Negative Searches and Builders
The Conveyancing Committee was asked to review the practice of Builders’ Solicitors providing negative searches. The Committee made enquiries of the Registry of Deeds and understands that the Registry still operates the system whereby negative searches may be lodged, written-up, taken out and then relodged for updating. The Committee is of the view that the obligation lies on the solicitor acting for the Builder to provide each Purchaser’s solicitor with an up-to-date negative search. The Builder’s Solicitor should lodge the search before the commencement of the development and provide each purchaser with a copy of the search. On the completion of the development the search should be lodged by the Builder’s Solicitor for updating and a certified copy with all acts explained/discharged sent to each Purchaser’s Solicitor. Solicitors acting for purchasers of new houses should obtain an undertaking to the above effect from the Builder’s Solicitor on closing. 9