TIPS FOR PRACTITIONERS · only the vendor will sign the memorandum of transfer going forward -...
Transcript of TIPS FOR PRACTITIONERS · only the vendor will sign the memorandum of transfer going forward -...
TIPS FOR
PRACTITIONERS
DEEDS AND TRANSFERS UNDER THE RPA
Fraud in conveyances and transfers of property under the rpo is increasing and attorneys should be cautious in reviewing deeds and transfers which constitute the title to a property before certifying title.
There are Several examples of questionable activities being observed by attorneys conducting property transaction and I have compiled examples of what can be referred to as “red flags” that have appeared consistently in questionable deeds and transfers as well as in deeds which have been the subject of judgments and orders that direct the registrar general to expunge the deed/s from the land registry.
In reviewing the title to a property or properties for the purpose of certifying title do not rely on a list of deeds which constitute the title to the property.
Insist that your search clerk obtain a copy of each deed comprised in the title and ensure that you have a copy of every page of the deed inclusive of the signature page.
If pages are missing ask your search clerk to obtain same or explain why the pages are missing.
Make a list of the deeds you have obtained and list the names of the parties in each deed as well as the attorney who prepared the
deed to ensure there is continuity in the title
Eg
Deed 1234 of 1999 john doe to mary smith
Deed 2345 of 2001 mary smith to harry potter
Deed 3456 of 2006 harry potter to Winnie walker
CHECK THE NAME AND ADDRESS OF THE ATTORNEY WHO PREPARED THE DEED
VERIFY THAT THE ATTORNEY IS A BONA FIDE ATTORNEY AND
THE ADDRESS OF THE ATTORNEY IS A VALID ADDRESS
THIS DEED WAS PREPARED BY ME
JOHNNY BRASHATTORNEY AT LAW
CARPE DIEM & CO
IS THIS A VALID ADDRESS??? 34 GRANGER STREET
SIPARIA
Ask yourself :-DO YOU KNOW THIS ATTORNEY ???
IF NO - CHECK WITH LAW ASSOCIATION to confirm S/he is an attorney on the roll of attorneys
- ASK OTHER ATTORNEYS IF THEY KNOW HIM /HER AND OBTAIN HIS / HER CONTACT INFORMATION
- VERIFY THE OFFICE ADDRESS ON THE DEED BY ASKING OTHER ATTORNEYS IN THE AREA
IF YOU KNOW THE ATTORNEY CALL OR WRITE ATTORNEY TO VERIFY S/HE EXECUTED THE DEED
IF YOU CANNOT LOCATE THE ATTORNEY CONSIDER WHETHER ATTORNEY IS ALIVE
OR IF WAS S/HE ALIVE WHEN THE DEED WAS EXECUTED
- CHECK THIS INFORMATION WITH LAW ASSOCIATION AND OTHER ATTORNEYS FROM THE SAME AREA.
ALSO CHECK IF THE ATTORNEY REGISTERED WITH THE FIU – THERE IS A LIST OF REGISTERED ATTORNEYS ON THE FIU WEBSITE.
IN REVIEWING THE DEEDS IN YOUR SEARCHES CONSIDER ALSO :-
- THE ADDRESS OF THE VENDOR, - THE LOCATION OF THE PROPERTY AND - THE ADDRESS OF THE ATTORNEY PREPARING THE DEED.
ARE THE VENDOR AND THE ATTORNEY PREPARING THE DEED LOCATED IN SIMILAR AREAS OR AREAS IN CLOSE PROXIMITY
JANE DOE LIVES IN CHAMPS FLEURSPROPERTY IS IN CHAMPS FLEURS SHE HAS RETAINED AN ATTORNEY FROM LA BREAWITNESS TO DEED IS FROM ARIMA.
