Amalgamations and "Add To" Applications (FA/VA/TA)
| Table of Contents |
|---|
This page contains additional information about amalgamations. For the Process Steps which detail how to undertake an amalgamation, see Amalgamations.
Introduction
Amalgamation is the process whereby all or part of a plot in two or more separate registered titles, which come under the same ownership, are combined within a single cadastral unit with a single title sheet. Amalgamation can be desirable for a variety of reasons (e.g. additional garden ground acquired by the proprietor of a house might be amalgamated with the house plot cadastral unit, or several plots, each with their own individual cadastral units, being developed by a builder might be amalgamated into a single cadastral unit with a single title sheet to assist in the processing of transfers of part).
Amalgamation can involve live applications (first registrations, transfers of part or dealings with whole or any combination of these) and can take place at any time during the registration process. Amalgamation can also take place when there are no live applications. Where possible it is more convenient for amalgamation to take place where there is a live application(s) and at an early point in the registration process, as this reduces the amount of work involved at the plans and legal settle stages. If a requirement is identified at intake stage by way of a request from the agent for the applicant or registered proprietor to combine the plot or share in the plot with an existing registered plot, and the request is feasible the intake officer will create an application that "adds" the plot to the existing title sheet and the plans settler will add the plot to the existing cadastral unit for the registered plot.
Amalgamation is an optional process that can be completed at the Keeper's discretion or by way of a request from the agent for the applicant or registered proprietor. The process of amalgamation should not be confused with the process of absorption whereby a lower interest merges into a higher interest which occurs automatically as a consequence of registration (e.g. the renunciation of a lease).
Statutory Authority to Amalgamate
Section 13(2)(a) of the Land Registration etc. (Scotland) Act 2012 permits the Keeper to combine cadastral units and section 13(4) requires that the Keeper must make such changes to the register as are necessary as a consequence of this. The effect of section 13(2) is that the Keeper has full power to amalgamate plots or shares in a plot into a single cadastral unit from the time that the respective plots have entered the Land Register.
Registration Fees
There is no provision within the current fee order to charge an additional fee for amalgamating titles. Accordingly if there are no live applications against the separate title sheets, amalgamation will only be considered where there are clear benefits to be realised by RoS as a consequence of the additional work.
Where the agent has submitted an application for registration with a request for amalgamation, and this has been overlooked at intake stage, resulting in a new separate title being created, then the amalgamation will be undertaken at the plans/legal stage, if feasible, without charging an additional fee.
No fee is chargeable when an application to amalgamate has been refused by the Keeper.
Plots Owned in Common
Section 12 of the 2012 Act states that a cadastral unit is a unit which represents a single registered plot and the same area of land cannot be represented by more than one cadastral unit. The Keeper must create a single cadastral unit for all plots, including where a plot is owned in common, unless the transitional provisions apply.
The transitional provisions in schedule 4 of the 2012 Act permit the Keeper to complete the registration of a common area which was included in existing title sheets prior to the designated day by including the common area in the new title sheets. This is the only exception to the requirement that the plot of land must be represented by a single cadastral unit.
Where transitional provisions apply, any additional shares in a common area can continue to be to included in new title sheets.
Where transitional provisions do not apply a plot owned in common will either be an ordinary plot or will be designated a shared plot. In either case the common area plot will be represented by a single cadastral unit.
Where transitional provisions do not apply and the first share in a plot was registered after the designated day the registration of any additional shares in a plot will be automatically added to the existing registered title sheet for the plot. The procedures that apply will depend on whether the registered plot is an ordinary plot or a shared plot.
Where transitional provisions do not apply and it is apparent at intake that the share being conveyed is an unregistered share in a registered ordinary plot an FA or VA application should be created to add the additional share to the existing ordinary plot title sheet. However, it may not always be apparent at intake stage that the common area is a registered ordinary plot and a VR or FR application may have been created on LRS. The fact that the common area is an existing registered ordinary plot will be identified at the plans settle stage at which point the VR/FR application must be amalgamated into the existing title sheet for the ordinary plot. None of the normal amalgamation considerations are required and no consent is required by the agent, but the agent must be informed as soon as the amalgamation has been completed on LRS.
