The system of ownership of immovable properties by Deeds differs in many respect to the Torrens system. This article will give you a brief description of the differences between ownership by deed and ownership in the Torrens system.
Legal Title
In the Deed system, the legal title on the estate passes upon the act of parties. In the Torrens system, the legal title passes upon the act of the State i.e. when the relevant authorities make an endorsement indicated the transfer of legal title.
Title
In the Deed system, the title to the land is manifested through the chain of deeds. In the Torrens system, the Issue Document of Title (also commonly known as the Land Grant) provides the record of the ownership.
Convenience
In the Deed system, a potential buyer for the piece of land would have to sieve through various sale and purchase agreements and deeds to satisfy himself that the vendor is the current owner. In the Torrens system, a search at the registry would indicate the ownership.
Adverse Possession
The doctrine of adverse possession is recognised in the Deed system. Not so in the Torrens system.
Security
As security for lending and similar transactions, the owner mortgages and conveys the land to the mortgageee. In the Torrens system, the title continues to be vested in the owner. The register merely shows that the title has been pledged (charged) to the chargee.