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Buying in Brisbane - Title Encumbrances

Discussion in 'The Buying & Selling Process' started by ycdfdyan, 29th Jul, 2016.

  1. ycdfdyan

    ycdfdyan Member

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    Hi, I was about to put in an offer for a house in Brisbane and have requested the agent to send me a copy of the contract.

    In the title encumbrances it states: Any statutory encumbrances or rights for water supply, sewerage, drainage or other utilities including man holes. The agent asked me to talk to my solicitor as these are unregistered.

    Has any of you come across this before?

    Thanks :)
     
  2. RPI

    RPI Property Lawyer, Town Planner Business Member

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    Hi Ycd

    this is a result of a court case where it was found that a council sewer running across a lot was either a statutory or unregistered encumbrance and so there was a defect in title and the buyer could terminate.

    Go to 1100.com.au and do a search based on excavation of the block. That will tell you if there are any underground services on the lot. It is free for you and will save you money on conveyancing searches also.
     
    Luke T likes this.
  3. ycdfdyan

    ycdfdyan Member

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    Thank youn very much for your reply.
     
  4. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    I tried to registered for that 1100.com but can't get thru. It keeps saying my passwords are not identical.
     
  5. ycdfdyan

    ycdfdyan Member

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    Hi RPI,

    Thanks for your advice. I have run a check through 1100.com and based on the urban utilities sewer and water map and the BCC's stormwater map, there is a stormwater pipeline running parallel to the site boundary (very close to the boundary). The stormwater pipeline is marked UNkonwn dia unk on BCC's stormwater map. As far as I can see no manholes within the property boundary.

    What is the potential trouble this unregistered encumbrance can make? Is this a court case between the council and the lot owner?

    Sorry for the silly questions and thanks again for your help.
     
  6. Scott No Mates

    Scott No Mates Well-Known Member

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    Usually a problem when you get two solicitors in a room to agree on an issue but unusual when it is only one person. You must be wearing too many hats @Terry_w
     
  7. RPI

    RPI Property Lawyer, Town Planner Business Member

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    Doesn't sound like any hassle to your block.

    If not on the contract buyer can terminate up to settlement.
     
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  8. JDM

    JDM Well-Known Member

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    Water supply and sewer pipes below a certain diameter (300mm from memory - could be wrong) are protected as statutory easements and don't need to be registered on title with an easement in the usual way. As pointed out by RPI, case law suggests buyers may be able to terminate for undisclosed statutory easements.

    Rather than allowing a buyer a right of termination where pipes may exist it is a good practice to include a catch all clause like the one used in this case. It is then on the buyer to their own due diligence to consider any statutory easements that may exist.

    In your case as the pipes run outside the boundary of the property you have nothing to worry about. If the boundary was inside your property the owner of the pipes would have certain access rights over your property and you may also have obligations and restrictions (allowing access, not building over etc).