Where the application undergoing registration transfers title of a registered share in an ordinary plot, a DW application should be created on LRS for the ordinary plot. This should be identified at intake stage as it a is a requirement under the conditions of registration that the deed must make reference to the title number of the existing registered ordinary plot.
Where the common area has been designated a shared plot, special considerations are required as to the application type that should be created on LRS and only in limited circumstances is an application created for the shared plot title. Special considerations are also required where an amalgamation request is received from an agent involving sharing plot titles and any such amalgamation cases should be referred to a senior adviser for further consideration.
Preliminary Considerations
Ideally, the requirement to amalgamate should be requested by an agent submitting an application. Any such request should be dealt with at intake stage and, if feasible, an "add to" application should be created (VA/FA/TA), as this reduces the administration and costs associated with the process. It should be noted that no different application forms are required to create an “add to” application.
If the amalgamation request is identified at intake stage in relation to a DW application submitted for registration then an "add to" application is not appropriate. In this case the DW application should be created at intake stage as normal and then the application(s) should be referred to the authorising officer who will arrange for the creation of any further TU applications, if necessary, and will arrange for the amalgamation on DMS and LRS. If it is necessary to create a TU application to access an existing title then no fee will be charged.
As there is no provision in the current fee order to charge an additional fee for amalgamating a title, creating an "add to" application is the most cost effective way of effecting the amalgamation. If the amalgamation request is not identified and effected at intake stage by way of an "add to" application the amalgamation process should be followed instead. The current application must not be cancelled to create an "add to" application instead as this in itself generates administrative costs .
Amalgamation after intake stage should only be considered when it is a requirement of the 2012 Act (see common areas above) or where we overlooked a request to amalgamate at intake stage and there is a clear benefit to RoS to undertake this work (e.g. simplifying future TP applications that would otherwise be against multiple titles) .
Authorisation of Amalgamation or "Add to" Application
Once a possible amalgamation or "add to" application has been identified and referred to the authorising officer, considerations are required as to whether it is appropriate to proceed with the amalgamation or "add to" application. The authorising officer will always check the application record for pending transfers of part and dealings with whole as the date and/or content of these can affect the decision to amalgamate.The authorising officer will also consider the additional work required by both the plans settler and legal settler. If the agent has not requested amalgamation and/or the advantage of amalgamation is minimal then amalgamation should not proceed.
Example 1:
The amalgamation of additional garden ground with a house title would probably be viewed favourably, whereas a discontiguous garage site with a house title would not be viewed as favourably, since the house and garage would each remain capable of being dealt with separately. The existence of a charge affecting both subjects does not of itself justify amalgamation.
Example 2:
Several plots acquired by a builder for development may be amalgamated if it will assist in the processing of transfers of part - perhaps because, in the absence of amalgamation, some individual house titles would straddle the plots, or because the transfers of part include rights to common areas straddling the parent titles; amalgamation removes the requirement for multiple TP/TA applications. However, this does not mean that separately developed phases of a building estate cannot remain registered satisfactorily under separate title numbers.
Example 3:
Unless redevelopment is intended, there is usually no point in amalgamating a number of adjoining houses or areas of land which are separately fenced, simply because they come under the same ownership. There is even less point in amalgamating a number of scattered titles – even if they all happen to fall within the same map section. Applications or suggestions to amalgamate such titles are to be resisted on the grounds that one writ can deal with a number of registered titles as easily as it can deal with a single registered title.
Example 4:
A mix of different unconsolidated heritable and leasehold property in one title is to be avoided where possible, but the decision whether to amalgamate when such a mix would result will depend very much upon individual circumstances. Amalgamation may become desirable if it transpires that the extent of the subjects ascribed to a heritable title and the extent ascribed to a leasehold title cannot be separately determined.