SIGNED AND DELIVERED BY THE )
WITHIN NAMED JANE DOE AS )AND FOR HER ACT AND DEED ) J.Doe
IN THE PRESENCE OF )
Special Witness25 Brick Lane
ARIMA
AND OF MEActive Advocate
ATTORNEY AT LAW
IF THE VENDOR IS IN AN AREA WHICH IS FAR AWAY FROM THE ATTORNEY’S OFFICE, CONSIDER WHY THE VENDOR WOULD HAVE TRAVELLED SUCH A DISTANCE TO HAVE A DEED PREPARED
ALSO CONSIDER THE ADDRESS OF THE LAW CLERK. IT IS NOT UNUSUAL FOR A LAW CLERK TO LIVE IN SAN FERNANDO AND WORK IN PORT OF SPAIN, BUT CONSIDER WHETHER SOMEONE FROM POINT FORTIN WOULD WORK IN ARIMA – FOR EXAMPLE
VERIFY WITH THE PREPARING ATTORNEY WHETHER THE LAW CLERK RESIDED SO FAR AWAY
NEXT CONSIDER THE SIGNATURES TO THE DEEDS
ARE THE SIGNATURES OF BOTH VENDOR AND PURCHASER AVAILABLE
CAN YOU DO A COMPARISON OF SIGNATURES ON ONE DEED WITH SIGNATURES ON ANOTHER DEED?
IS THE SIGNATURE OF THE VENDOR IN YOUR TRANSACTION ON HIS/HER DEED AND CAN YOU DO A COMPARISON WITH HIS/HER ID/DP/PP?
Attorneys are not handwriting experts so this exercise is to determine whether you have doubt about what you have seen
If you have doubt about the signatures
- Request the attorney who prepared the deed with the questionable signature to provide any form of id s/he may have had at the time of execution
- Enquire whether the signatory experienced any medical issues which may have affected their signature eg an accident or a stroke
- Enquire about the age of the signatory – were they much younger when the executed the first deed? Eg they signed one deed at age 30 but signed the second deed at age 60
DEEDS WITH NO COVENANTS
ARE USUALLY SIGNED BY THE VENDOR ONLY
THERE ARE NO SIGNATURES OF THE PURCHASER TO USE AS COMPARISON WHEN PURCHASER IS SELLING.
NO SIGNATURE ON DEED TO COMPARE WITH HIS / HER ID / DP / PP so comparisons are not possible
GOING FORWARD – CONSIDER LETTING ALL PARTIES SIGN DEEDS
DEEDS EXECUTED IN ESCROWTHERE SHOULD NOT BE A LONG PERIOD BETWEEN THE TIME WHEN THE DEED WAS
EXECUTED IN ESCROW AND WHEN IT WAS RELEASED OUT OF ESCROW.
RED FLAG:-WHERE THERE IS A LONG PERIOD OF TIME BETWEEN EXECUTION OF THE DEED AND
DATE DEED IS RELEASED OUT OF ESCROW / REGISTERED
WHERE THERE IS A LONG PERIOD WRITE TO THE ATTORNEYS INVOLVED AND ENQUIRE ABOUT THE LONG PERIOD.
IS THERE A SATISFACTORY EXPLANATION?
I CERTIFY THAT THIS DEED WAS
EXECUTED IN ESCROW ON THE
16TH DAY OF NOVEMBER 2010 PENDING FULL PAYMENT OF THE
PURCHASE PRICE WHICH WAS
PAID ON THE 22ND JUNE 2015
ABLE ADVOCATE
ATTORNEY AT LAW
I CERTIFY THAT THIS DEED WAS
EXECUTED IN ESCROW ON THE 19TH
DAY OF DECEMBER 1995 PENDING
FULL PAYMENT OF THE PURCHASE
PRICE WHICH WAS PAID ON THE
2ND DAY OF JULY 2015
ABLE ADVOCATE
ATTORNEY AT LAW
RED FLAG –LONG PERIOD OF TIME BETWEEN PAYMENT OF STAMP DUTY AND
REGISTRATION
CHECK 1. THE DATE ON WHICH STAMP DUTY WAS PAID2. THE DATE OF REGISTRATION3. THE ATTORNEY – VERIFY ATTORNEY EXECUTED DEED, WAS ALIVE
WHEN DEED EXECUTED.
