With the introduction of the Land Title Act 1994 (Qld), Queensland moved towards an electronic system of title registration, marking a shift away from reliance on physical certificates of title. Under the previous system, dealings affecting a property were recorded on the certificate of title, and possession of that certificate was significant, as it could be used as evidence of ownership or provided as security. Under the current regime, title information is maintained electronically. Physical certificates of title were progressively phased out and, following legislative amendments commencing on 1 October 2019, certificates of title no longer have legal effect. Transactions can now proceed without the need to produce or return a physical title document.

Impact of the changes to title deeds in Queensland

• Security: Holding a physical certificate of title no longer provides security for a mortgagee
• Equitable mortgages: The use of a certificate of title as security for an equitable mortgage is no longer effective
• Fraud protection: Possession of a physical certificate does not provide protection against fraudulent dealings

What you need to know

These changes do not affect most property owners. However, parties who previously relied on possession of a certificate of title as security will no longer have that protection and should ensure that appropriate security, such as a registered mortgage, is in place. If you require advice on property transactions or securing your position as a creditor, legal advice should be obtained promptly. For advice on title deeds and property transactions, contact Peter Muller at peterm@qbmlaw.com.au Sally Chipman at sallyc@qbmlaw.com.au