Example 5:
The existence of a charge over one of the subjects which it is proposed to amalgamate is not of itself a bar to amalgamation, but means that a correspondingly greater benefit will have to accrue from the amalgamation if a temporary reference is required on the title plan.
Example 6:
The decision to amalgamate can be taken more readily when the amalgamation does not involve existing registered titles, since it is less expensive to RoS to amalgamate two or more live first registrations or transfers of part.
Example 7:
Any request to amalgamate a title held in Sasines with a land register title will be refused; the agent should be advised to request a voluntary registration of the interest held on a Sasine title, including that it should be added to the existing title sheet - if this is feasible.
Date of Amalgamation
The date of an amalgamation is almost invariably the date on which the amalgamation procedures are given effect to on LRS. Backdating the amalgamation has very serious implications for ScotLIS as well as having repercussions if any reports have been issued over any of the title numbers involved. There will be occasions where not backdating the amalgamation will cause more potential difficulties than backdating it (e.g. when dealing with a development where there will be subsequent sales and amalgamation will obviate the need for TP/TA applications and potentially multiple DW applications against parent titles for dual registration relating to real burdens). Backdating the amalgamation must only be authorised by a senior caseworker who will pay due attention to all surrounding circumstances. In such cases where it is identified that amalgamation is acceptable but it is desirable that the amalgamation is backdated the case must be referred to a senior caseworker for consideration.
Where an "add to" application would have been appropriate, but another application type has been created on LRS the application should not be cancelled and a backdated "add to" application created in its place. The amalgamation procedures should be followed instead and the agent must be informed.
Contacting the Agent
Where there is a requirement under the 2012 Act for shares in a registered plot to be included in a single title sheet (see common areas above), no consent is required from the agent. The appropriate "add to" application should be created at intake. A notification will be generated so no further correspondence should be sent to the agent. Where it is not identified until plans settle stage, any FR or VR application created in intake stage must be amalgamated into the existing title sheet for the registered plot and the agent must be notified as soon as the titles have been amalgamated on LRS by way of the 'LR53 - Titles Being Amalgamated' letter that the title sheets have been amalgamated.
Where an agent has requested amalgamation and it is not mandatory for the Keeper to proceed and it is identified that amalgamation is not appropriate, written confirmation must be provided to the agent as soon as possible by way of the 'LR52 - Titles Not Being Amalgamated' letter to confirm that amalgamation will not proceed. The appropriate reason should be added to the letter.
Where an agent has requested amalgamation as part of an application undergoing registration and it is identified that amalgamation is appropriate, written confirmation must be provided to the agent by way of the 'LR53 - Titles Being Amalgamated' letter as soon as the titles have been amalgamated on LRS to confirm that amalgamation has been given effect to. For the avoidance of doubt, this must be sent as soon as the titles have been amalgamated on LRS and the settler should not wait until the applications undergoing registration have been completed.
Where amalgamation is requested outwith any application for registration the amalgamation is given effect to by way of TU applications on LRS. Written confirmation must be provided to the agent by way of the 'LR53 - Titles Being Amalgamated' letter as soon as the titles have been amalgamated on LRS to confirm that amalgamation has been given effect to. In addition, because the TU application will not generate a notification, on completion of registration a letter must be sent to the agent to confirm that amalgamation has been completed and that the updated title sheet can be viewed on ScotLIS
Procedures
Legal Examination & Instructions to Plans Settler
Consideration of both the plans and legal work required to complete an amalgamation require to be considered concurrently, with the application being legally examined before the plans work is undertaken. The administrative amalgamation of the applications must not be completed on LRS until the plans officer has given effect to the amalgamation on the DMS. This is because the action of amalgamation on the LRS will result in the plans officer being unable to access the cadastral unit for the superseded title on the DMS. The authorising officer should draw attention to potential problem areas resulting from the amalgamation for the benefit of both plans and legal registration officers.
The main considerations for the authorising officer are set out in the Legal Examination & Instructions to Plans Settler process. However, the authorising officer should be aware that further considerations may also be required depending on the specific nature of the amalgamation.
