Amalgamations and "Add To" Applications (FA/VA/TA)

Table of Contents

Table of Contents
1 Introduction 2 Statutory Authority to Amalgamate 3 Registration Fees 4 Plots Owned in Common 5 Preliminary Considerations 6 Authorisation of Amalgamation or "Add to" Application 7 Date of Amalgamation 8 Contacting the Agent 9 Procedures 9.1 Legal Examination & Instructions to Plans Settler 9.2 Plans Settle 9.3 Legal Settle 9.3.1 Example

Useful links

Amalgamations

"Add to" Applications (FA/VA/TA)

Obsolete Burdens

Third Party Rights (Jus Quaesitum Tertio)

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.

Sections 3(7) and 12(3) of the 2012 Act allow pertinents to be included in the title sheet and cadastral unit of the principle plot or plots of land to which they relate. These rights should be distinguished from areas of common ground which require a separate title sheet. Further information can be found in the section on Shared and Sharing Plots Guidance if required

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.