Register of Overseas Entities - Practical Implications for Property Lawyers

Introduction

The Economic Crime (Transparency and Enforcement) Act 2022 (ECTEA) was introduced in August 2022. It was rushed through 'at pace', as Companies House put it, as a swift reaction to the situation in Ukraine and out of a desire to ascertain the beneficial ownership of any 'overseas entity' that acquires land in England and Wales, or which has held land here since 1999.

The Register of Overseas Entities (ROE) that came about as a result of ECTEA ushers in a huge change in conveyancing practice and procedure where overseas entities (OE) are buying, selling mortgaging or simply continuing to own property in England and Wales. Information on the ROE must be updated every year, even if there have been no changes. Failure to comply with ECTEA requirements is a criminal offence.

Even if your client is a UK entity buying or taking a lease from an OE, or lending to an OE, you need to understand ROE to ensure that your client is protected.

The ROE is extremely complex, and having been rushed into force, some provisions are not ideal. This one-hour introductory webinar aims to unravel the complexities of the ROE and to explain how your day-to-day conveyancing practice will be affected.

What You Will Learn

This webinar will cover the following:

• The milestones - 1 August 2022, 5 September 2022, the 6-month transitional period - what happens when and how will each milestone affect OEs?
• What is an 'overseas entity'?
• What is a 'qualifying estate'?
• Who are the 'beneficial owners' of the OE?
• How do you register an OE on the ROE - and what are the 'verification requirements' to do so? Who can verify?
• Land Registry requirements - which forms are being updated?
• The requirement for an OE ID before a Land Registry application can be made - when does that come in?
• Transitional provisions at Land Registry - some breathing space for some transactions up till January 2023?
• Looking back - notifying relevant dispositions made by an OE between 28 February 2022 and the end of the transitional period
• Looking further back to land held by OEs since 1999 - how will it work?
• The Land Registry restriction for land held by an OE - and the exemptions
• Duty to update the ROE ID
• Additional ROE drafting for contracts etc
• Buying or letting property from an OE or lending to an OE - what do you need to do to safeguard your client?

This webinar was recorded on 24th August 2022