XN000022-1984-07-25 — Page 29

WEDNESDAY, JULY 25, 1984

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MR GLEESON AND THE DEPUTY LAW DRAFTSMAN, MR J.K. FINDLAY, ALSO HAD A NUMBER OF MEETINGS WITH MR PETER C. WONG OF THE LEGCO UNOFFICIALS LEGISLATION SCRUTINY GROUP DURING WHICH A NUMBER OF FINAL AMENDMENTS TO THE BILL WERE DISCUSSED AND AGREED ON.

MR GLEESON SAID THAT ALTHOUGH THE ORDINANCE WAS A HIGHLY TECHNICAL MEASURE OF IMMEDIATE INTEREST TO LAWYERS, IT ALSO AFFECTED PROPERTY OWNERS IN HONG KONG WHO, INCLUDING THOSE IN THE NEW TERRITORIES, NOW NUMBER ABOUT ONE MILL ION.

THE ORDINANCE WAS ALSO OF PARTICULAR INTEREST TO BANKERS INASMUCH AS IT INTRODUCED A NEW SYSTEM OF CHARGING PROPERTY AS A SECURITY FOR MONEY LENT. THE HONG KONG ASSOCIATION OF BANKS HAD BEEN CONSULTED AND WAS IN AGREEMENT WITH THE NEW LAW, PROCEDURES AND FORMS IN THIS RESPECT.

MR GLEESON POINTED OUT THE MORE IMPORTANT CLAUSES WHICH MADE PROVISIONS FOR THE FOLLOWING MATTERS:

(1) THE OWNERSHIP OF PROPERTY BY TWO OR MORE PERSONS;

(2) A SIMPLIFIED AND EXPEDITIOUS COURT PROCEDURE FOR

RESOLVING DISPUTES RELATING TO LAND;

(3)

(4)

(5)

(6)

(7)

THE SIMPLIFICATION OF THE VENDOR'S OBLIGATION TO PROVIDE PROOF OF TITLE OF LAND PURCHASED;

THE IMPLICATION OF COVENANTS FOR TITLE TO LAND WHICH SHOULD REDUCE THE LENGTH OF CONVEYANCING DOCUMENTS;

THE INCORPORATION OF COVENANTS AND CONDITIONS INTO CONVEYANCING DOCUMENTS BY REFERENCE, ALSO FOR THE PURPOSE OF REDUCING THE LENGTH OF LEGAL DOCUMENTS RELATING TO LANDI

STANDARD CONVEYANCING DOCUMENTS IN A SHORT AND SIMPLIFIED FORM AND

A NEW SYSTEM OF MORTGAGING BY WAY OF CHARGE, IN PLACE OF THE ARTIFICIAL ASSIGNMENT OF THE LEGAL ESTATE, WITH INCREASED PROTECTION FOR LENDERS.

HE SAID THAT THOUGH LEGISLATION AS TECHNICAL AS THIS MIGHT REQUIRE AMENDMENT FROM TIME TO TIME OVER THE YEARS, AS DID SIMILAR LEGISLATION IN THE UNITED KINGDOM AND OTHER DEVELOPED PARTS OF THE WORLD, HE HOPED THAT BASICALLY IN ITS PRESENT FORM IT WOULD SERVE HONG KONG AS WELL AND FOR AS LONG A PERIOD OF TIME, AS DID THE ENGLISH COMMON LAW AND THOSE MEDIEVAL ACTS OF PARLIAMENT WHICH IT NOW TO A SIGNIFICANT EXTENT REPLACES.

MR GLEESON SAID THAT THE BILL WOULD COME INTO OPERATION ON NOVEMBER 1, 1984.

THIS WOULD GIVE CONVEYANCING LAWYERS AS WELL AS BANKS AND DEPOSIT-TAKING COMPANIES TIME TO REORGANISE THE IR PROCEDURES AND ADAPT TO THE NEW SYSTEM.

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