Plans Settle
The plans settler must consider the instructions provided by the authorising officer and follow the procedures to close the superceded title on DMS and make the necessary amendments to the continuing title. The plans settler must also ensure the property section and the cadastral unit for the continuing title are 2012 compliant.
Legal Settle
The legal settler must make all the necessary amendments to the title sheet as a consequence of amalgamation. The following briefly covers some of the amendments the legal settler must consider.
Any existing entries and any new entries in the continuing title must be 2012 compliant. The existing entry may also require amendment if additional information is provided with any application undergoing registration (e.g. updated designation for the proprietor).
Where the existing proprietor has acquired title to parts of the registered plot(s) on different dates the proprietorship section should include an entry for each part. and the entry may need to include details of references on the cadastral map . If plans references have been provided for the respective parts because they are required for entries in the property section, securities section and/or burdens section, the references can be used in the proprietorship section, providing they are straightforward. An entry which makes use of plans references should be added as follows:
Example 1
| Entry No. | Proprietor | Date of Reg. | Notes | Consideration | Entry date |
|---|---|---|---|---|---|
| 1 | A D and C D, Spouses, 29 London Road, Strathaven, equally between them and the survivor of them. | 25/03/15 | part tinted pink on the cadastral map | £185,000 | 01/02/15 |
| 2 | Said A D and C D equally between them the survivor of them | 14/04/15 | part tinted blue on the cadastral map | £40,000 | 18/01/15 |
If plans references are not required for other parts of the title sheets, they should not be added only for the reason of distinguishing the different parts of the registered interest in the proprietorship section. This reduces plans work not only at the amalgamation stage but also on the occasion of a change of ownership, when the need for a plans reference will disappear. Without references, the entry in the proprietorship section should be added as follows:
Example 2
| Entry No. | Proprietor | Date of Reg. | Notes | Consideration | Entry date |
|---|---|---|---|---|---|
| 1 | A D and C D, Spouses, 29 London Road, Strathaven, equally between them and the survivor of them. | 25/03/15 | part | £185,000 | 01/02/15 |
| 2 | Said A D and C D equally between them the survivor of them | 14/04/15 | remainder | £40,000 | 18/01/15 |
In the second example it is not necessary for the notes to be more specific. If more detailed information was required for any reason, it could be obtained from the archive record. If there are more than two entries the notes should be "part", "further part" and "remainder".
Register of Inhibitions and Adjudications
The ROI should be searched either 5 years back from the date to which the title sheet is to be brought down, or to cover the period between the date of the ROI search provided by the agent on the application form and the date to which the title sheet is being brought down to.
Any new entries in the securities section must be 2012 compliant.
Any existing entry in the securities section may require removed if it is outwith the time limit or the formatting may require amendment if there is any new information in any application undergoing registration.
Any existing entry in the securities section may also require to be amended where an existing charge, previously over the whole of a registered plot, now affects only part of the amalgamated plots and a reference to the cadastral map may be required.
Example
| Entry No. | Specification | Date of Registration |
|---|---|---|
| 1 | Standard security by said A to B incorporated under the Companies Acts (Company Number SC327000), Halifax Division, 1 Lovell Park Road, Leeds, West Yorkshire LS1 1NS over that part of the subjects in this title tinted pink on the cadastral map. | 01/01/2015 |
| 2 | Standard security by said A to B incorporated under the Companies Acts (Company Number 02222856), Registered Office Nationwide, Pipers Way, Swindon, Wiltshire SN38 2NW over that part of the subjects in this title tinted blue on the cadastral map. | 23/03/2015 |
All new and existing entries should be 2012 compliant.
All existing entries should be examined as amendments may be required to headings, the main body of the text (e.g. where the entry includes reference to references on the cadastral map or where the entry makes references to another entry in the burdens section) and footnotes. See example below.
Where burdens versions are not owned by the amalgamated title the settler should follow the instructions for examining the common deeds index (CDI) and consider whether an existing version is suitable or whether an existing version must be cloned and amended for use.
