Charge

This page aims to help you complete an electronic Charge dealing form. This form is used to record an encumbrance over land for the purpose of securing the payment of an annuity, rent-charge or sum of money other than a debt, pursuant to section 56(2) Real Property Act 1900.

NOTE: A Charge dealing form can also be expressed to include an easement or profit à prendre (see section 56(4) Real Property Act 1900). If the form is being used to create an easement or profit à prendre then the servient tenement must be stated and the terms must be uploaded as an attachment, this must be lodged as a Dealing with Exception.

NOTE: Both the charger and the chargee must be represented in the workspace for this dealing form. 

For information on how to lodge a covenant charge over the land to recover costs etc that have arisen from the non-compliance of the registered proprietor with the positive covenant, see Covenant charge.

Subscriber requirements

Before lodging this document electronically via an Electronic Lodgment Network, a Subscriber must:

1. verify their client’s identity
2. establish their client’s right to deal with the land
3. have a properly completed and executed Client Authorisation form and
4. retain evidence that supports the dealing (see Supporting Evidence below).

 The Subscriber must also certify that they have taken reasonable steps to ensure that the instrument is correct and compliant with relevant law and any Prescribed Requirement.

For more information on these requirements see:

Residual Documents

Guide to complete

Legislation – section 56(2) Real Property Act 1900.

Stamp Duty – not required.

Notice of Sale – not required.

Standard Form of Caveat – a caveat noted on the Register will prevent the recording of a Charge.

Priority Notice Noted on the Register – see Priority Notice page for more information.

The following headings refer to the data fields which must be completed in order to lodge an electronic Charge dealing form.

Land Title

Enter the land title reference(s).

Participant Details

Party Details – Party Name

Select the registered proprietor/charger.

Enter the chargee.

Document

Create Document – Select Other Documents.

Select Charge.

Charger

Select the charger.

Chargee

Select the chargee.

Tenancy of Chargees

Enter the tenancy/shares where there is more than one chargee.

Where there is one chargee this field may be left blank.

Type of Payment (optional)

Enter the type of payment to be secured, e.g. rent-charge, annuity.

Attachments

Attachment Type – Terms and Conditions

Attach the relevant annexure and/or memorandum. Alternatively, the registered memorandum number should be stated in the annexure attached (if applicable).

If a party is ceding priority, they may attach a letter setting out the order of registration.

Where a writ is recorded on title, the consent of the Court must be attached or the writ removed.

Supporting evidence 

In addition to evidence supporting the steps taken by the Subscriber to verify the identity of their Client and establish their Client’s right to deal, the Subscriber may be required to retain other evidence to support the dealing.

It is a matter for the Subscriber to be satisfied that they have met the requirements for the dealing. Please refer to the ARNECC Guidance Note 5 for assistance on retaining evidence to support conveyancing transactions in accordance with the NSW Participation Rules.

All NSW legislation can be accessed at www.legislation.nsw.gov.au

 

Publication Date: May 2024