In a world in which there is an increasing ability to undertake transactions online and to complete ID checks remotely, there is a growing danger that property transactions could be completed fraudulently. Consider, for example, a situation where a tenant lives in a property and has sufficient ID to convince a solicitor they are the legal owner. The property could be sold without the real owner being aware.
What is a Form LL restriction?
HM Land Registry advises that a Form LL restriction should be a required part of any conveyancing process. The Form LL restriction is placed on the title of the property and means that if the owner wants to sell or lease the property, this can only be done once a qualified solicitor such as https://www.parachutelaw.co.uk/form-ll-land-registry-restriction has verified the ID and provided a compliance certificate to have the restriction removed.
Who should consider a Form LL restriction?
Anyone who has a property should consider entering a Form LL restriction; however, some situations are more likely to make a property owner susceptible to fraud.
Property owners who are renting their property out, when the property is empty or the owner is overseas for prolonged periods will all be more likely to be the victim of fraud and should contact a solicitor to ensure there is a Form LL restriction on the property in question. Different forms are used at HM Land Registry depending on how the property is held; for example, there may be one or multiple owners or the property may be held by a company. The process in such cases is still considered to be a Form LL restriction.
Protecting a property in this way dramatically reduces the chance of a fraudulent transaction.