sheet of the proprietor who does not
possess the land then that party would have a prima facie claimon the Keepers indemnity under
section 12(1)(a). By way of further illustration,
suppose the Keeperreceives
an application on Form 1 to register the title
to one of a terrace of houses. These are servedby
a mutual access road. In error the Keeper includes part of the roadway within
the registered title.The
registered proprietor is issued with a land
certificate and proceeds to build a wall
along theboundary
as disclosed by the title plan. This impedes the passage of the other proprietors
who ofcourse have
an overriding interest in the form of an unfettered servitude right of passage.
When thefacts
are explained, the registered proprietor consents to rectification; but, because
loss is suffered asa
direct result of the rectification, the Keeper reimburses directly incurred costs
including the buildingand
removal of the wall under his indemnity.
Such a claim would typically also include
thereimbursement
of any associated expenses and would include reasonably incurred legal expenses.12(1)(b) Refusal or omission of the
Keeper to make such a rectification;7.13 Where
the register contains an inaccuracy, the Keepers powers to rectify are circumscribed
by theprovisions
of section 9(3)(a). However, where the Keeper refuses
or omits to rectify the register, andloss
results, section 12(1)(b) provides for indemnity.
This may be seen from the case of Kaur v Singhwhere in terms of
the declarator pronounced on 22nd February
1999, the pursuers (Mrs Kaurs)signature was held to be forged, and
therefore the disposition did not transfer the pursuers interestin the flat to Mr Singh. Consequently
the register was inaccurate insofar as it showed Mr Singh asproprietor of the interest that belonged
to Mrs Kaur. Mrs Kaur was entitled to be indemnified in termsof section
12 (1)(b), because the Keeper was obliged to refuse to rectify the register
against Mr Singhas
he was a proprietor in possession and none of the circumstances at (i) to (iv)
of subsection (3) ofsection
9 applied.Another
example of a claim litigated under this head is to be found in MRS Hamilton Ltd
v the Keeperof
the Registers of Scotland (No. 1). The inaccuracy in that case was that the extent
of the registeredinterest
of a tenant under a long lease considerably exceeded the square measurement
contained inthe
lease itself. A speciality of the case was that it was only a number of years
after the first registrationof
the tenants interest that the pursuer acquired the estate from which the
lease derived. The pursueraverred
that both it and its immediate predecessor in title had acquired the estate in
ignorance of theerror
(an averment the defender was not in a position to contradict) and that the consideration
hadin each
case been unaffected. The court
found that, where no previous
owners had beencompensated
for the diminution of their rights because of the error in registration, the pursuers
whohad first
become aware of the diminution and had been refused rectification could be regarded
ashaving suffered
a loss as a result of that refusal. 12(1)(c)
Loss or destruction of any document while lodged with the Keeper.7.14 Despite the enormous
number of documents dealt with by the
Registers, loss rarely occurs.Should
this happen the Keeper will pay the reasonable costs incurred in reconstituting
any lost deedsor
documents. Alternatively the Keeper will pay for obtaining extracts if these are
available, or the costsof
a Court action to prove the tenor of a lost document if this becomes necessary.12(1)(d) An error or omission in any
land or charge certificate or in any information given by the Keeperin writing or in such other manner
as may be prescribed by rules made under section 27
of the Act.7.15 The
event envisaged here is an error or omission in a land or charge certificate or
in an officecopy
or report or other writing issued by
the Keeper. The phrase such
other manner as may beprescribed by rules foreshadows
the possibility of the introduction of additional means of providinginformation such as electronic transmissions.
If, for example, a pre-registration report supplied by the