LINZ presents at NZILE district meetings

Presentations to members of the New Zealand Institute of Legal Executives (NZILE) on key e-dealing changes in Landonline Release 3.2 have proved popular.

LINZ's e-dealing product and service owner, Julie Gillatt, was initially approached by the Wellington branch for a briefing on the changes. Word then travelled like wildfire following her presentation to nearly 60 NZILE members in Christchurch. Julie has since visited branches in Tauranga, Nelson and Blenheim, and will present to the Auckland and Waikato branches shortly.

"Given Release 3.2 had new functionality incorporating a new system for notices and electronic requests for e-dealing, these presentations fitted well with the NZILE branch meetings," says Julie. "It's a great opportunity to communicate with our customers in the legal profession, and update them on important issues."

NZILE President Carol Johns, based in Christchurch, said the presentation covered a range of relevant topics.

"The feedback I've received has been great," says Carol. "People have indicated how important it is to keep up with new e-dealing releases and updates. I think a seminar or workshop-type presentation is an effective way to do this."

Julie covered the following topics:

• Key changes to e-dealing functionality, i.e.
  • workspace changes
  • new icons
  • electronic Title-related requests
  • mortgagee quick codes
  • new certification options
  • new process for Landonline notices
• Top six rejection reasons (see below)
• Common mistakes and compliance
• Update on LINZ's customer projects

Each presentation was followed by a question and answer session, some of which will be published on this website shortly.

Top six rejection reasons

The top six reasons why an e-dealing is rejected by LINZ, along with suggested prevention methods, have been published on this website to assist our conveyancing customers. We will update this list on a monthly basis.

e-dealing watch points for practitioners

e-dealing watch points are continually being added to. You will find these and links to other e-dealing related articles on this website.

Mortgage following Transfer and Power of Sale

The Transfer and Power of Sale (TPS) is an image-only instrument, which means that Landonline cannot automatically extract any of the content. The dealing will step down to LODGE for LINZ to check the LODGE instrument only.

The Mortgage is an AUTO REG instrument and therefore will not usually be checked by LINZ. When a Mortgage follows a TPS in the same dealing, the Mortgage will default the registered proprietor details to those currently on the title.

Landonline will not take into account any image-only instrument prior to the Mortgage in the same dealing. If the instrument prior to the Mortgage changes the ownership of the title then you will need to check the 'Change due to Pending Dealing' checkbox to delete the current registered proprietor names and enter the new proprietors from the TPS. This will be the case for most, if not all, Mortgagee sales.

Pre-validation will fail even if you make this change because the proprietors do not match. This is because the image-only instrument cannot update the register automatically as noted above.

LINZ is not required to check any AUTO REG instrument as it is assumed that you have changed any necessary fields prior to submitting the dealing. Once the title is updated with the new proprietors then Landonline will check the AUTO REG instrument at the time the dealing is registered. Subsequent instruments will be registered if the names in the subsequent Mortgage (or other instruments) match the title at that point.

Correct set-up of a Mortgage following a TPS:

1. Check 'Change due to Pending Dealing'
2. Delete default registered proprietors
3. Add a blank line for each new Registered Proprietor and enter details in appropriate fields (Given Name[s] and Family Name or Corporate Name)
4. Add Mortgagee Name to the blank row
5. Enter relevant Mortgage details
6. Pre-validate the instrument:

Note: Pre-validation should fail for the reason below. This is a valid failure because the image only instrument has not updated the registered proprietors. You should continue and submit your dealing for registration even if it has failed pre-validation. LINZ will update the register with the new proprietors entered in the TPS.

What are the implications of not updating the Mortgagor names?

If you do not change the Mortgagor details to match the new proprietor, your dealing/instrument will be Rejected or Requisitioned.