Key Risk Checklist: Electronic property transactions

18 December, 2017
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Electronic property transactions – matter checklist

☐  Is there an electronic transaction clause in the contract?

☐  Discussed with the client whether the conveyance can be done electronically or on paper.

– Land Use Victoria has announced that all transaction will be electronic by August 2019.

☐  Client told consequences of conducting electronically. Any paper title needs to be:

  • destroyed ie shredded or
  • made invalid by perforating the title or stamping it with the words ‘no longer valid’.

☐  Client’s instructions about dealing with paper title recorded in writing.

☐  Client authorisation form signed and a copy on file.

– See ARNECC MPR Guidance Note #1 Client Authorisation and schedule 4 of the MPR.

☐  If the title is paper and the transaction will not be conducted electronically, has:

  • any mortgagee been told that paper title(s) are required or
  • the client agreed to convert the paper title to an eCT.

☐  If the title is electronic and a paper title is required, has the Land Use Victoria nomination request for paper titles and Administrative Notice for an eCT been actioned well prior to settlement. See Land Use Victoria Guide to Certificates of Title and Administrative Notices.

☐  Client identity verified in accordance with the new / existing client firm policy.

☐  Where the firm controls the eCTs, it is noted in the firm’s register.

☐  Paper title dealt with in accordance with client instructions and office policy.

☐  Digital signature holder checked all information on PEXA is correct, including who signed the transfer, before certifying.