Legal practitioners and conveyancers now more than ever, need to consider quality and risk management frameworks for operating in the digital age.
With all of the focus on PEXA right now, it is easy to forget that underlying the new technology for settlement and lodgement lays a new compliance framework for property transactions.
This development is more than a technology platform. It is a network working together in an electronic environment governed by the regulatory framework agreed by all of the Registrars at ARNECC and signed off in consultation with industry.
In signing up for PEXA, you need to already be able to comply with the Model Participation Rules (MPR) at the time of applying to be a Subscriber, comply with the Participation Rules whilst being a subscriber and continue to comply with certain Participation Rules even after ceasing to be a Subscriber. This is Clause 3 in the MPR.
In working with many conveyancing professionals around the country, there are varying degrees of awareness of the MPR even among those who are already transacting, and that is a little concerning.
The reason the MPR exists is to ensure that the trusted network of participants can have confidence that everyone is doing their part to keep the system safe and ensure that the integrity of the land registries, that we all rely on, is maintained.
"No matter where you are on the path - the time to be familiar with your compliance obligations and how you are implementing them in your business to the highest quality, is now."
Head of Industry Development, SAI Global Property
So what does this mean on a practical basis, how you do this? Where do you start?
We have produced a video which gives you a very basic way of understanding how to break down the requirements from the rules into Policy, People and Process through the application of a couple of examples. By breaking it down this way, you can start to identify what needs to be reviewed and the decisions that need to be made to start supporting the changes your business will need in adopting the new technology, or if you are in Victoria - for paper as well from 1 January 2018.
We discuss a methodology that we have been using at SAI Global Property for managing our quality and risk management policies and procedures for many years and which has helped us to continuously improve and scale so that we can handle massive volumes across a national business.
We highly recommend that law firms and conveyancing practices explore the foundation courses for ISO9001 and ISO3100 (Risk Management) as a quick way to understand whether it is suitable for your business to handle this new regulatory framework.
It is incredibly important you understand this new compliance regime and pull together a plan for how you are going to show compliance and implement it actively throughout your business.
Please watch our video in which Amanda Baker discusses how the ARNECC resources can assist you in preparing your policies, people and processes for electronic conveyancing. Also, find out more about how management system frameworks can help your business adapt to change.