Can form LL protect you from property fraud?
BusinessWhat is a Form LL restriction?
Form LL restrictions are registered against a property and are recommended as a measure by the Land Registry to combat property fraud. Having a form LL restriction is by no means a mandatory requirement, nor is it part of the normal conveyancing process when buying a property. However, putting one in place could be a vital action to stop a fraudster from selling your property without you knowing.
You can apply the restriction without legal help but if you are considering a form LL land registry restriction and have questions, you may wish to contact a specialist such as https://www.parachutelaw.co.uk/form-ll-land-registry-restriction Parachute Law with any questions. If you have this restriction on the title of a property you own, you may need help to sell, remortgage or even remove the restriction. A solicitor can verify your ID, provide the certificate of compliance and remove the restriction if required.
What is the Land Registry Anti Fraud Restriction?
The Form LL Restriction, or Land Registry Anti fraud Restriction, is worded as follows:
“No disposition of the registered estate by the proprietor of the registered estate is to be registered without a certificate signed by a conveyancer that the conveyancer is satisfied that the person who executed the document submitted for registration as disponor is the same person as the proprietor”
Why would I need a Form LL restriction?
The restriction ensures that the ID of the registered owner is checked in front of a solicitor before a property is sold or mortgaged. There could be a risk of someone other than the registered legal owners attempting to sell or remortgage your property and this is a protection against that occurring. For example, tenants of a rented property may try and impersonate the owner by intercepting their post and using this to commit fraud. If the solicitor only does the basic online checks, they may believe that the tenants are actually the owners. If the anti-fraud restriction had been in place, then the tenants would not have passed the face-to-face identity check and would not thus have been able to carry out the property sale.
What process does the solicitor have to follow?
The process involves verifying, removing the restriction and reviewing the information relating to the verification. There may be an online video conference meeting to verify the owner’s identity.
The solicitor will then provide a Certificate of Compliance alongside the Form LL Restriction.
As part of this service, the solicitor does not give any advice on the transaction.
There will be extra charges for:
– Removal of Form LL Restriction: If the Form LL restriction is removed, it means you won’t have to have your identification verified each time you want to make further changes to the legal title.
– Failure of meeting attendance: Most solicitors will allow you to change or cancel meetings up to 24 hours before, but if you provide little or no notice, you are late, or you do not provide adequate ID or documents required, you may be charged a nominal fee.
– Review of any information relating to the ID verification.
– A video conference meeting to verify your identity if needed.
– Submitting the application to the Land Registry to remove the Form LL restriction.
– Other disbursement costs such as ID fee, document copies and Land Registration charges.
For further information about the restriction and to download forms, you can visit HM Land Registry
The guidance includes where to send completed forms, how to cancel restrictions and details on the Land Registry fees.
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