Michael McDowell (Dublin South East, Progressive Democrats)

That was before the soup days. In the early 21st century we will repeal a post-penal law statute. I want to acknowledge that the Registry of Deeds has served this country well since its establishment back in 1707. I also want to take this opportunity to thank the Registrar of Deeds and the registry's staff for their commitment and hard work. I visited the registry recently, having studied for many years in the King's Inns portion of the building. I had never been in the registry before. It is an extraordinary building and an extraordinary system that has existed for three centuries. The fundamental principles that operate there have remained largely untouched.

Part 2 of the Bill, sections 5 to 29, provides an updated legal basis for the registry's operations. The general aim has been to ensure, as far as possible, there is a uniform and coherent approach to registration in both the Registry of Deeds and the Land Registry. For this reason, the new provisions set out in this part are, where appropriate, based on corresponding provisions in the Registration of Title Act 1964 which govern the operations of the Land Registry. The detailed registration procedures will be set out in general rules which will be drawn up and implemented under the power provided in section 26.

Section 5 contains the definitions of various words and terms appearing in this part of the Bill. The broad definition of "deed" is worth noting. It includes "information in electronic or other non-legible form which is capable of being converted into any of the preceding documents". Although the system of registration of deeds was established in 1707, it will now be adapted to take electronic documents into account. Sections 6 to 11 contain revised provisions relating to the structure and staffing of the registry, while section 12 makes provision for the charging of fees for the registry's services. The latter is based on the corresponding section in the Registration of Title Act 1964 regarding Land Registry services.

Section 13 makes provision for the register of deeds. To facilitate computerisation of records, it is provided that the register may be in an electronic or other non-legible form which is capable of being converted into legible form. Section 14 deals with the applications for registration of deeds. While the current legislation goes into exhaustive detail on this matter, section 14 simply provides that the manner of application and registration shall be set out in general rules to be made at a later stage under section 26. This flexibility will allow the registry to adapt to and take advantage of future advances in information technologies and systems.

The method by which applications for registration are to be recorded in the future is addressed in section 15. At present, applications are recorded according to the day and hour at which they are lodged in the Registry of Deeds. The mere fact that memorials must be physically delivered to the registry is outdated considering that an increasing number of sales and conveyances are now being completed in electronic form. The current antiquated system also hinders any progression towards e-conveyancing. As an alternative I have decided that in future all applications will be allocated a serial number. The method by which the numbers will be allocated will be laid down in general rules.

Establishment of priority between deeds has been the primary purpose of the Registry of Deeds system since its establishment in 1707. Section 16 provides that deeds shall rank in priority among themselves according to the priority determined by the serial number allocated under section 15. In the event that two deeds relating to the same piece of land are presented for registration on the same day, the deed with the earlier serial number will have priority.

The section further provides that a deed which is not registered is void against a deed which has been registered. In subsection (3), I have made provision for those rare occasions where a person claiming under a registered deed had knowledge of an earlier unregistered deed. Notwithstanding the provisions contained in this section, the normal rules of law or equity will apply in such cases. It has been the practice of the registry to receive memorials of instruments in cases where execution by grantees only is proved. Section 17 is a technical provision designed to remove any future doubts regarding the validity of such memorials.

One of the most curious features of the current legislation governing the Registry of Deeds is the lack of any provision for rectifying errors, even where an error originates in the registry itself. Section 18, which is based on the corresponding section 32 of the Registration of Title Act 1964, introduces such a provision for the first time. Section 19 makes it an offence for any person to procure or try to procure the registration of a deed which is false in any material respect or where the person knows the signature on the deed to be false. The penalty on summary conviction is set at a fine not exceeding €3,000 or imprisonment for a term not exceeding one year or both. Where a person is convicted on indictment, the penalty is a fine or imprisonment for a term not exceeding five years or both, which makes it an arrestable offence.

Section 13 makes provision for the keeping of a register of deeds. Section 20 provides for the retention of other records, such as indexes, in the registry. Once again, it provides that such records may be held in electronic or other non-legible form capable of conversion to a permanent legible form. This will be a revolution. On my trip around the Registry of Deeds I saw rooms filled with vellum dating from the early 18th century. They are fascinating documents and are museum pieces in many respects. The new system will be adapted for the 21st century.

Searches of its register and records have always been a part of the service provided by the Registry of Deeds. The method by which such searches is to be carried out is prescribed in great detail in current legislation. This is inflexible and, therefore, unsatisfactory. In future, the manner by which such searches shall be carried out should be governed by general rules. Section 21 provides for this.

