- (1) Registration system: – One or more registration systems in respect of immovable and moveable property, including a central office and branch offices, shall be maintained for the purposes of this Act.
(2) Branch offices: – Branch offices of the registration system shall be established at such places as are designated by the regulations.
- (1) Registrar, branch registrars: – There shall be registrars of moveable property security and mortgages, and a branch registrar for each branch
- Idem: – The registrar shall be a public servant designated as registrar by the Royal Government.
- Idem: – The branch registrars shall be those public servants designated by name or position as branch registrars by the
- Seal of office: – The registrar shall have a seal or stamp of office in such form as the Royal Government may
- Delegation: – The registrar, and each branch registrar may designate one or more public servants to act on his or her
- (1) Registration of mortgage: – A notice of a mortgage interest may be registered in the appropriate Dzongkhag or City Corporation, as the case may be, in the prescribed
- Registration of security interest: – A security interest may be registered in the appropriate registry office, in the prescribed
- Notice of security interest in moveable property may be registered in land registry office: – A notice of security interest, in the prescribed form, may be registered in the proper land registry office, where,
- the collateral is or includes fixtures or goods that may become fixtures or crops, or minerals or hydrocarbons to be extracted, or timber to be cut; or
- the security interest is a security interest in a right to payment under a lease, mortgage or charge of immovable property to which this Act
- (1) Effect of registration: – Where a notice has been registered under this Part, every person dealing with the collateral shall be deemed to have knowledge of the security
- No transfer of mortgaged property: – Where a mortgage has been registered under this Part, no conveyance of the mortgaged property may be registered by the Land Records Office without the prior written permission of the
- No transfer of vehicles where security interest is registered: – Where a security interest has been registered under this Act, no conveyance of a motor vehicle may be registered by the Surface Transport Authority without prior written permission of the secured
5. Registering agency liable for registration without permission: – Where
- the Dzongkhag or City Corporation Land Records Office registers a conveyance of mortgaged property in violation of Subsection 94(2) without obtaining a certificate of the registrar issued immediately prior to the conveyance, and indicating that no mortgage is registered, it shall be liable for the mortgage secured by such property; and
- the Surface Transport Authority registers a conveyance of a motor vehicle in violation of Subsection 94 (3) without first obtaining a certificate of the registrar issued immediately prior to the conveyance, and indicating that no security interest is registered, it shall be liable for the debt secured by the vehicle pledged as collateral
and the mortgagee or secured party is entitled to a court order enforcing payment.
- (1) Certificate of registrar: – Upon the request of any person for a search of the land records index, individual debtor name index, business debtor name index, or motor vehicle identification number index, the registrar shall issue a certificate stating, whether the property, name or number with respect to which the inquiry is made is registered in the system as being subject to a mortgage, a debtor, or as a motor vehicle identification number, as the case may be. If a registration exists, the certificate shall provide the registration number of the registered interest and any other recorded
- Certificate proof of contents: – A certificate issued under Subsection (1) shall be issued upon payment of the prescribed fee and is proof, in the absence of evidence to the contrary, of the particulars stated in the certificate at the time the certificate was
- Similar names: – A certificate issued under Subsection (1) may include information relating to a registration which sets out a property, debtor name or vehicle identification number which is similar, in the opinion of the registrar, to the name or number with respect to which the inquiry is
- Certified copies: – If the registration statement, or registration change statement is registered as a document in the prescribed form, a person may require that the registrar furnish a certified copy of the registered statement and, upon payment of the prescribed fee the registrar shall furnish it to the
- Status of certified copy: – A certified copy furnished under Subsection (4) is proof, in the absence of evidence to the contrary, of the contents of the documents so
- (1) Registration by delivery of registration statement: – A registration statement or registration change statement that is a document in the prescribed form may be tendered for registration by delivery to the appropriate branch
(2) Errors do not invalidate the whole registration: – A registration statement or registration change statement is not invalidated, nor its effect impaired by reason only of the fact that it contains an error or omission, or in its execution, or registration unless a reasonable person is likely to be misled materially by the error or omission.
- (1) Transfer of collateral with consent: – Where a security interest in moveable property is perfected by registration and the debtor, with the prior consent of the secured party, transfer’s the debtor’s interest in all or part of the collateral, the security interest in the collateral transferred becomes unperfected fifteen days after the transfer is made unless the secured party registers a registration change statement within such fifteen
(2) Transfers without consent: – Where a security interest is perfected by registration and the debtor, without the prior consent of the secured party, transfers the debtor’s interest in all or part of the collateral, the security interest in the collateral transferred remains perfected.
- Discharge or partial discharge of registration: – A registration may be discharged or partially discharged by the registration of a registration change statement discharging, or partially discharging the
- Demand for discharge:- Where a registration statement, or notice of security interest, or mortgage is registered under this Act, and,
- all the obligation under a security or mortgage agreement, as the case may be, to which it relates have been performed; or
- the agreement provides that part of the collateral covered by a security agreement, or mortgaged property covered by a mortgage agreement to which it relates, as the case may be, is to be released upon payment or performance of such obligations,
any person having an interest in the collateral covered by the security agreement , or
mortgaged property covered by the mortgage agreement, may deliver a written notice to the secured party or mortgagee demanding a registration change statement or a certificate of discharge or partial discharge.
Within 15 days of receipt of such demand, the secured party or the mortgagee, as the case may be, shall give to the person demanding it, the registration change statement, or the certificate of discharge or partial discharge, or both, as the case may be.
- (1) Removal of information from registration system by registrar without notice: – The registrar may remove from the registration system, information related to a registration statement, or registration change statement,
- if the registration statement is no longer effective;
- upon the receipt of a registration change statement discharging the registration;
- upon receipt of a Court order requiring the registrar to amend the information recorded in the registration
(2) Where notice is required for removal: – The registrar, upon notice to the secured party, may remove from the registration system information related to a registration change statement if,
- it does not set out the correct registration or file number of the registration statement, or registration change statement to which it
- It does not set out the name of the debtor as that name is set out in the registration statement or registration change statement to which it
- Transitional provisions: – The provisions of this Part shall not take effect until such time as the Royal Government so declares and until such time the systems and procedures of registration which are in place at the time this Act comes into force shall remain in full force and effect and compliance with such systems and procedures shall be compliance with all registration requirements required under this