Victoria
Nature of old system title landUntil the creation of the Torrens title system, land ownership was based on the “common law” system of conveyancing under English law, now known as “old system”. Land ownership and title under the old system is known as “old system title”.
When land is transferred or mortgaged under the old system, a separate deed is drawn up between the parties. Up until 31 December 1998, a memorial of the deed could then be lodged with the Registrar-General for registration. However, registration was optional and registration just related to recording the memorial and not to registration of ownership (ie general law land interests are conveyed by deed and the chain of documents provided to each new owner is evidence of ownership. This is different to the Torrens system which registers ownership interests). The benefit conferred by registration was one of priority and, subject to some limited exceptions, generally gave priority to the registered deed over any other deed subsequently registered. However, because registration was optional, a claim that was not registered or not capable of registration (for example, equitable mortgage) could exist over general law land that wouldn't be revealed by a search of the register.
The general law register closed on 31 December 1998 (refer to the now repealed Transfer of Land (Single Register) Act 1998 (Vic)), and since then it has not been possible to register a general law land transaction. It is still possible to convey general law title under the general law system, but it is very rare since the register has been closed, and usually a purchaser will convert the title to Torrens title as a condition of settlement or after settlement.
Unlike Torrens title land, old system land is not guaranteed by the government. Accordingly, a number of processes and checks should be made by a lawyer advising on any dealing with old system title land. This includes reviewing the chain of title and undertaking appropriate searches at Land Victoria using a professional search agent and considering whether the conversion of the title to the Torrens title system is preferable. See Nature of old system title land.
Chain of titleAs a measure of security, before ownership can be transferred, the vendor has to prove ownership to the title by providing evidence of an unbroken series of deeds in the form of a “chain of title”. A “good root of title” is a chain of title of a minimum of 30 years ending with the vendor (see s 44 of the Property Law Act 1958 (Vic)). See Abstract of title.
Old system title conversion to Torrens title — qualified title/provisional folioOver time, many old system titles have been converted to the Torrens title system, thus bringing the land under the provisions of the Transfer of Land Act 1958 (Vic). This can be done through different processes initiated by an applicant under ss 14 , 15 , 22 and 23 of the Transfer of Land Act 1958 (Vic).
The Registrar-General may create an unqualified certificate of title or may register a qualified title (formally referred to a provisional folio) on which there are warnings. Where a qualified certificate of title is issued, the warning is equivalent to an encumbrance shown on the certificate of title.
A warning relating to title dimensions is a warning that the boundaries of the parcel of land have not been adequately defined via a plan and/or have not been investigated by the Registrar-General. The warning can be removed upon the application of the owner with a survey plan certified by a licensed surveyor.
Qualifications as to title often relate to matters disclosed in the legal practitioner's certificate, which often forms part of the application for the conversion process. Qualifications as to title may be removed and generally cease at the end of 15 years from the date of creation of the qualified title.
See Old system title conversion to Torrens title — qualified title.