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LAND ADMINISTRATION

TPS555
The Beginning of Torrens System in Malay State
Basic Principles of Torrens System
Contents

1 The Beginning of Torrens System in Malay State

2 Basic Principles of Torrens System

3 Indefeasibility of title

4 Court Cases for Indefeasibility


The Beginning of Torrens
System in Malay State

01 Two system that been


brought by the British
02 English Deeds System
Torrens System

Torrens title is a system of land title where a register of land


03 holdings maintained by the state guarantees indefeasible title
to those included in the register.
Historical Background

1854 1858 1883 1891

Modelled from Introduced in WE Maxwell Maxwell


the system South Australia (British Resident introduced the
based on the in 1858, for the .State of Torrens System
Merchant formulated by Selangor) left for and the
Shipping Act the then Australia to Selangor
1854 & the colonial Premier study Torren Registration of
Admiralty Rules. of South System and Titles Regulation
Australia Sir returned to 1891 was
Robert Torrens. Malaya in 1883. enacted.
The Importance

Formulated to combat the problems of


uncertainty, complexity and cost associated with old
system title (Deeds system).

Torrens system was 1st introduced into Malaya


through the FMS viz Perak, Selangor, Negeri
Sembilan & Pahang.
The Importance

The effect of bringing land under the system is to


place the land on the register.
The register is everything and any dealing must be
registered in order to gain recognition.
Ensured the indefeasibility of title to the land
registration and its transaction where it overcomes
the uncertainty in land proprietorship.
How the Torrens System was introduced
General Land Regulations
Perak, 1879
Selangor, 1882
Negeri Sembilan, 1887
Pahang, 1888

Perak, Selangor, Negeri Sembilan and


Pahang Land Enactments 1897

Registration of Titles Regulations/Enactments


Selangor, 1891
Perak and Pahang, 1897
Negeri Sembilan, 1998
Basic principles of Torrens System

Mirror Curtain
Principles Principles

*The system that has been developed for the Malaysian


land law has only adopted the two principles ie, the mirror
and curtain principles.
Mirror Principles
The register (Certificate of Title) reflects (mirrors), accurately
and completely the current facts about a person’s title.

A
Name of the proprietor of
the land D
The survey plan and
A boundary limits of the land

B B D
The particulars of the
alienated land C
. C
The area and location of
the land
Curtain Principles
A
This principles emphasizes that the
intending purchaser or interest acquirer
need not look “behind” or beyond the
register.

B A C
It is sufficient if the Every register document
Purchaser examines the of title duly registered
Register Document of Title under this Chapter shall,
in order to obtain subject to the provisions of
B C
particulars related to the this Act, be conclusive
land. evidence…(S 89 NLC).
Main Characteristics

1) Confers indefeasible title upon registration. However,


indefeasibility can be defeated where the transferee himself
is guilty of fraud, or forgery, or misrepresentation, or
mistake or void instruments or the title was unlawfully
required.

2) Any dealing in respect of an alienated land or interest in


land must be registered with the relevant land registry in or
der to confer title or interest on the new proprietor or interes
t holder.
Main Characteristics

3) Official Record – There is an official record situated at


a stipulated place, which can be consulted by a prospect
ive purchaser of land. It provides for the recording of cer
tain interests only and prevents the recording of others.
The holders of the interests are registered as proprietors
of interests.
Main Characteristics

4) The Register
Registers consists of individual grants certificate. There
are also documents, which may be added during
registration.

The register reflects all the facts material to the


registered owner’s title in the land. Material facts here
refer to the name of the proprietor for the time being; the
land, which has been alienated; the area and location of
the land; the survey plan and also the boundary limits of
the land.
Main Characteristics

5) Security of the Registered Proprietor


The security of interests acquired in good faith on
the strength of the Register. Therefore, is a person
becomes registered as proprietor of an interest in
the land in good faith, his interest will be subject
only to those whose interest noted on the
Register as having priority over his.

