Land Title Act 1994

This section applies to—

the mortgaging of a lot or an interest in a lot; and

an amendment of a mortgage mentioned in paragraph (a).

Before the instrument of mortgage or amendment of mortgage is lodged for registration, the mortgagee under the instrument (the original mortgagee) must take reasonable steps to ensure the person who is the mortgagor under the instrument is identical with the person who is, or who is about to become, the registered proprietor of the lot or the interest in a lot.

For subsection (2), a person is the mortgagor under an instrument of mortgage or amendment of mortgage if the person executes the instrument as mortgagor, including, if the instrument is an electronic conveyancing document, through a subscriber digitally signing the instrument under the Electronic Conveyancing National Law (Queensland).

Also, for subsection (2), a person is the mortgagor under an instrument of mortgage or amendment of mortgage if the instrument is an electronic conveyancing document and the person signs, as mortgagor, a document that under the participation rules under the Electronic Conveyancing National Law (Queensland)—

is required as a supporting document for the instrument of mortgage or amendment of mortgage; and

is required to be kept by the original mortgagee.

Without limiting subsection (2), the original mortgagee takes reasonable steps under the subsection if the original mortgagee complies with practices included in the manual of land title practice under section 9A for the verification of identification of mortgagors.

The original mortgagee must, for 7 years after the instrument is registered, and whether or not there is registered a transfer of the interest constituted by the mortgage—

keep a written record of the steps taken under subsection (2); or

keep originals or copies of the documents and other evidence provided to or otherwise obtained by the original mortgagee in complying with subsection (2).

The registrar may, whether before or after the registration of the instrument, and whether or not there has been registered a transfer of the interest constituted by the mortgage, ask the original mortgagee—

to advise the registrar about the steps taken by the original mortgagee under subsection (2); and

to produce for the registrar’s inspection the written record mentioned in subsection (4)(a) or the originals or copies mentioned in subsection (4)(b).

The original mortgagee must comply with a request under subsection (5) unless the original mortgagee has a reasonable excuse.Maximum penalty—20 penalty units.

This section applies to an instrument of mortgage only if it is executed after the commencement of this section.