IF SEVERAL MONTHS OR YEARS HAVE LAPSED BETWEEN THE “STAMPING” OF THE DEED AND THE “REGISTRATION” OF ENQUIRE
ABOUT THE REASONS FOR DELAY.
INFORMATION ABOUT DATE ON WHICH STAMP DUTY IS PAID AND DATE OF REGISTRATION IS NOT RECORDED ON CERTIFICATES OF TITLE so
check the memorandum of transfers(this also applies to signatures, escrow clauses, stamp duty /
registration)
ONLY THE VENDOR WILL SIGN THE MEMORANDUM OF TRANSFER
GOING FORWARD - CONSIDER WHETHER ALL PARTIES SHOULD SIGN RPO DOCUMENTS EVEN THOUGH THE ACT DOES NOT REQUIRE THIS.
RED FLAG - PAYMENT OF BIR STAMP DUTY REFLECTED VIA RUBBER STAMP AND NOT BAR CODE STICKER
- THE BIR STOPPED USING RUBBER STAMPS (APPROXIMATELY 2013)- PAYMENT OF STAMP DUTY IS REFLECTED VIA A BAR-CODED STICKER EVEN STAMP DUTY IS NIL.- CHECK WITH BIR WHETHER THE RUBBER STAMP AFFIXED WAS PRIOR TO OF AFTER THE INTRODUCTION OF THE BAR CODED STICKER- IF THE STAMP IS VALID ENQUIRE WHETHER THE SIGNATURE ON
THE STAMP IS VALID
RED FLAG BIR STAMPS APPEAR TO BE SIGNED BY THE SAME PERSON ALTHOUGH STAMP IS ON DIFFENT
DEEDS IN THE TITLE AND DATE ON STAMP IS IN DIFFERENT YEARS
CHECK WITH BIR AS TO VALIDITY OF STAMP
RED FLAG BE AWARE OF ANY DISCREPANCIES IN HOW DEEDS FORMING TITLE
WERE EXECUTED
EG 1ST DEED IN TITLE :- SIGNED BY VENDOR AND PURCHASER BUT YOU SUBSEQUENTLY DISCOVER VENDOR WAS DEAD AT DATE OF EXECUTION
2ND DEED IN TITLE – RECTIFICATION - NOT SIGNED BY VENDOR BUT SIGNED BY PURCHASER ONLY
CHECK IDENTIFICATION DOCUMENTS CAREFULLY
WHEN IN DOUBT MAKE ENQUIRIES BUT ERR ON THE SIDE OF CAUTION
THE EBC WILL NOT PROVIDE WRITTEN CERTIFicATION OF THE VALIDITY OF THE ID CARD
THE COMMISSIONER OF TRANSPORT WILL NOT PROvide WRITTEN CERTIFICATION OF A DP TO A THIRD PARTy. ASK THE HOLDER OF THE DP TO OBTAIN THAT CERTIFICATION
CONDUCT DUE DILIGENCE ON IDENTIFICATION. FAILURE TO DO SO COULD BE TANTAMOUNT TO NEGLIGENCE
KEEP EBC INFORMATION HANDY TO VERIFY ID CARDS BEING PRESENTED
THE MINISTRY OF WORKS HAS AN ONLINE VERIFICATIONSYSTEM BUT THERE IS A DISCLAIMER WHICH INCLUDES:-
“Use of the information and data contained within this site or these pages is at your sole risk.
If you rely on the information on this site you are responsible for ensuring by independent verification its accuracy, currency or completeness.”
CONCLUSION
WHEN CERTIFYING TITLE:-- CHECK THE DEEDS CAREFULLY- VERIFY ALL INFORMATION PERTAINING TO THE PARTIES IN THE
DEEDS AND MORE PARTICULARLY THE VENDOR’S DEED/S- CHECK DATE OF DEED, DATE OF STAMP DUTY, DATE OF
REGISTRATION, ECROW CLAUSES- CHECK BIR INFORMATION- ERR ON THE SIDE OF CAUTION- MAKE INDEPENDENT ENQUIRIES- SEEK GUIDANCE FROM COLLEAGUES
THE END.