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Property Lawyers and Conveyancing Solicitors in Manchester at Ford Banks Irwin Solicitors for Charities

 
Please note: Not to be used or relied upon without legal advice. These notes are for illustrative purposes ONLY

. . . continued from page 8

Solicitors for Charities

The Execution of Deeds:
A disposition containing a certificate by the charity trustees must be executed by them as well as by the registered proprietor of the Property.  If, however, the charity trustees are also the registered proprietors of the Property, a single execution by each of them is sufficient. Where any proprietor has died, or if a company or other body corporate has been dissolved, evidence to that effect must be provided with the application. Where appointments or discharges of trustees have not previously been reflected in the register an application to give effect to them must be made before, or at the same time as, any application for registration of a disposition by the trustees.


Execution by charity trustees:
Charity trustees may delegate to no fewer than two of their number an authority to execute in the names and on behalf of the trustees any deed giving effect to a transaction to which the trustees are a party.  The effect is that where Property is registered in the names of charity trustees any two or more of them may be authorised to execute a transfer, charge (mortgage) or other disposition of the Property on behalf of all the registered proprietors.  Property Lawyers and Conveyancing Solicitors draft the documents in readiness for execution by the charity trustees.

It is considered that the charity trustees may also delegate the power to give the required certificates under the Charities Act 1993.

The following is a suggested form of wording:
Signed as a Deed on behalf of the trustees
(or other term used in the deed, e.g. 'transferors')
by AB and CD, two (or as the case may be)
of their number under an authority conferred
pursuant to section 82 of the Charities Act 1993

Signature of Witness:
Name of Witness:
Address of Witness:

The wording assumes that the authorised trustees will meet to execute the deed at the same time.  If the authorised trustees will be executing the deed at different times, a separate execution clause in the following terms is normally provided by the Property Lawyers and Conveyancing Solicitors for each of them:

Signed as a Deed on behalf of the
trustees (or other term used in
the deed, e.g. 'transferors') by AB,
one of their number under an
authority conferred  pursuant to
section 82 of the Charities Act 1993

Signature of Witness:
Name of Witness:
Address of Witness:

   
The Land Registry will not require any evidence of the delegation if:
- the transfer, charge (mortgage) or other disposition states that it has been executed in pursuance of section 82 Charities Act 1993, and
- the disposition is for money or money's worth and there is no reason to doubt the good faith of the person in whose favour it is made

In any other case, the Land Registry will require strict proof that the authority has been properly conferred and is still subsisting.

The procedure can also be used if the registered proprietor of the Property is the Official Custodian for Charities.

In the absence of a delegation under section 82 Charities Act 1993 the deed must be executed by all the trustees using the form of execution appropriate to an individual as follows:

Signed as a Deed by
(full name of individual)
in the presence of:

Signature of Witness:
Name of Witness:
Address of Witness:
 


Execution by incorporated trustees under Part VII of the Charities Act 1993
Provision is made for execution of deeds by a body of trustees incorporated under Part VII of the Charities Act 1993.  It is considered that these provisions apply both to the execution of the deed as registered proprietor and, when the deed contains a certificate by the charity trustees, to the execution of that certificate.

Where a body corporate has a common seal a disposition can be executed by the affixing of the common seal.  The wording appropriate to a company may be adapted by the Property Lawyers and Conveyancing Solicitors for the purpose.  

Where the incorporated trustees do not have a common seal or choose not to use it, the Charities Act 1993 provides two other methods of execution.  Provided that the disposition purports to be executed in either way it is deemed to have been duly executed in favour of a purchaser.  It appears that a deed does not, in such cases, have to be signed in the presence of a witness. The alternatives are as follows:
- It may be executed by a majority of the individual charity trustees and expressed to be executed by the body.  There is no prescribed form of words. Property Lawyers and Conveyancing Solicitors may consider the following wording:
Signed as a Deed by and on behalf
of the transferor (or other term
used in the Deed) by AB and CD
(or as the case may be) being a
majority of the incorporated
trustees of that body under the
provisions of section 60 (3)(a) of
the Charities Act 1993.

- It may be executed in pursuance of an authority conferred on any two or more trustees to execute in the name and on behalf of the body corporate, under section 60(4) Charities Act 1993.

The Authority:
- must be in writing or by resolution of a meeting of the trustees
- may be framed so as to permit any of the trustees to act or maybe restricted to named trustees or in any other way, and
- subject to any such restriction, and until it is revoked, must, notwithstanding any change in the charity trustees, have effect as a continuing authority.

It is suggested that the following form of wording should be used by Property Lawyers and Conveyancing Solicitors:
Signed as a Deed on behalf of the transferor (or other term used in the Deed) by AB and CD being two (or as the case may be) of the incorporated trustees of that body under an authority conferred on them under the provisions of section 60(3)(b) of the Charities Act 1993.

Either procedure can also be used by Property Lawyers and Conveyancing Solicitors to execute on behalf of the Official Custodian where the registered Property Title is held by the Official Custodian on behalf of the charity.
    

(All italics in this page are Crown Copyright and reproduced here for your information with permission from HM Land Registry)

  
. . . continued on page 10 (Property Lawyers and Conveyancing Solicitors in Manchester page 10)

If you require any further information please telephone 0161 866 8999 and we will be happy to help.

    

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