The most common way the ownership of land, and interests in land, is documented is via a “register” system administered by the state government. This system is called the “Torrens title system”.

The Torrens title system is based on a single register for each land holding. Evidence of ownership is literally “lodged for registration” at the relevant government authority. The authority then records all details and interests affecting that piece of land based on the information provided by the lodging party.

The Torrens title system is named after Sir Robert Richard Torrens from Adelaide in South Australia. Sir Robert Richard Torrens designed the registration system and it was set out in the Real Property Act of 1858 in South Australia. When that Act was passed, the method of recording land ownership became known as Torrens title. The current legislation in South Australia is the Real Property Act 1886 (SA).

In NSW, the system was introduced with the commencement of the Real Property Act on 1 January 1863. The Act has the effect that all land granted by the Crown will be subject to the provisions of that Act. All states and territories in Australia have now adopted Torrens title.

In Victoria, the system was introduced with the commencement of the Real Property Act 1862 in October 1862. That legislation has since been repealed and the current legislation is the Transfer of Land Act 1958 (Vic).

In Queensland, the Real Property Act 1861 (which has now been repealed), which commenced on 7 August 1861, marked the introduction into Queensland of the Torrens system of registering interests in land. Prior to this, freehold land granted by the Crown was dealt with under the Registration of Deeds Act 1843. Unlike other states, all identified “old system land” in Queensland has now been converted to Torrens title. A record of the indefeasible title is held by the Registrar of Titles in the Land Registry by way of the computerised Automated Titles System.

In Western Australia, the Torrens title system was introduced with the commencement of the Transfer of Land Act on 1 July 1875. The current Act is the Transfer of Land Act 1893 (WA).

In Tasmania, the system was introduced in 1862 by the Real Property Act. That legislation has since been repealed and current legislation is the Land Titles Act 1980 (Tas).

The Northern Territory inherited the Torrens system of registering interests in land from South Australia’s Real Property Act 1886 (SA) by enacting its own Real Property Act (NT) on 5 September 1978. This statute has since been repealed and replaced by the Land Title Act (NT). All land in the Northern Territory is held under the Torrens system. A record of the indefeasible title is held by the Registrar-General in the land register by way of the computerised automated titling system.

In the Australian Capital Territory (ACT), the Real Property Ordinance 1925 (ACT) (now known as the Land Titles Act 1925 (ACT)), which commenced on 21 May 1925, formally recognised the Torrens title system. While there was some remaining freehold land in the ACT following its formation, there is no longer any freehold land in the ACT. A register of lessees is maintained by the Land Titles Office in the Office of Regulatory Services by way of the computerised titles register (TARQUIN).

It is worth noting that the Property Law Reform Alliance (being a coalition of legal and industry associations working towards bringing about uniformity and reform of property law procedures in Australia) has released a draft “Uniform Torrens Title Act” for public comment (the consultation process closed on 31 August 2013). The Property Law Reform Alliance endorsed the draft in late 2011, which was prepared by Professor Peter Butt.

Torrens title is a “title by registration” system. Practitioners need to be mindful of this and ensure that practices are in place to attend to the registration of interests in land in a timely fashion — to protect the interests of their client. Title by registration is a system created to help avoid the problems and difficulties associated with other types of conveyancing (such as under old system title which relies on proof of ownership via a chain of deeds evidencing such ownership).

With Torrens title, those entities with interests in land (and those entities making enquiries of the register) can, acting in good faith, rely on the information on the land register as to the recorded rights and interests. Title by registration has helped simplify and streamline land ownership transactions throughout Australia.

See Description – Title by registration.

Torrens title does not just mean “freehold”. Under the Torrens title system, both freehold and leasehold interests can be created.

The freehold land titles are described in plans registered with the relevant authority. These plans define the boundaries of the parcel of land being created, being a “lot”. With land subdivisions and boundary changes and adjustments, new lots are created on a daily basis and a new certificate of title is issued for each new lot (with the previous certificate of title being cancelled by the relevant authority).

A leasehold estate is an interest in land that is created under a lease and held by a lessee. The interest in land is, however, limited in that it will be only for a specified period of time.

See Freehold v leasehold.

In NSW, a hard copy paper “certificate of title” is created when the title to the land is registered. The “certificate of title” contains some of the information on the related folio of the Torrens lands title register. You will often hear the phrase “recorded in the folio of the register”. You can think of the folio as a numbering system and the register as a filing system.

There are many different folios of the register at the NSW LPI, however the most common folio is the “computer folio” that keeps a record of all standard freehold Torrens title parcels of land. The “computer folio” is most commonly referred to simply as “the folio”.

