In all cases in which a certificate of title, or any other instrument or memorandum affecting registered land, is wholly canceled, it shall be retained by the county recorder and filed in his office under its proper file number and carefully preserved.

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In all cases where part of the land described in a certificate of title is transferred, the county recorder shall issue a new certificate of title to the transferee for the part of the land transferred, and shall indorse on the transferor’s registered and duplicate certificates, a notation partially canceling the same, and the reasons therefor, stating the number of the new certificate for the transferred land. The county recorder shall maintain as active the transferor’s registered and duplicate certificates for the residue of the land not transferred without issuing a new certificate to the transferor for the residue.