat t he Court Order is in full force and effect .

4 b) Exist ing St at em ent s

3 7 2 6 Nam e has consented to the registration of this docum ent, subject to the continuance of registration no. num ber.

3 7 3 3 Registration of this docum ent is not prohibited by registration no. num ber, w hich prevents dealing w ith charge num ber num ber.

3 7 4 1 This docum ent is being registered pursuant to I nhibiting Order instrum ent no.

The addit ion of t hese t hree new st at em ent s will work in conj unct ion wit h t he exist ing st at em ent s t o be used in sit uat ions where, for exam ple, a Rest rict ion under S. 118 of t he Land Tit les Act has been regist ered on t it le and a new purchaser int ends for t hat Rest rict ion t o cont inue. St at em ent 3755 would be selected to indicate that the consent of the party required by the restriction has consented and statem ent 3726 would be selected to represent that the new purchaser consents to the continuance of the restriction.

4 c) La nd Re gist r a r 's Ca ut ion

When a Land Regist rars Caut ion has been regist ered on a PI N, t he above st at em ent s will not allow a docum ent t o be receipt ed. Regist rant s should cont act t he Land Regist rar t o discuss t he sit uat ion and if appropriat e, t he Land Regist rar m ay allow t he regist rat ion.

Kat herine M. Murray Direct or of Tit les

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