The Land Registration (Amendment) Rules 2008

New rule 113

41.  For rule 113 substitute—

“Variation of the terms of a registered charge

113.— (1) Subject to paragraph (2), an application to register an instrument varying the terms of a registered charge must be made—

(a) by, or with the consent of, the proprietor of the registered charge and the proprietor of the estate charged,

(b) with the consent of the proprietor, or a person entitled to be registered as proprietor, of every other registered charge of equal or inferior priority that is prejudicially affected by the variation, and

(c) with the consent of the proprietor, or a person entitled to be registered as proprietor, of a registered sub-charge of every registered charge of equal or inferior priority that is prejudicially affected by the variation.

(2) A consent under paragraph (1) is not required if—

(a) the consent of that person is not required by the terms of the registered charge or registered sub-charge of which that person is the proprietor or in respect of which that person is entitled to be registered as proprietor, or

(b) the person from whom a consent would otherwise be required has executed the instrument.

(3) The registrar may accept a conveyancer’s certificate confirming that the conveyancer holds any necessary consents.

(4) If the registrar is satisfied that the proprietor of any other registered charge, and of any registered sub-charge of that registered charge, of equal or inferior priority to the varied charge that is prejudicially affected by the variation is bound by it, he shall make a note of the variation in the register.

(5) If the registrar is not so satisfied, he may make an entry in the register that an instrument which is expressed to vary the terms of the registered charge has been entered into.

(6) In this rule a reference to a registered sub-charge includes any registered sub-charge which derives directly or indirectly from the registered charge.”.