Section 22 deals with the inspection and examination of the register and other records held in the Registry of Deeds. The section provides that a person may inspect, examine, make notes of or take extracts from any such register or records. The manner in which the searches should be made and any conditions relating to the searching or inspection of the register or records shall be prescribed in general rules. In section 23, provision is made for judicial notice to be taken of copies of the register or any other record held in the Registry of Deeds. The word "reproduction" is included in subsection (a) because I believe that printouts of records held in electronic or non-legible form should be admissible where certified by a member of the staff of the Registry of Deeds without requiring any further proof. The purpose is to avoid having to prove such printouts as original documents, for example under the best evidence rule.

One of the many anachronisms in current legislation is the provision dealing with the index of lands established under section 17 of the Registry of Deeds (Ireland) Act 1832. This index was to be used, in conjunction with the names index, for the purpose of searching the register. In practice, the names index proved more useful and the index of lands fell into disuse. As a consequence, it has not been maintained since 1946. Section 24 gives authority to the closing of the index of lands on 31 December 1946. A similar index in Northern Ireland was closed in 1967. Certain other records held in the Registry of Deeds have not always been maintained in accordance with the old and outdated legislation.

Section 25 addresses this and provides that the various books mentioned there were closed during the periods in which they were not properly maintained. I have already mentioned that in future detailed practices and procedures will be set out in general rules. Section 26 provides that the rules committee established under section 44 may make rules in respect of these and other matters. These rules will replace all those outdated and prescriptive provisions contained in the pre-1922 statutes which are being repealed.

Section 27 is a transitional provision which covers the lodgement of applications for registration prior to commencement of the section. It also provides that nothing contained in this part of the Bill affects the registration or priority of a deed registered prior to the commencement of the section.

The legislation under which the Land Registry operates also needs updating in order to facilitate the ongoing modernisation of practices and procedures, such as the use of digital maps and the computerisation of records. The proposed amendments to the 1964 Act which are set out in Part 3 of the Bill meet this need and also pave the way for the introduction in due course of an electronic conveyancing system known colloquially as e-conveyancing.

Section 30 amends section 3 of the 1964 Act which contains various definitions. A new definition of "index" is added while several other definitions will be amended. In particular, the definition of the Land Purchase Acts in the 1964 Act is being amended by deleting the current reference to the Irish Church Act 1869. This change is related to the amendment of section 23 of the 1964 Act, which is provided for in section 34.

Section 23 of the 1964 Act deals with the compulsory registration of freehold title in certain circumstances, including any land sold, conveyed or vested under the Land Purchase Acts. It appears that difficulties have arisen on titles to property which were the subject of redemption of a fee farm rent under the Irish Church Act 1869. The Law Reform Commission first recommended legislative change on this matter in a 1989 report and returned to it with a revised recommendation in a 2003 report. It is intended that dropping the reference to the 1869 Act from the definition of the Land Purchase Acts, together with the proposed amendment to section 23 of the 1964 Act in section 34, will remedy the difficulties that have been identified. The section also deletes the definitions of "local office" and "local registrar". The 1964 Act made provision for local offices in each county other than County Dublin and for the county registrar to act as the local registrar of the Land Registry. The local registrars kept duplicates of the registers in local offices for inspection by persons residing in the locality. However, in future, the register will be available electronically and this will in turn obviate the need to maintain duplicates at local level.

Section 31 states that there shall be an office or offices for the purpose of registering ownership of land in the State to be known as the Land Registry. The new section is similar in construction to that proposed in section 6 of the Bill for the Registry of Deeds. Section 32 amends section 12 of the 1964 Act, which deals with staffing, to delete the references in it to local offices. Section 33 deals with the official seal of the Registrar of Titles.

The recommendation of the Law Reform Commission on land sold, conveyed or vested under the Irish Church Act 1869 is dealt with in section 34. Paragraph (a) deletes the words "or is deemed to have been" from section 23(1)(a). The benefit of this deletion is that no person could query a title on the grounds that while registration was no longer compulsory, it had been compulsory at some time in the past and should now be registered. Paragraph (b) expressly provides that registration of ownership of such land is deemed never to have been required merely by virtue of the sale, conveyance or vesting. In short, the section removes land covered by the Irish Church Act 1869 from compulsory registration and, in cases where it has not been registered, provides that compulsory registration is deemed never to have been required for such lands.

Section 35 substitutes new subsection (1) into section 32 of the 1964 Act. The effect of the new subsection is to enable the registrar to amend errors originating in the register where she or he is satisfied that the error can be rectified without injustice to any party.

Section 36 substitutes a new section 84 in the 1964 Act. Section 84 deals with the maps used in the Land Registry. The new section is designed to enable the Land Registry to use digital maps and is a vital provision which will eventually facilitate e-conveyancing of land. Section 37 replaces section 85 of the 1964 Act, which deals with the description and identification of registered lands, and is a consequence of the preceding amendment. The powers of a person entitled to be registered as owner of land or of a charge are dealt with in section 90 of the 1964 Act. Concern has been expressed that the powers granted under section 90 are too narrow because they do not refer to the granting of a lease, an easement or a profit À prendre. This concern is addressed in section 38 of the Bill. Computerisation will require changes in procedures regarding searches and inspection of records. Section 39 provides for inspections and searches of the register and maps in the form in which it is recorded or in a legible reproduction of it.

