CONVEYANCING: pilot offers clients improved access to information, but fears voiced over costs


The prospect of electronic conveyancing moved closer this week after the Land Registry launched the pilot of its chain matrix system.



The prototype should allow conveyancers, estate agents and the house-buying public to see how every sale in their buying chain is doing. In as little as two years, it could also be used to allow simultaneous exchange of contracts and funds.



But how much it will cost lawyers and their clients to use is still unknown, which leaves the possibility that it may mean added costs to the house-buying process.



The registry is conducting consultations this year into how its e-conveyancing system should work, but currently there are discussions in government and the registry about how much the system would cost to run. This should relate to how much users are charged, though there is still the possibility that the service might go ahead at little or no charge.



Richard Barnett, senior partner of volume conveyancing firm Barnetts, said the system would be a great addition in terms of efficiency and access to information for lawyers and clients, but the possibility that costs could rise hangs over the project.



'If it becomes compulsory or a de facto compulsory system, what if the Chancellor says it's going to cost thousands to enter the system?' he asked. 'It's a fantastic system, an excellent layer in e-conveyancing. But this has been set up to be compulsory and I'm not sure being compulsory is a good idea.'



The pilot system is to run for six months in Bristol, Fareham and Portsmouth, after which there will be a phased or straightforward national roll-out. For now the system is web-based, but the registry intends to introduce text messaging and integration with law firm case management systems from next year.



David Brown, who heads up Abbey Law Solicitors, a small law firm in Bristol, has been involved in the project from the beginning and said the idea could save law firms money by making conveyancing more streamlined and reliable.



'You will hopefully at a glance see the stage every member of chain has reached, and if there's any problem it should be apparent that there's likely to be a hold-up,' he said. 'There should be no last- minute surprises.'



It should also push lawyers into being more skilled at using technology. 'It shows the law firms are keeping up to speed and dealing with matter efficiently. It's a way of portraying the firm as an efficient unit,' Mr Brown added.



Rupert White