At first glance, a misspelled name or street address in a publicly registered document (e.g., a title transfer or purchase agreement) may seem like a simple mistake. No big deal, right? But even the simplest mistake in public records can lead to increased costs and closing delays. In the worst-case scenario, with fraud a very real concern, it could cause you to lose ownership of your property.
Under Canadian law, proof of ownership legally entitles the named person or entity to a piece of property. This is established by document registration in the province or territory land registry system. In Ontario, this is referred to as a Certificate of land title.
The public records of the property registered with the local land registry or courthouse are legally binding documents and contracts that give ownership to a person or group. Errors or omissions to said documents can lead to financial hardships and/or loss of ownership to fraudsters.
Common errors or omissions regarding the property description or the legal name of the owner can impact the title.
Understanding the Impact of Errors on Public Records
What are the legal consequences of inaccuracies in public records? It only takes one small omission or misspelling to halt a property sale or to completely void ownership. Financial implications affect the buyer and the seller and can lead to increased costs for the former property owners.
While in Ontario, having title insurance is not mandatory when purchasing a property, it can help protect you from legal and financial responsibility. A title search is done during a real estate transaction to check for any errors within the registered documents that pertain to the property. This is when omissions, errors, and any defects can be found. Most discrepancies within public records tend to be a result of filing and clerical errors. As innocent as these mistakes might seem, they can cause financial burdens for the parties involved in the real estate transaction.
Errors and omissions covered under basic title insurance include ownership by another person or entity, incorrect signatures, flawed records, undisclosed easements, and liens or lawsuits set against the property.
A property can be declared as defective by the Land Registrar, rendering the real estate transaction questionable in some cases, especially if a public record error is made when it comes to title ownership and deed. In addition, without a title search and protective insurance, the named individuals within the real estate documents can be liable for errors discovered in future transactions.
For example, if a registered property description omits a percentage of land acreage, that acreage could revert to the previous owner. In this case, the new owner will not be able to sell that portion of the land in a future property sale, and/or the sale may be rejected as the assessed value does not equate to the original agreement.
Why Should You Hire a Toronto Real Estate Lawyer to Correct Errors?
A real estate or title defect lawyer has the expertise, experience, and knowledge in navigating the local property laws. They will have security access to any updated information and resources that are needed to legally submit an error correction.
By confirming that there are no claims or unpaid taxes and that the title for said property is clear, it will be easier to validate the property information. A property lawyer may be able to “save” the contract and retain the proper title with their knowledge of public record discrepancies. As with any legal changes to a registered document, there may be delays and additional fees to the tally.
Identifying Errors in Public Records
While the advancement of technology has seen a reduction in the type and number of errors within public record documents, it can still happen. Identifying these mistakes can save thousands of dollars and protect the ownership of the property in question.
A thorough review of the documents can help detect any errors or omissions by comparing names, addresses, property measurements and descriptions, PINs, assessment details, dates, and ownership information side by side.
Legal Procedures for Correcting Errors
Correcting errors for legal purposes is known as rectification. New or existing deeds or agreements can be corrected through a court application process in cases where the interested parties dispute the requested correction.
A reputable real estate property lawyer is needed to ensure that all corrections are filed with the respective government agencies as these are legally binding documents. All discrepancies should be addressed and registered with the land registry offices to confirm the title ownership of said property.
The real estate lawyer will use evidence to justify why the error needs correcting, whether that includes a misspelled name, improper address, or incorrect property measurements. A court petition for the amendment is required in these cases.
Collaborating with Zinati Kay for Error Rectification
As experienced title search lawyers, the team at Zinati Kay – Real Estate Lawyers provides full residential real estate services across Toronto, the GTA, and southern Ontario. Over the past 25 years, we have helped thousands of people like you protect your biggest investment with error rectification strategies.
We are a team of four experienced lawyers and seven skilled clerks who recognize the importance of direct communication in significant financial transactions. Our goal is to provide you with the best legal representation throughout the buying or selling process.
Contact Zinati Kay – Real Estate Lawyers for a Consultation
To prevent or correct an existing error on a property purchase agreement, contact Zinati Kay – Real Estate Lawyer in Toronto. With more than 25,000 successful transactions with no claims or disputes, we can help you navigate the complex buying, selling, title transfer, and mortgage refinancing processes. Call us for professional and comprehensive legal assistance at (416) 321-8766.