Land Registry
Also see: Absolute Title
Short Answer
A registration system whereby the existence and evidence of interests in land, including but not limited to ownership, may be recorded. Two land registry systems currently operate in Ontario: the Registry System and the Land Titles System.
Definition
At its simplest conceptual basis, a land registry is a public record of land ownership. The highest and best form of land ownership in Canada is a “fee simple” interest in land, which is the same as “owning” a piece of land in its colloquial sense, typically represented by a registered “deed”. There are a number of lesser interests in land (e.g., a right-of-way or a mortgage) and other informational documents (e.g., a survey) that may also be registered in a land registry for a property.
The Registry System is the older of two systems of land registry in Ontario. It is currently (and for many years has been) in process of being retired and replaced by the new and improved Land Titles System. While both systems allow an owner to record their ownership, they differ fundamentally when comes to the effect of registration.
Under the Registry System, any individual can register a document that purports to transfer, grant or convey an interest in land regardless of whether they are legally entitled to do so. It follows then that the act of registration has no effect on actual and legal ownership unless it was registered by the “true owner”. On this basis, the Registry System can be thought of as a depository of land related documents. Purchasers of land also have the onerous task of sorting and verifying the validity of each registration to ensure they will obtain “good title” to the land being purchased or against which a charge (e.g., mortgage) is being registered. Being overly complicated and the cause of much uncertainty in land transactions, the decision was made to transfer all lands recorded under the Registry Act to the Land Titles System.
Under the Land Titles System, the Ontario provincial government guarantees that the individual(s) shown as the registered owner of land is(are) the legal owner(s), with few qualifications. Accordingly, should an individual wish to register any type of instrument that affect the ownership of land, that individual must also submit evidence demonstrating that he is entitled to make that registration.
Both the Registry System and the Land Titles System are jointly administered by the Ontario Land Registry Office for each geographic area, which fall under the direction of the Ministry of Government Services.
It is a prerequisite to the registration of a condominium over certain lands that title to the lands be registered under the Land Titles System with “absolute title” status where possible or, in areas where the Registry System operates exclusively, have an equivalent certification as to the validity of title.
The Registry System is the older of two systems of land registry in Ontario. It is currently (and for many years has been) in process of being retired and replaced by the new and improved Land Titles System. While both systems allow an owner to record their ownership, they differ fundamentally when comes to the effect of registration.
Under the Registry System, any individual can register a document that purports to transfer, grant or convey an interest in land regardless of whether they are legally entitled to do so. It follows then that the act of registration has no effect on actual and legal ownership unless it was registered by the “true owner”. On this basis, the Registry System can be thought of as a depository of land related documents. Purchasers of land also have the onerous task of sorting and verifying the validity of each registration to ensure they will obtain “good title” to the land being purchased or against which a charge (e.g., mortgage) is being registered. Being overly complicated and the cause of much uncertainty in land transactions, the decision was made to transfer all lands recorded under the Registry Act to the Land Titles System.
Under the Land Titles System, the Ontario provincial government guarantees that the individual(s) shown as the registered owner of land is(are) the legal owner(s), with few qualifications. Accordingly, should an individual wish to register any type of instrument that affect the ownership of land, that individual must also submit evidence demonstrating that he is entitled to make that registration.
Both the Registry System and the Land Titles System are jointly administered by the Ontario Land Registry Office for each geographic area, which fall under the direction of the Ministry of Government Services.
It is a prerequisite to the registration of a condominium over certain lands that title to the lands be registered under the Land Titles System with “absolute title” status where possible or, in areas where the Registry System operates exclusively, have an equivalent certification as to the validity of title.
What you need to know…
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...as a Unit Owner
When purchasing a condominium unit, the lawyer assisting the purchaser should obtain a copy (abstract) of the parcel register from the relevant Land Registry Office. The parcel register will indicate in a summary form the names of the current owner(s) of the unit, the proper legal description of the unit, the servient and appurtenant interests and whether there are any registered encumbrances, such as mortgages or condominium liens. It will also provide the information needed to obtain copies of the documents evidencing such interests. A unit owner who suspects something (such as a Certificate of Lien) has been registered against title to his/her/its unit can also obtain a copy of the parcel register at any time (generally with the assistance of a lawyer who has electronic or other access to the Land Registry System) to review the status of title. A registered document the owner determines is improper may be found to be a “cloud on title” that requires rectification in order to transfer title to the unit, or register a new mortgage, with “good title”. |
…as a Board Member or Manager
Sometimes boards of directors and property managers of condominiums are not informed of who owns a unit. This can be the case, even where Section 47(2) record information has been provided. Knowing the correct identity of the owner(s) is essential for many regular procedures under the Condominium Act, 1998, and perhaps most importantly for correct notification of a condominium lien. The registered owner of a condominium unit may be determined by accessing the parcel register for the unit that is maintained by the Land Registry Office for the area. The corporation will generally need the assistance of a lawyer who has electronic access to the registry system to obtain this information. |
…as a Declarant
There are many stages in the process of development of a condominium property in which access to land registry information is relevant, including acquisition, registration of construction financing, registration of site plan and condominium development plan agreements, preparation and registration of the condominium declaration and description and transferring units or POTLs to purchasers. The assistance of lawyers, surveyors and/or planners will be essential to help ensure the correct information is obtained for the correct purposes at the appropriate times in all these processes. The majority of lands in southern Ontario are registered under the Land Titles System with a title status of Land Title Conversion Qualified (LTCQ), which is insufficient for the registration of a condominium. Therefore, a declarant proposing to register a condominium on a property with a LTCQ title must first convert title to the lands to the status of Land Title Absolute Plus, which is a form of absolute title. This conversion process is explained in more detail under the Condopædia entry for Absolute Title. |