In early 2022, the Form C (Charge) will be enhanced to include Standardized Part 2 Terms when an application includes an Assignment of Rents charge. This enhanced Form C functionality expands on the Standardized Part 2 Terms currently included for Transfer of Charge.
As is done for Transfer of Charge, when an application includes Assignment of Rents, the Web Filing form will provide data entry fields for Standardized Part 2 Terms as follows:
- A ‘Monetary Consideration’ field will default to ‘$1.00’, which can be amended as required.
- An ‘Other Consideration’ field will default to ‘and other valuable consideration’, which can be amended as required.
- An ‘Additional Terms’ field can be used to enter any terms beyond the words of grant and consideration included in the Standardized Part 2 Terms, or to expand on or modify certain references in the provided words of grant (for example, to provide a fulsome definition of “rents”). If an applicant does not wish to use the granting and consideration language in the Standardized Part 2 Terms, they can add their own express terms in the ‘Additional Terms’ field.
When an execution copy is generated from the Web Filing form, the Part 2 Terms will appear as follows:
Using Standardized Part 2 Terms will ensure consistency in examination and registration. Additionally, LTSA’s system can process Standardized Part 2 Terms automatically, providing customers with final registration within 48 business hours from the time of submission.