Authority Updates - Victoria - September 2016

Introduction of Priority Notices

Introducing Priority Notices

Priority notices will be introduced in Victoria in December 2016.

Land Victoria is currently developing a comprehensive guide for customers about the use of priority notices. 

The following information is an introduction.

A priority notice is notification of an intended dealing or dealings with land, which is lodged with the Registrar of Titles at Land Victoria. Once recorded, a priority notice will temporarily prevent 
registration of any other dealing over the cited folio. A priority notice will not prevent recording of an instrument that does not require a supporting Certificate of Title (for example caveats, warrants and land tax charges).

A priority notice can apply to all instrument types and will:

  • protect the interests of parties to an intended instrument or transaction, from the time the priority notice is lodged until that instrument or transaction is lodged
  • alert interested parties who search the Register that an intended instrument or transaction is pending
  • assist in fraud prevention because details of an intended instrument or transaction will appear on a search of the Register.

Requirements of a priority notice

To have effect, the information in the priority notice must be accurate and complete.

Amendments or corrections to lodged priority notices will not be permitted. If necessary, the priority notice can be withdrawn and a new priority notice lodged in its place.

When the intended instrument or transaction is lodged, it must match the details contained in the priority notice; otherwise, the intended instrument or transaction will not be registered or recorded.

All instruments cited in the priority notice must belong to the same transaction and be set out in order of lodgement.

There will be neither provision in the priority notice to cite particular instruments to 
which the applicant consents, nor a mechanism for the applicant to provide consent to subsequent instruments.

Priority notices must be lodged using an ELN, irrespective of whether the intended instrument or transaction will be lodged in paper or electronically. 

A subscriber to an ELN can lodge on behalf of a registered proprietor or any incoming party. 
 
Duration of a priority notice

Priority notices will be effective for 60 calendar days from the day after the date of lodgement. 

A priority notice: 

  • will automatically expire when the intended instrument or transaction is registered, or at midnight on the 61st calendar day from the day the priority notice is lodged (whichever is sooner),
  • will cease to have effect upon its withdrawal - it must be withdrawn by the subscriber who lodged it
  • can be removed by a court order.

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Disclaimer: The information herein has been prepared by SAI Global Property Division Pty Ltd ACN 089 586 872 from information released by the Authority cited on this page. It is provided as general background information only; it is not complete; and it does not comprehensively address this subject matter. Readers should not consider the information so provided as advice nor as a recommendation to take any particular course of action. Persons needing advice should consult their own solicitor, accountant or other professional adviser.