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7.—(1) Where a new town corporation transfer any interest in land under these Regulations, they shall ensure that the instrument by which the transfer is effected contains a statement that the transfer is made under section 172 of the 1989 Act.
(2) Where the title of the corporation to the land transferred is not registered, and the transfer is a conveyance or assignment of a description mentioned in section 123 of the Land Registration Act 1925(1) (compulsory registration of title)—
(a)that section applies in relation to the instrument by which the transfer is effected, whether or not the land is in an area in which an Order in Council under section 120 of that Act (areas of compulsory registration) is in force; and
(b)the corporation shall give the transferee a certificate in a form approved by the Chief Land Registrar stating that the corporation are entitled to make the transfer subject only to such encumbrances, rights and interests as are stated in the instrument by which the transfer is effected or summarised in the certificate; and
(c)for the purposes of registration of title, the Chief Land Registrar shall accept such a certificate as evidence of the facts stated in it, but if as a result he has to meet a claim against him under the Land Registration Acts 1925 to 1986(2) the corporation by whom the transfer was made are liable to indemnify him.
The Land Registration Act 1925; the Land Registration Act 1936 (c. 26); the Land Registration Act 1966 (c. 39); Part I of the Land Registration and Land Charges Act 1971 (c. 54); and the Land Registration Act 1986 (c. 26).
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