Three Way Document Registration Agreement
`4. (a) the registration of electronic documents; Rule 7.2-11 of the Rules of Ethics deals with the obligations and conditions of trust of lawyers. This rule states that a lawyer «must not give an obligation that cannot be respected, fulfill any given obligation and respect any condition of trust as soon as it has been accepted». In the case of real estate transactions using the Electronic Securities Registration System (E-Reg), lawyers acting for the parties sign (with their agreement) a document registration agreement with obligations. The rule commentary reminds lawyers once again that they must never give an obligation that they cannot fulfill. As for the terms of the DRA itself, the seller`s lawyer is not allowed to release funds or graduation documents until the earlier date: once you have received the funds and other graduation documents, immediately inform the buyer`s lawyer of any possible default. If there are none, sign the deed/transfer for completeness and release and inform the other lawyer by means that you know will be received. If you need to leave a message, follow it in a timely manner to make sure your message has been received. You are not allowed to release the funds until all documents submitted to the DRA have been registered or the deadline set by the DRA has expired. (c) receive notification of the registration of electronic documents to the reporting lawyer. I still think the electronic registration system in Ontario («e-regTM») is very special and has really updated our real estate practices. But the problem I`ve observed is that in this era of faceless closures, some lawyers have forgotten (or may never have known) the meaning of that phrase «we`re closed now,» which historically meant that fiduciary service has been unlocked and so you can unlock the keys/money depending on what`s going on.
Based on the above, the seller`s lawyer may release funds if he finds in the Teraview system that the transfer has been registered (in the event that the buyer`s lawyer has not had the courtesy to announce that the transfer has been registered). Otherwise, it would seem that if the transfer was not recorded before 18:00.m. . .