Interests in land Flashcards
What are interests in land?
Interests are proprietary rights to use/enjoy the land.
What interests are capable of being legal?
*Mortgage
*Easement
*Right of way
What interests can only take effect in equity?
*Restrictive covenant
*Interest in a trust of land
*Estate contract
What is a mortgage?
Bundle of rights granted over property in exchange for a loan of money. These rights include the right to possess and sell the land in the event of default in mortgage payments.
What are easements?
Must granted for a term equivalent to a freehold or leasehold estate to be a legal easement
Proprietary right to use land which belongs to someone else
o Rights of way
o Drainage
o Storage
o Parking on neighbouring land
What is a right of entry?
A right of entry is either a right for the landlord to re-enter leased premises and end the leasehold estate in the event of default or some specified event occurring;
Or a rentcharge owner’s right to hold the land if money is not paid.
Right of entry in a lease is called a forfeiture clause.
What are restrictive covenants?
A covenant is a promise. Covenants between freehold owners generally arise when one person sells part of their land and wishes to ensure the buyer does not do anything which could affect the amenity and value of the seller’s retained land.
Restrictive covenants are negative in nature.
What are estate contracts?
The estate contract is a contractual right to a legal estate, whether freehold or leasehold.
Equity will order specific performance of a contract to create or transfer a legal estate.
What are interests in a trust of land?
Trust exists where one person (the trustee) holds property for the benefit of another (the beneficiary). When a trust exists there is a split between legal and equitable title.
Legal and equitable ownership is split.
What is the difference in remedies for legal and equitable proprietary rights?
A person who holds a legal interest, whose interest is infringed, will have a wide range of remedies available to him. At law, this will include damages, which the holder of the right would get as of right (i.e. automatically). There would be no discretion to take into account the merits of the case. In addition, a number of equitable remedies may be available to him, although this will be subject to satisfying the usual equitable principles.
In contrast a person who holds an equitable interest, whose interest is infringed, is not entitled to damages as of right. The remedies granted, which may include damages or other equitable remedies, are entirely at the discretion of the court.
