Land Registry Removing a restriction

Laura_Bean · 2 May 2018 at 8:14PM

Hi

We are currently in the process of selling our house. We have come across a restriction that says:

The restriction is as follows:
(24.09.2010) RESTRICTION: No disposition by the proprietors of the registered estate is to be registered unless one or more of them makes a statutory declaration or statement of truth, or their conveyancer gives a certificate, that the disposition is in accordance with the Declaration of Trust dated the 7th June 2010 or some variation thereof referred to in the declaration, statement or certificate.

The situation at the time of the declaration was that we bought the house off my husband's mum. His sister negated interest in the property but the declaration advised that there was an agreement we would eventually give her some money as she would have had an interest in the house. She has since been paid and has no interest. However the issue is our previous solicitor has lost/destroyed this declaration. And as her name is not mentioned in the restriction it isn't as simple as getting her to confirm this is no longer required.

Is a rx3 or rx4 form required here? And will this be easy to remove? Our new conveyancers seem to struggling to find a solution but old solicitor has advised one of these forms is suffice. If so how long does this take to remove as I fear we would loose interest from our buyers due to the time it is taking to get resolved.

Please advise
Thanks
Laura

G_M · 2 May 2018 at 8:26PM

Edit your post.

Select 'Go Advanced'.

Then add the words 'Land Registry' into the Title.

The LR rep will then pick it up and respond.

da_rule · 2 May 2018 at 10:12PM

You are the proprietors (owners) of the property I assume?

If so, one of you can provide a statutory declaration or statement of truth to the buyer saying that the conditions in the declaration of trust has been complied with.

The buyer can then submit this to the Land Registry when they register the transfer and can also apply for the restriction to be removed at the same time.

Laura_Bean · 3 May 2018 at 6:59AM

Yes we are the proprietors. Would we not have to remove this ourselves then? And would it not matter that nobody can confirm what is in the declaration just as long as we confirm this no longer stands?

Thanks for the reply

Land_Registry · 3 May 2018 at 9:01AM

RX3 plus supporting evidence, such as a statement of truth/stat dec as da_rule mentions would be needed.

You need to demonstrate how the trust, which the restriciton is protecting, has come to an end so the restriction is no longer needed.

Although the buyer may be happy to accept an RX3 plus evidence which they then submit with their purchase I suspect they won't.

Such applications will normally be considered within 2/3 weeks of receipt. If all in order they are then completed. The key to this one being 'in order' I suspect will be linking the stat dec/statement of truth to what the declaration of trust stated and was for and how that has been satisfied.

Laura_Bean · 3 May 2018 at 2:04PM

Thanks
Would you recommend we ask our sister in law to sign something to say the declaration is no longer required or would this be pointless as her name is not on the restriction? Our solicitors seem to be reluctant in agreeing to submit these forms or just being very slow in confirming this is the route we go down. Can we just submit them ourselves? Any way these can be fast tracked for an additional fee as people in the chain are questioning the length of the process.thanks Laura

Tiglet2 · 3 May 2018 at 7:24PM

Did you not keep a copy of the Declaration of Trust? I would have expected your solicitor at the time advising you to keep the document with your records for safe keeping because Land Registry don't keep them, they only note that there is a Declaration in place on the title. We recently re-mortgaged and had a submit a copy of our Declaration of Trust to the new mortgage company, as they class re-mortgaging as a disposition.

I do think your sister in law will have to do a Statement of Truth or similar, with evidence to prove that she was paid and no longer requires the restriction in place. An RX3 removes a restriction, but the accompanying evidence will have to demonstrate to Land Registry that there is no longer a need for the restriction to remain in place.

I very much doubt the buyer's solicitor will recommend going ahead until the restriction has been removed and updated title deeds provided to them. It very much is something your solicitor will have to do, though they may add some additional fees for the extra work. As stated above, because you are currently selling, you may be able to get the process at Land Registry expedited.

Laura_Bean · 3 May 2018 at 8:09PM

Thanks. Unfortunately our solicitor at the time stated she held the copy back in 2010 but I have tracked her down recently and she advised as the time has lapsed 7 years the declaration would have been destroyed. If we had known how vital this was at the time we would have ensured we had a copy for our own records. Being young 1st time buyers at the time we were a bit clueless!

My solicitor now is taking a a while to decide what action to take so trying to get things in place like the statements just in case we need it. Is there a charge for the rx3 do you know?

Land_Registry · 4 May 2018 at 2:09PM

Laura Bean there's no fee for an RX3 and no fee for expediting an application. Expedition is based solely on the circumstances.

My concern is that no application has been lodged yet and that's unusual in my experience but presumably your solicitor can explain why

The key from our perspective is that we know why the restriction was registered as the form RX1 submitted confirms that so we know who was involved. As such confirmation from your the named individuals, inc SIL, seems the right way to go. I suspect the solicitor's uncertainty is around not knowing what the declaration actually said. The only way to fill in some of those blanks is to check what details we do have, inc a copy if the RX1 used for example - may help but only your solicitor can help there

Note - conscious that you have also contacted us directly via our online forum so trying to match comments between two.

Until we receive an application of course it's all hypothetical but on face of the details posted you should be able to apply. Until someone does I very much doubt the buyer will proceed but again very much up to them if course

Laura_Bean · 9 May 2018 at 8:45PM

Thanks. Our solicitors have confirmed today that they are in the process of sorting statements for myself and my husband to sign. I have said that you have advised for my sister in law to also sign this. Would they have access to the rx1 you mention? Is there any way I can see this document? Hopefully an application to get this removed is submitted soon as our buyers are very keen to get this sorted asap as are we. Thanks Laura

Land_Registry · 10 May 2018 at 6:01AM

Laura_Bean wrote: »

Thanks. Our solicitors have confirmed today that they are in the process of sorting statements for myself and my husband to sign. I have said that you have advised for my sister in law to also sign this. Would they have access to the rx1 you mention? Is there any way I can see this document? Hopefully an application to get this removed is submitted soon as our buyers are very keen to get this sorted asap as are we. Thanks Laura

Laura a form RX3 (not RX1) is the application form that is completed and submitted along with the supporting evidence. It's simply a form that states who the applicant is asking us to cancel the restriction.

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Land Registry Removing a restriction

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