The Massachusetts Affordable Homes Act (H. 4977), signed into law on August 6, 2024, makes several revisions to G.L. c. 185 that will streamline the processes for deregistration and correcting minor mistakes on certificates of title. These revisions (1) allow the voluntary withdrawal of land from registration for any reason; (2) establish an expedited timeline for the Land Court to approve deregistration petitions; and (3) abolish the requirement for a court order to correct clerical errors on certificates of title.
Changes to Deregistration Requirements – The Act’s revisions to G.L. c. 185, § 52, now allow land to be voluntarily deregistered for any reason. Previously, land could only be voluntarily withdrawn from registration under five discrete scenarios: (i) the land comprised less than the total area of a single parcel or of two or more contiguous parcels in common ownership; (ii) the land was less than 10% of the area conveyed under the original certificate of title, with the remainder already having been conveyed out; (iii) the land was, or would be, converted to a condominium under G.L. c. 183A or a timeshare under G.L. c. 183B; (iv) the land was improved with an occupied building that was not, or was not used in connection with, a 1-4 family residential dwelling; or (v) for good cause, including, but not limited to, economic hardship by reason of the land being registered. Now, upon receipt of a complete petition, the Land Court is directed to approve a withdrawal so long as there is no objection to deregistration by any mortgagees, lessees, or option holders of record. This change essentially opens all currently registered land to voluntary withdrawal.
Expedited Timing for Approving Deregistration – Further revisions to Section 52 now establish expedited timing requirements for the Land Court to approve and endorse a notice of voluntary withdrawal. The former version of the statute included no express timing requirements, which, in practice, resulted in deregistration petitions oftentimes taking eight to twelve months (or even longer) to be resolved by the court. The revisions to Section 52 now expressly provide that if no objection to the deregistration petition has been filed within 30 days of service, the Land Court shall approve and endorse a notice of voluntary withdrawal within 30 days of receiving all required information and documentation. These timing requirements may be extended for good cause at the court’s discretion.
Correction of Clerical Errors – The Act also revises G.L. c. 185, § 114, to allow for the correction of clerical errors or omissions on certificates of title and memorandums of encumbrances without the need for a court order. Prior to this change, any modification to a certificate of title or memorandum of encumbrances required an order of the Land Court. The statute now allows for the assistant recorder, with the Chief Title Examiner’s approval, to correct clerical errors or omissions without a court order.