Conveyancing could grind to a halt under new Land Registry rules for requiring proof of identity, the chairman of the Law Society property section, Peter Rodd, has warned. Solicitors should be ‘very cautious’ about dealing with new forms which could expose them to liability.

New versions of forms AP1, DS2 and FR1, introduced on 10 November, require solicitors to give details of conveyancers acting for all the parties to the transaction and, where a party is unrepresented, to provide evidence of that party’s identity.

Rodd said this requirement presents practical difficulties, particularly when dealing with institutional mortgage lenders.

The change was introduced to combat fraud, which last year cost the Land Registry almost £4m in compensation claims.

Pascal Lalande, registration change group leader at the Land Registry, said the agency had consulted widely with the profession and worked with the Law Society on the changes.

‘We are not seeking to pass on the responsibility for identity fraud or for indemnity to the conveyancer. We already rely on conveyancers taking appropriate care to check identities; the proposed changes are intended to remind them of this, and that the integrity of the system is threatened by property fraud,’ he said.

Michael Garson, immediate past president of the Society’s property section, said that solicitors should put in place procedures dealing with the requirement. ‘They need to assess the risks and responsibilities involved and prepare office policies on how to deal with the new forms, and not simply allow unsupervised juniors to sign them off.’