Valenti LAwyers and pexa
What is PEXA?
PEXA stands for Property Exchange Australia. It is an online exchange platform that allows property settlements and lodgements of land transaction documents to be completed electronically. Electronic Conveyancing was mandated in Western Australia on 1 December 2018.
How long have Valenti Lawyers been using PEXA?
Valenti Lawyers were one of the early adopters of the PEXA system and attended many seminars and discussions regarding the system before it was implemented.
We began using PEXA at the end of 2016 for standalone lodgements of Discharges of Mortgages and new Mortgages and started completing financial settlements in mid-2017. We have completed close to 1,300 transactions to date, with more settling every day.
What are the benefits of using PEXA?
Previously, property settlements were completed in paper and signed documents and bank cheques would be exchanged. This would sometimes cause delays in settlements, as errors in documents or signatures would often not be picked up until the day of settlement.
Documents would then lodged with the land registry (Landgate) and cheques would be deposited with the bank.
In an electronic world, all documents are verified with Landgate prior to settlement. This removes the risk of error, and settlements are more likely to go through on their scheduled settlement date. Documents are lodged with Landgate immediately upon settlement, as opposed to in a paper world where documents may not be lodged until a few hours, or even days, after settlement.
The need to wait for a cheque to clear is also removed when settling electronically, and settlement funds are usually received within the same day of settlement.
What is required from our clients in an electronic transaction?
From the client’s perspective, there is not much difference with what is required, other than an additional Client Authorisation Form which needs to be signed before we can represent them electronically. Then we will take care of the settlement and lodgement process.
How do Valenti Lawyers keep on top of PEXA changes?
We have a PEXA Partner who we meet with regularly to discuss any updates and enhancements in PEXA.
We have also recently begun attending meetings of the Learned Knowledge Management Forum where we meet with representatives from other law firms to discuss changes in PEXA and share any tips and tricks we have learnt with the system. This is something that we are looking forward to continuing on with.
***Please note, these comments are general in nature and are not intended as legal advice.