Compensation for losses suffered as a result of errors in the register originating in the Land Registry is governed by section 120 of the 1964 Act. One specific part of section 120 which has been the subject of criticism in the courts is subsection (5)(b), which provides that the registrar shall determine the claim. Section 40 amends section 120 of the 1964 Act to avoid any reference to the determination of a claim by the registrar and provides that if a claim is not settled either the claimant or the Minister for Finance may apply to the court to determine the amount of compensation payable. The registrar is no longer the arbitrar of compensation for errors of this kind.

Section 41 amends section 123 of the 1964 Act, which deals with the effect of words of transfer. In 1998, the Law Reform Commission recommended certain changes. The amendments set out in the new subsections (4) and (5) are needed because section 123 as currently constituted does not appear to apply to the granting of rights such as an easement or a profit À prendre. Without these words of limitation it would appear that the easement or profit À prendre would last for the lifetime of the grantee only. These amendments will only apply to instruments of transfer dated after the commencement of this section.

Section 42 is a new provision which will enable judicial notice to be taken of certified copies of entries in registers or other records, including certified copies of reproductions of documents, entries or records kept electronically. It mirrors the provision included in section 23 on the Registry of Deeds.

It is intended that a new registration of deeds and title rules committee will be established under section 44 to oversee the making of general rules for both the Land Registry and the Registry of Deeds. Section 43 amends section 126 of the 1964 Act to take account of the new committee. At present, the making of general rules for the Land Registry is carried out by the Registration of Title Rules Committee established under section 73 of the Courts of Justice Act 1936. There is no current legal provision allowing for the making of general rules for the Registry of Deeds. As stated earlier, the practices and procedures of the Registry of Deeds are governed by primary legislation dating back to the 19th century

Part 4 provides for the establishment of a new committee to be known as the Registration of Deeds and Title Rules Committee. Section 44 provides that it shall perform the function assigned to it under section 26 of this Bill and under section 126 of the Registration of Title Act 1964. Subsection (2) contains provisions for the membership of the committee. It shall consist of a judge of the High Court assigned by the President of the High Court, who shall act a chair of the committee, the Registrar of Deeds, the Registrar of Titles, who shall act as secretary, a barrister nominated by the Bar Council and a solicitor nominated by the Law Society. Section 5 provides that the committee established under section 44 shall meet at least once a year and shall report to the Minister for Justice, Equality and Law Reform on matters falling within its remit.

I wish to inform the House that the Government has approved my proposals for a restructuring of the Registry of Deeds and the Land Registry. I intend to bring forward a series of amendments to the Bill on Committee Stage which will convert the Registry of Deeds and the Land Registry into a statutory body on the lines of the Courts Service. The new body will be known as the Property Registration Authority and will have a representative board, including representatives of conveyancing interests as well as consumer, staff and other relevant interests. I believe that this new structure will put the registries on a sound administrative footing and will underpin the modernisation process which is already well advanced in the registries. I am also mindful that these reforms will allow theregistries to take full advantage of the changes in the substantive law to which I referred earlier.

The reforms set out in the Bill will make the conveyancing of land easier and faster and will reduce delays associated with registration. I believe it is a necessary and important Bill. It is in line with the Government's intentions on regulatory reform as outlined in the White Paper, Regulating Better, and will, when enacted, contribute to economic activity at home and improved international competitiveness.

This is part of a three pronged approach to the reform of our land laws. The first is the material in the Bill before this house. The second is a new part which I will bring forward on Committee Stage in the near future. The effect of this part will be to combine these two bodies, one of which is 17th century and the other a 20th century successor to a 19th century body, into one 21st century semi-State body. That semi-State body will be a property registration authority. Its purpose will be to drive forward the process of registration of land on a modern, electronic and consumer-friendly basis.

It will be subtended by the third prong, that is, the radical revision of our law of property. In 1925 Lord Birkenhead, F. E. Smith, was the champion of the reform of the English law of property. The law of property after 1925 swept aside huge chunks of Victorian, Georgian and medieval legislation and replaced it with a single modern statute governing land law.

I am pleased to inform the House that the Law Reform Commission, assisted by Professor John Wylie and officials of my Department, has greatly progressed the project to set out in one statute the land law of Ireland. We will publish the heads of that statute in the relatively near future. That, combined with the programme which is already under way for electronic registration of documents and electronic mapping of properties which are the subject of registration, will transform, within a short period, the law of property here for practitioners from what is currently a familiar but cluttered slum to a modern edifice worthy of a country that wants to do business in the real world.