A certificate of title describes the present facts regarding that title. This includes:

• a description of the parcel of land by reference to the lot number and plan number;

• a description of the registered proprietor and the tenancy in which the land is held; and

• a description of all of the registered interests that benefit and burden the land — such as mortgages, caveats, leases, easements, and covenants.

The same system applies in Victoria except that the folios of the register are kept at Land Victoria.

In Queensland, a record of the indefeasible title is held by the Registrar of Titles in the Land Registry by way of the computerised Automated Titles System. The Land Title Act 1994 (Qld) does not make provision for the automatic issue of a duplicate title (referred to as a certificate of title). You can still request a paper certificate of title, however you no longer need one as proof of ownership as the Automated Titles System provides this.

In Western Australia, a paper title or a digital title (in each case the “certificate of title”) is issued.

In South Australia, since 4 July 2016, no hard copy paper "certificate of title" is created when the title to the land is registered. A search copy of the "certificate of title" contains some of the information held on the electronic Torrens title register. Paper certificates of title are not required to be produced for any purpose in South Australia.

A search copy of a certificate of title describes the facts regarding that title at the date it was issued. This includes:

• a description of the parcel of land, eg by reference to the lot number and plan number;

• a description of the registered proprietor and the tenancy in which the land is held; and

• a description of all of the registered interests that benefit and burden the land — such as mortgages, caveats, leases, easements, and covenants. See the Form and content of certificates of title and the folios of the register guidance note for further information.

Practitioners should note that the introduction of electronic conveyancing in NSW will eventually see the phasing out of paper certificates of title. See E-conveyancing.

Tasmania adopts a similar system to NSW and Victoria. A hard copy paper "certificate of title" is issued for each folio of the register, unless there is an arrangement with a lodging party for no paper title to issue and instead for the lodging party to be recorded as in control of the title.

In the Northern Territory, the Registrar-General used to keep original copies of the certificate of title while issuing duplicate certificates of title to owners of land. Since December 2000 however, the Register-General no longer automatically issues duplicate certificates of title and holds the original certificates of title in electronic format through the automated titling system. Owners of land can still request a paper certificate, although one is not needed as proof of ownership as the automated titling system provides this.

In the ACT, where the land is a first grant of a Crown lease, the lessee must lodge the Crown lease with the ACT Land Titles Office. Upon registration, the Crown lease is allocated a volume and folio number, which becomes the unique title identifier for the Crown lease. The Crown lease is then converted to a computer folio with the same volume and folio number and allocated an edition number of one, which increases each time the title is updated. The Land Titles Office retains the Crown lease at its office. The Registrar-General will then issue the purchaser a certificate of title. Under the Districts Act 2002 (ACT), parcels of land are defined by their block, section and division. Rural properties may refer to their District rather than Division.

See Form and content of certificates of title and the folios of the register.

As Torrens title is “title by registration”, the faster the interest in a parcel of land is registered, the less the risk there is of another interest being registered before you. Having said that, Torrens title cannot be compromised because of some defect in the history of the title and a party cannot be disadvantaged because of fraud by another party. Accordingly, the NSW Government guarantees the safety and indefeasibility of the Torrens title. To assist with the guarantee, the Torrens Assurance Fund was established to provide compensation if you are deprived of your registered interest in a parcel of land as a result of fraud or as a result of an omission or error by the LPI in connection with the register.

The same applies in Victoria, Queensland and Tasmania, except the fund is administered as part of the Consolidated Fund of the state government.

In Western Australia, damages and costs to be paid by the state under the compensation provisions (s 201 of the Transfer of Land Act 1893 (WA)) are to be charged to the “Consolidated Account”.

In South Australia, an Assurance Fund has been established under Pt 18 of the Real Property Act 1886 (SA) and persons are entitled to claim compensation from the Fund for loss and damage suffered because of:

• fraud of another person;

• an error in bringing land under the Act;

• the incorrect registration of another person as proprietor; or

• any error, omission or misdescription on the register book.

The situation in the Northern Territory is similar to the other states. Indefeasibility of title is attained once an interest in relation to land is registered, although the Land Title Act (NT) does allow for compensation where a person is deprived or suffers loss or damage to his or her interest in land as a result of fraud, an incorrect creation of indefeasible title, or tampering with the land register, among other grounds: ss 192–196 of the Land Title Act (NT). However, such a claim for compensation must be made to the Supreme Court, rather than to a fund administered by the Land Titles Office. Under s 194 of the Land Title Act (NT), a person must apply to the Supreme Court for an order regarding the amount of compensation (which is then payable by the territory) and to direct the Registrar-General to take state action.

There is no equivalent of the Torrens Assurance Fund in the ACT.

See Fraud and the Torrens Assurance Fund.