Compliance trends have shown that often the vendor’s authority and instruction (A&I) form does not record the name of the purchaser(s), or the A&I form records the purchaser’s name incorrectly.
The vendor’s A&I form is the lawyer’s proof of authority to lodge the Transfer. Therefore it is important the A&I form is completed in its entirety with all names recorded in full before execution by the client. Errors or omissions in A&I forms may require the lawyer to go back to the relevant party(s) to have the A&I form amended.
To help minimise any rework, here are some useful tips to ensure the purchaser(s) details are recorded correctly in the vendor’s A&I form:
- Complete the purchaser details within the Create A&I Form screen
Some firms use the Create A&I Form functionality within Landonline. Within the Create A&I Form screen the Name of Other Party details is a free-text field. Lawyers need to click into this field and enter the full names of the purchaser(s) to ensure these populate into the vendor’s A&I.
- Reflect that the Transfer may involve a nomination
When the agreement for sale and purchase (ASP) lists the name of the purchaser ‘and/or nominee’, the vendor’s lawyer may be unsure who will ultimately be the purchaser. In these situations, the vendor’s A&I form must record the name of the purchaser and include the words ‘and/or nominee’.
- Ensure the firm’s checking systems assist to identify any errors or omissions of this nature so that they can be corrected early in the process.