Freehold and leasehold estates, and legal and equitable interests in land Flashcards
Real property and examples?
All property rights relating to land are real property, EXCEPT leases.
For example, fee simple estates, mortgages, easements etc are real property.
What rights does real property bind?
bind original parties to the agreement AND third parties (if registered).
What is defined under s205(1)(9) of the LPA 1925.
Land
Fixtures are included within land.
Correct?
yes
Chattels are personal property.
Correct?
yes
Object fixture OR chattel depends on two-stage test:
- Degree of annexation – how firmly is the object to the land?
AND - Purpose of annexation – why has object been attached to the land
Enhance/improve land – fixture.
Better enjoyment of the object – chattel.
Estates and interests
rights in land can be divided into estates AND interests.
Estate
period of time.
Holding an estate
rights to possess, enjoy AND use the land.
This period of time can be perpetual OR…
for fixed period of time which comes to an end when time expires.
Interest and examples?
rights to use AND enjoy the land physically possessed by another, short of exclusive possession.
(easements, mortgages etc) listed in s1(2) LPA 1925.
S1(3) LPA 1925.
All other interests in land are equitable.
Examples of other interests in land which are equitable.
restrictive covenants, beneficial interest under a trust etc
Personal Property and examples?
All types of property other than land.
goods, chattels, money, shares etc
Legal estates:
To create or transfer an existing legal estate, a deed is required (s52(1) LPA 1925).
UNLESS exception applies.
Deed must be (LP(MP)A 1989):
(2 elements)
- Clear on its face it’s intended to be a deed
AND - Validly executed (signed, witnessed by one witness, and delivered).
Exception to the deed rule:
(5 elements)
Short term leases that meet requirements of s54(2) LPA 1925.
Lease must be at least 3 years or less.
Tenant MUST have right to immediate possession.
Pay market rent AND
Landlord MUST not charge a fine OR premium.
Equitable estates:
(4 elements)
Estate doesn’t appear in s1(1) and s (1)(2) LPA 1925.
Not legal AND equitable by nature s1(3) LPA 1925.
Relevant formalities of transfer in s53(1)(b) LPA 1925 must be complied with.
In writing signed by donor.
Estate contracts:
Contract for the sale of a freehold been made.
Equity views purchaser as owning an equitable interest during this time between exchange AND…
completion
Breach of contract provided there is valid contract complying with s2 of LP(MP)A 1989
AND…
Claimant has ‘clean hands’.
Remedy of specific performance WILL be granted to…
transfer the legal estate.
Legal interests:
To create or transfer an existing legal interest
Deed is required (s52(1) LPA 1925).
UNLESS exception applies.
Equitable interests in land -
Express trust?
must comply with s53(1)(b) LPA 1925
Equitable interests in land -
By contract to convey OR create legal interest?
valid contract complying with s2 LP(MP)A 1989
AND
Claimant must have ‘clean hands’.
Remedy of specific performance granted.
Equitable interests in land - Granting a legal estate OR interest which is void for lack of correct formalities?
valid contract, complying with s2 LP(MP)A 1989
AND
Claimant must have ‘clean hands’.
Remedy of specific performance granted.
Equitable interests in land -
Grant of an estate OR interest by a person who only owns an equitable interest?
must comply with s53(1)(b) LPA 1925.
Equitable interests in land - Granting of an interest that can only exist in equity?
must comply with s53(1)(b) LPA 1925
Equitable interests in land -
By constructive OR proprietary estoppel?
must comply with s53(1)(b) LPA 1925.
Equitable interests in land -
Implied trusts?
no formalities for the creation of a resulting OR constructive trust s53(2) LPA 1925.
Registered land:
Interests must be protected by entry on Land Register to bind.
UNLESS interest falls within the list of ‘overriding interests’, which bind even if no entry appears in respect of them.
Unregistered land:
Legal interests bind automatically.
Other interests will EITHER be covered by…
the Land Charges Act 1972
registration at the Central Land Charges Registry required to bind
OR be binding, where buyer has notice of them.
Land can be held as:
(2 ways)
Freehold
Leasehold
Freehold?
absolute interest, not conditional.
Gives the right to immediate possession AND ownership AND can be passed on.
Leasehold?
maybe fixed term (period of time) OR periodic (automatic renewal unless terminated).
Granted from freehold OR longer leasehold
AND
Can be for any amount of time.