Only obsolete burdens or any burdens that the agent has declared no longer exist should be removed. If authorised by a senior caseworker, any burdens relating to an extinguished servitude should also be removed.
Example
Date of First Registration
Rule 14 of the Land Register Rules etc (Scotland) Regulations 2014 states that where the Keeper combines cadastral units and each of the plots have a different date of registration the earliest date of registration entered in the title sheet of one of those registered plots will be the date of registration of the resultant plot of land.
For the avoidance of doubt, the dates of first registration of the other plots (or shares in the plot) or a footnote to the property section to the effect that plots (or shares in the plot) have been added are not required.
Date to which Title Sheet updated
The title sheet must be brought down to the later of the date on which the amalgamation was given effect to or the date of registration of the application undergoing registration.
Map Reference
Any map references should be removed. This is normally completed by the plans settler.
Real Right
The real right should be ownership or tenancy or may need referred for consideration if there is a non-standard entry. This is normally completed by the plans settler.
Property Description & Common Areas
The plans settler will have made any necessary amendments to the property description relating to the exclusive subjects.
The legal settler must consider any amendments required to the property description in relation to any ownership in common areas.Where the common area has been mapped and included in the title sheet 1979 style the legal settler should amend the property description as necessary. Where the common area is now owned exclusively and forms part of the continuing title cadastral unit the plans settler should have made the necessary amendment to the property description in the continuing title. Where the common area is now owned exclusively but will retain the existing separate title sheet and cadastral unit the plans settler should have made the necessary amendment to the property description in the existing title sheet for the former common area.
Rights
All rights affected by amendments to plans references should be amended as necessary. Rights that do not involve references on the cadastral map should also be examined by the legal settler and amended as required. If authorised by SCW, any extinguished servitudes should be removed.
Schedules & Notes
Where the property section includes notes relating to minerals reservations or boundaries, or where there is a schedule of leases or rights to real burdens, the legal settler should check if these require to be amended as a consequence of the amalgamation process (e.g. a minerals note which formerly affected the whole of the subjects in a title may now affect only part of the amalgamated title and a plans reference may be required).
A schedule of rights to real burdens identifying benefited property may need amended to ensure that the right of exercise and enforcement is not inadvertently extended to the subjects being amalgamated into the title number where none existed previously. If only part of the amalgamated subjects retain the right to enforce, the description of the benefited property will need amended appropriately.
A schedule of leases may require additional entries as a consequence of the amalgamation.
A note relating to an area being excepted from the title may become obsolete if that excepted area is added to the title.
The PRINT MASTER TITLE SHEET function must be completed separately for the closing title(s) and the continuing title and each title must also be confirmed on LRS separately.
Where the amalgamation process is completed as part of the process of registering a deed or the voluntary registration of a plot, a notification will be generated on completion of registration which will notify the relevant parties of the application details with a link to the continuing title sheet.
Notification for Application Relating to Closing Title
Notification for Application Relating to Continuing Title
As a consequence of applications being archived prior to examination by plans or legal staff an L65 form should be completed and printed from LRS for each superseded title. No attempt should be made to alter the location of the existing archived documents and instead the L65 should be added to the archive record for each superceded title so that anyone examining the archive records for the superseded title number will be aware that an amalgamation has occurred and will be directed to the continuing title number by the L65.
Any additional documents or correspondence that require to be archived must be archived under the continuing title number.
If there was no pending application against a title affected by the amalgamation and a TU application was created, the flysheet for the TU should be printed and added to the archive record and detail must be added to the application workdesk N&I to state that the application is for amalgamation purposes.
Registers of Scotland (RoS) seeks to ensure that the information published in the 2012 Act Registration Manual is up to date and accurate but it may be amended from time to time.
The Manual is an internal document intended for RoS staff only. The information in the Manual does not constitute legal or professional advice and RoS cannot accept any liability for actions arising from its use.
Using this website requires you to accept cookies. More information on cookies.
Feedback