Chapter 2 Flashcards
What is the purpose of the seller’s solicitor investigating title?
The seller’s solicitor investigates title to check their client has a right to sell the property, produce a first draft of the contract for sale, and anticipate any problems with the title that the buyer may raise.
What is the purpose of the buyer’s solicitor investigating title?
The buyer’s solicitor investigates title to check that the seller has a right to sell the property and to identify any defects or burdens on the title.
What is deduction of title?
Deduction of title refers to the seller’s obligation to prove to the buyer their ownership of the property they intend to sell.
This ownership is proved by producing documentary evidence of title to the buyer.
How is title deduced to the buyer for registered land?
The seller should supply to the buyer an official copy that is less than 6 months old.
What is the title number on the official copy?
The title number is a unique identifier used by the Land Registry, with each parcel of land and each estate in land having its own title number.
What is the edition date on the official copy?
The edition date is the date on which the Land Registry last updated the title, usually on a previous sale or mortgage.
What is the ‘search from’ date on the official copy?
The search from date is the date on which the official copy was produced, showing the entries subsisting on the register at that specific date and time.
What are the three registers on the official copy?
- The Property Register
- The Proprietorship Register
- The Charges Register
What is contained in the Property Register of the title?
• An indication if the title is freehold or leasehold
• The postal address of the land with reference to the title plan
• Any easements or rights benefitting the land along with their connected burdens
What is contained in the Proprietorship Register of the title?
• The class of title
• The names and addresses of the legal owners
• For properties sold after 2001, the price paid for the purchase of the property
• Any restrictions affecting the ability of the registered proprietor to deal with the legal estate in land
• A statement that the owners will observe and perform the covenants held in the charges register
What is contained in the Charges Register of the title?
Incumbrances on the land including any:
• restrictive covenants
• easements for third parties over the land
• mortgages
• leases
• notices registered by third parties claiming an interest
What are the three classes of title for freehold land?
- Absolute
- Possessory
- Qualified
What is absolute title?
This is the best class of title, where the registered proprietor owns the land subject only to entries on the register and overriding interests.
What is possessory title?
This form of title is granted where the proprietor is in possession of the property but does not have the title deeds to prove absolute ownership.
What is qualified title?
This form of title is granted where there is a specific defect in the title preventing the Register from granting absolute title.
How is title deduced to the buyer for unregistered land?
The seller should supply to the buyer a copy of the title deeds, and the seller’s solicitor must identify a good ‘root of title’.
What is the first step the seller’s solicitor should take in investigating title of unregistered land?
The solicitor should check whether the land is already registered or is the subject of a pending application for first registration.
What are the requirements for a good root of title?
A root of title must:
• show who owns the entire interest;
• contain a recognisable description of the land;
• do nothing to cast doubt on the seller’s title; and
• be at least 15 years old.
What is the best root of title?
A previous conveyance or a legal mortgage. If neither is available, then a deed of gift or assent can be used.
What is an epitome of title?
An epitome of title is prepared for unregistered land, listing all documents in chronological order from the root of title to the present day.
There should be an unbroken chain of ownership, consistent property description, and compliance with execution formalities.
What must the seller’s solicitor do when preparing the epitome of title?
The solicitor must consider if any transaction in the property’s history should have triggered first registration of title and ensure valid land charges searches have been made against all names revealed in the epitome of title.
What issues might be revealed in an investigation of title?
• Easements and reservations
• Co-ownership
• Restrictive and positive covenants
• Mortgages
• Notices
• Leases
• Home rights
How should an easement revealed in the investigation of title be dealt with?
The buyer should be advised they may need to contribute to maintenance costs and an enquiry should be raised with the seller regarding their contributions.
How should a mines and minerals exception/reservation revealed in the investigation of title be dealt with?
Enquiries should be made about ground stability and subsidence, and an Index Map search should identify if the mines and minerals are registered under a separate title.
