Limited as to parcels

Every once in a while we are requested to provide advice on the implications of a title being “tagged” as Limited as to Parcels. This usually relates to a proposed purchase of a property. We also regularly deal with this situation when undertaking surveys or subdivisions of older titles. We have included the following explanation on our webpage:

www.birchsurveyors.co.nz/terminology/titles/

“When the current system of guaranteed titles was first used, there were a number of properties that had been insufficiently surveyed to determine their correct areas or measurements of the boundaries. These titles were tagged with the words "limited as to parcels", and copies of these titles will have those words on the title. When these titles are subsequently surveyed, either to remove this limitation, or as part of a subdivision, the Surveyor must undertake sufficient survey work to accurately determine the boundaries of the entire site. This can involve significant work as the effect on adjoining titles also needs to be considered and the adjoining owners must agree that the resurveyed boundaries do not adversely affect their titles”

If you contemplating purchasing a property with a Limited as to Parcels title, it would be prudent to request the inclusion of a conditional clause which enables the limitation to be looked into by a Licensed Surveyor. The clause should include the provision for the sale not to proceed if the Surveyor raises any doubts about the accuracy of the title measurements, and the condition being stated as “for the sole benefit of the purchaser”.