Unregistered instrument or interest
61(1)Notwithstanding any rule of law or equity to the contrary, a person contracting or dealing with or taking or proposing to take a transfer of or interest in registered land from the owner thereof is not, except in the case of fraud by such person,
(a)
bound to inquire into or ascertain the circumstances in or the consideration for which the owner or any previous owner of the land is or was registered or to see to the application of the purchase money or of any part thereof; or
(b)
affected by notice direct, implied or constructive, of any unregistered instrument or interest or claim affecting the land.
61(2)Knowledge on the part of any such person that any unregistered instrument or interest or claim is in existence shall not of itself be imputed as fraud.
61(3)Subject to section 49 of the
Personal Property Security Act, no person contracting or dealing with or taking or proposing to take a transfer of or an interest in registered land from the owner is affected by a registration in the Personal Property Registry whether or not that person has notice or knowledge of the registration.
61(4)The fact that a person referred to in subsection (3) has knowledge of a registration in the Personal Property Registry, or that that person could have obtained knowledge by searching the Personal Property Registry, is not evidence of fraud for the purposes of subsection (1).
1983, c.45, s.27; 1993, c.36, s.8