ELECTRONIC CONVEYANCING SYSTEM IN SOUTH AUSTRALIA
What is electronic conveyancing?
The term ‘electronic conveyancing’ refers to a conveyancing transaction where practitioners have elected to settle electronically through the electronic platform provided by Property Exchange Australia Limited (PEXA). The representatives of the parties and their financiers participate in an electronic workspace, where:
- registry instruments are prepared and electronically signed (transfer, mortgage, discharge/release of mortgage);
- duty may be paid as a settlement disbursement;
- the balance of the purchase money and its disbursement are agreed;
- the documents to be lodged for registration are checked pre-settlement at the Lands Titles Office (LTO);
- at the agreed settlement date and time, provided the documents are in order for registration, the balance of purchase money is paid and proceeds of settlement are disbursed; and
- the relevant registry instruments are electronically lodged for registration (which usually follows that same day).
Electronic conveyancing does not cover the whole of the conveyancing transaction; just the preparation for and execution of settlement and registration. In relation to the settlement itself, the platform is essentially a virtual settlement room.
The regulatory framework
The principal legislation is the Real Property (Electronic Conveyancing) Amendment Bill 2015 amending the Real Property Act 1886 (SA). The amending Act and the launch of Electronic Conveyancing in South Australia will commence on Monday, 4 July 2016. See below for more information.
The further piece of legislation is the Electronic Conveyancing National Law (South Australia) Act 2003.
Two sets of Rules have been made pursuant to the ECNL:
- the Model Participation Rules (MPR), which govern the relationship between the electronic lodgement network operator (ELNO) and participants in the system, such as lawyers; and
- the Model Operating Requirements (MOR), which govern the relationship between the ELNO and the land title registries.
- The activities and responsibilities of lawyers choosing to use electronic conveyancing are primarily governed by the ECNL and the MPR, but it should be noted that further refinements of the MPR and MOR are continuing.
Once adopted by a particular jurisdiction, the MPR and the MOR become the Participation Rules, and the Operating Requirements, respectively. Not all jurisdictions have the same version of these requirements and rules operating at the same time - it depends upon the system readiness, the timing of the PEXA roll-out in that jurisdiction and the process of adoption in that jurisdiction.
In SA, version 4 of both MPR and the MOR have been adopted by the SA Registrar-General and commenced operation on 27 May 2017.
Guideline for legal practitioners - Electronic conveyancing and what it means for your trust account and law practice, click here.
Standard Property Documents
Click here to access or find more information about the Standard Property Documents.
Property Exchange Australia (PEXA)
What is PEXA? PEXA is a property exchange network that allows secure, online lodgement and Financial Settlement
How PEXA works
Click here for PEXA registration
Verification of Identity (VOI)
Lands Title Office VOI checks in NSW
Verification of Authority (VOA)
Please refer here
for further information and the updated Verification of Authority Guidelines.
Please refer here
for further information on Client Authorisation.
Australian Institute of Conveyancers (SA)
Australian Registrars National Electronic Conveyancing Council (ARNECC)
Model Operating Requirements (MOR)
Model Operating Requirements Guidance Notes
Model Participation Rules (MPR)
Model Participation Rules Guidance Notes
Property Exchange Australia Ltd (PEXA)