Effects – abolished the general principle ‘no one


can give what he has not got’.
Main Characteristics

6) Guaranteed by the State


A registered proprietor of an estate is given the
guarantee that he will hold his title subject only to
those interests notes on the Register.
Advantages of the Torrens System
1 2

1) Security & certainty of Diminution of Delay and


Title is Official and Expenses
2) guaranteed
Delays will be minimized
3) Once it is officially and expenses will be very
4) registered, it is much lessened because
5) considered as being of the cutting off of
6) guaranteed by the retrospective investigation
7) government. of title and the
simplification of dealings
of registered land.
Advantages of the Torrens System
3 4

Simplification of titles & Accuracy


dealings
Clear and precise description of la
nd and of all interests held in it. All
The title itself is no long these details will appear on the
er so complicated with Register.
the use of simple and An accurate description of
stereotyped forms boundaries. This means that a
proper survey of the land must be
carried out. An exact survey
eliminates the possibilities of any
boundary dispute.
Advantages of the Torrens System
5

Indefeasibility of Title

The most important feature of the Torrens


System.

A warranty given by the state of an


indefeasible title in favor of a person
registered as an owner of any title on interest
in land.
Deed System

The system of The agreement The transfer of


conveyancing must be land is based
by private appropriately on deeds of
dealing or signed,sealed conveyance
agreements. and delivered. and it is a
private dealing.
Differences between the Deeds and
Torrens System
Deed System Torrens System
Passing of Title Title is passed upon execution, Title passes upon registration
signing, sealing & delivery

Accuracy Uncertainty; it is complex, Simpler, easier & secured


expensive and cumbersome

Security Registration is not compulsory, Registration is everything & it is


despite the availability of some compulsory for any dealing on the
form of recording land to be registered

Guaranteed by The title obtained not guaranteed Guaranteed by the state & in the
state since the transactions made event there are errors, it is easily
personally between parties detected and the state will be
responsible.
The basic difference is that the deeds registration involves
registration of instruments while the Torrens System
involves registration of title.

The limits of the deeds registration system mean that


transfers of land were slow, expensive and often unable
to create certainty.

The land title will be formally provided in duplicate, one wil


l remained with the Land Office or Land Registry Office,
while another one will be kept by the land owner.
The most advantage of the Torrens Title; once
registered, the title becomes state guaranteed and
cannot be challenge or defeated.

It advocates registration as the important step in


acquiring title.

The register is given utmost importance.


The title or interest of any person or body for the
time being registered as proprietor of any land,
or in whose name any lease, charge or easemen
t is for the time being registered, shall, subject to
the following provisions of the section, be
indefeasible (S 340 NLC).
Section 340(1) of the National Land Code,
clearly reflects that the party in whose favor
registration has been effected will obtain an
indefeasibility, a title or interest in the land.

Such registration will defeat all prior unregistered


claims as well as adverse claims or
encumbrances not noted in the register.
Indefeasibility of title

Basic process flow to envisage the NLC’s delivery system in


respect of title by registration. The act of registration is to
confer indefeasibility of title or interest in land.
Exception of
Indefeasibility of title
Section 340(2) of the National Land Code, provides
several exceptions to indefeasibility of title. These
represents conditions when a registered title may be
open to attack.
The exceptions are:
In any case of fraud or misrepresentation;
Where registration was obtained by forgery, or by a
n insufficient or void instrument;
Where the title was unlawfully acquired through pur
ported exercise of any power or authority conferred
by law.
The exceptions

Where registration Where the title was


In any case of was obtained by unlawfully acquired
fraud or misre forgery, or by through purported
presentation; an insufficient or exercise of any
void instrument; power or authority
conferred by law.
Section 340(3) of the National Land Code,
provides protection to the ‘bona fide’ purchaser.
A purchaser = A person or body who in good faith
and for valuable consideration acquires title to, or
any interest in land.
Court Cases for Indefeasibility
 Adorna Properties Sdn Bhd v Boonsom
 Boonyanit

 Au Meng Nam & Anor v Ung Yak Chew &


Ors

 Tan Yin Hong v Tan Sian San & Ors


Adorna Properties Sdn Bhd
v
Boonsom Boonyanit
Whether this decision is correct in
light of the legislative framework
laid down in section 340 of the
National Land Code 1965 and
demise indefeasibility under the
Malaysian Torrens System?
Discuss.
Au Meng Nam & Anor
v
Ung Yak Chew & Ors
Tan Yin Hong
v
Tan Sian San & Ors
THANK YOU

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