N.Y. Real Property Law § 436: Termination of title registration procedures

§ 436. Termination of title registration procedures. 1. As used in

this section:

a. "Adverse instrument" means any document, instrument or paper that

adversely affects, but does not convey, the fee title to registered

land, and the validity of which is not dependent upon consent by an

owner of the registered land or some person claiming by, through or

under that owner. Adverse instruments include, but are not limited to,

mechanics' lien claims, judgments, and lis pendens notices. Adverse

instruments do not include sheriff's deeds, marshall's deeds, or tax

deeds.

b. "Voluntary instrument" means any document, instrument or paper that

either conveys the fee title to registered land or affects title to

registered land and the validity of which is dependant upon consent by

an owner of the registered land or by some person claiming by, through,

or under that owner. Voluntary instruments include, but are not limited

to, deeds, including tax deeds, sheriff's deeds and marshall's deeds,

mortgages, assignments of mortgage, leases and grants of easement or

license.

c. "Registered land" means real property and interests in real

property, which have been registered under this article.

d. "Registrar's certificate of title" means a document issued pursuant

to section three hundred ninety-four of this article.

2. On and after the effective date of this section, no title to land

may be registered under this article. Provided, however, that every

certificate of title or instrument affecting title filed prior to the

effective date of this section shall be registered pursuant to the

provisions of this article.

3. On or after the effective date of this section and before January

first, two thousand, the registrar shall accept only adverse instruments

which he or she shall register pursuant to this article.

4. On and after the effective date of this section the registrar shall

refuse to accept for registration any instrument that is a voluntary

instrument. Instead of accepting such instruments for registration, the

registrar shall upon payment of the statutory recording fee, deliver to

the county clerk, or in the counties of Bronx, Kings, Queens and New

York, the register for recording each current certificate of title to

all lands affected by that voluntary or adverse instrument. Before

delivering the certificate, the registrar shall memorialize or note on

the certificate any instruments relating to incumbrances, charges,

trusts, liens and transfers that have been filed with the registrar that

have not been memorialized or noted. A certificate of title shall be

delivered in the form required for recording.

5. On or before January first, two thousand the registrar shall

deliver to the county clerk, or in the counties of Bronx, Kings, Queens

and New York, the register for recording the certificates of title of

all remaining land which was previously registered under this article.

Before delivering those certificates, the registrar shall memorialize or

note on the certificates any instruments relating to incumbrances,

charges, trusts, liens and transfers that have been filed with the

registrar and that have not yet been memorialized or noted. A

certificate of title shall be delivered in the form required for

recording.

6. As of the date of recording of certificates delivered pursuant to

subdivision four or five of this section, the recorded certificates

shall be subject only to incumbrances, charges, trusts, liens and

transfers as may be memorialized or noted on the certificate, and free

from all others except those set forth in section four hundred of this

article.

After the recording of certificates which are delivered under

subdivisions four and five of this section, title to lands shall be

conveyed or encumbered in the same manner as set forth in article nine

of this chapter. All instruments noted or memorialized on the

certificates of title so recorded shall have the same force and effect

as if they were filed with the county clerk, or in the counties of

Bronx, Kings, Queens and New York, the register at the time they were

noted or were otherwise memorialized on the certificates of title. No

instrument, however, that was filed, docketed or recorded by the county

clerk, or in the counties of Bronx, Kings, Queens and New York, the

register, but that was not duly registered, shall become a lien,

incumbrance, trust or charge against any title which was delivered

pursuant to subdivisions four and five of this section, unless such

instrument was filed, recorded or docketed after the date such title was

recorded, provided, however, that a judgement docketed by the county

clerk prior to the time a certificate of title was recorded shall be

valid as against such land if the landowner received notice of such

judgment.

7. Recording of a certificate of title under subdivision four or five

of this section, shall not disturb the effect of any proceedings under

the registry system where the question of title to the real property

registered under this article has been determined. All proceedings

concerning the registration of title before delivery to the appropriate

office under subdivision four or five of this section, and all

provisions of this article that relate to the status of the title, shall

have continuing force and effect with respect to the period of time that

title remained under the registry system. Those provisions giving rise

to a right of action for damages against the county shall also continue

in force and effect with respect to the period of time that title

remained under the registry system.

8. Nothing contained in this section terminates, diminishes or impairs

any existing right in or pertaining to registered land or any existing

right to resort to the assurance fund created under sections four

hundred twenty-six through four hundred twenty-nine of this article and

that right may be asserted and enforced in the same manner, to the same

extent, and subject to the same limitations as provided in those

sections.

9. No claim shall be made based upon prescription or adverse

possession for land which was recorded under subdivision four or five of

this section and which was previously registered under this article

until after such time as the property is transferred or conveyed and the

elements of such claims may be established against a subsequent owner.