Investigation of Title Flashcards
What is investigation of title?
Process of establishing who owns property & whether there are any rights or rules which could affect the owner’s use & enjoyment of the property
How is title deduced for registered land?
Seller gives the buyer (at their own expense) the official copies, which show entries on the three registers
What are the official copies?
Used to deduce title in registered land → show entries on the three registers:
1) Property Register
2) Proprietorship Register
3) Charges Register
What information is contained on the Property Register?
A description of the land & whether it is freehold or leasehold
Anything benefiting the property or excluded from the property
Declaration of the ownership & maintenance of any shared facilities
What information is contained on the Proprietorship Register?
Identifies the current owners & their class of title
1-Absolute title
2- Possessory title
3-Qualified title
Also shows any restrictions on owner’s ability to sell and if the current owners gave an indemnity covenant when they bought the land
What information is on the Charges Register?
Incumbrances ie. anything burdening the property
- Covenants affecting property
- Easements affecting land
- Charges over land (eg. mortgage)
- Leases granted over whole or part of property
- Notices registered by third parties claiming an interest in the property
What searches should the buyer’s solicitor carry out as part of investigating title to unregistered land?
Index Map search to check if land already registered
+
Land Charges search against every name in epitome
What kind of documents are the title deeds?
Paper deeds used to transfer ownership of the property in the past ie. conveyances, mortgages, assents, deeds of gift, land charges searches
What are the 4 requirements for a title deed to be ‘good’ root of title?
s44 LPA - Root of title must:
➢ Deal with or show who owns the entire interest (legal & equitable) being sold
➢ Contain a recognisable description of the relevant land
➢ Do nothing to cast doubt on the seller’s title
➢ Be at least 15 years old
What is the best option for a root of title?
A conveyance complying with s44 LPA requirements
(ie. shows who owns entire interest, contains recognisable description, does nothing to cast doubt, is at least 15)
Next best is mortgage
What is the buyer’s solicitor looking for when they check each document in the epitome?
Root of title
Links: chain of ownership not broken
Stamp duty paid
Description of land consistent throughout
Incumbrances - are there any legal rights in the epitome? Are there any land charges on the Land Register?
Execution has every document been executed as a valid deed?
Search against every name in epitome for period they owned the land
Robert Louis Stevenson D I E S
How is title investigated in unregistered land?
Seller provides their solicitor with copies of the title deeds - solicitor finds good root of title & prepares epitome, which buyer’s solicitor then checks through
Where will an easement be found in registered land?
In the charges register
Where will an easement be found for unregistered land?
Granted or reserved in the first paragraph of the conveyance
‘EXCEPTING AND RESERVING..’
Where are mines & minerals exceptions or reservations found in registered land?
Property register
Where are mines & minerals exceptions or reservations found in unregistered land?
Conveyance
What further action should the buyer’s solicitor take if there is a mines & minerals reservation or exception?
Establish who owns rights & whether they’ve been exercised
Survey to see if there are any adverse effects to the land from any mining (eg. subsidence)
Where will information about co-ownership be found in registered land?
Assume equitable interest is held as a joint tenancy
UNLESS there is a restriction on the Proprietorship registere
Where will information about co-ownership be found in unregistered land?
Conveyance to joint buyers states whether they own it as JTs or TICs
What further action should be taken by the buyer’s solicitor if the property is co-owned but not all co-owners are party to the sale?
If the other co-owner is alive: ensure they are a party to the sale
If dead: ensure second trustee has been appointed so that beneficial entitlements can be overreached
Where is information about covenants found in registered land?
In the Charges register
Where is information about covenants found in unregistered land?
In the conveyance ‘SUBJECT TO’
Nb. If it is a post-1925 restrictive covenant, will only be binding if validly registered as D(ii) Land Charge against name of original covenantor
What further action should the buyer’s solicitor take if there is a restrictive covenant?
Notify the buyer that they will be bound
What further action should the buyer’s solicitor take if there is a positive covenant?
Check whether the current seller gave an indemnity covenant when they purchased the property (states in the Proprietorship reg.)
What further action should the buyer’s solicitor take if there is an unknown covenant?
- Indemnity insurance
- Go to person with benefit asking to be expressly released
- Apply to Upper Tribunal Land Chamber to have covenant removed
Where is information about mortgages found in registered land?
Two entries on the Charges register + lender may also have put restriction in Proprietorship register
Where is information about mortgages found in unregistered land?
Will be one of the title deeds in the epitome
(If discharged, will have a vacating receipt)
Where is information about leases found in registered land?
If 7+ years lease, will be registered in own right AND appear as notice in Charges register (binding on purchaser)
Nb. If unregistered 7+ year lease, will not bind but may be overriding if tenant is in actual occupation
Where is information about leases found in unregistered land?
Legal lease (other than lease for 3 years or less) will be one of the title deeds in the epitome
What further action should the buyer’s solicitor take if there is a notice by a third party on the charges register?
Ask the person who registered it to withdraw
If they refuse, get seller’s solicitor to apply to the Land Reg to cancel the notice
Land Reg will give registerer 15 days to make representations & then will decide if the notice is protecting a valid interest
