Legal Estates in Land Flashcards
Where do we find what legal estates exist in land
LPA s.1 (1)
a) fee simple absolute -> is known as a freehold / fee simple
b) term of years absolute -> is known as a leasehold
Do we see the nc principle in legislation?
Yes, in LPA s.1(1) and s.1(2)
in both, there is a closed list
What was one of the aims of the LPA 1925
intended to make conveyancing simpler
reduced the list of estates which could take effect as law
What does LPA s.1(3) discuss
highlights that s.1(1) and (2) list the only estates and interests that can exist AT LAW
BUT that there are others that can exist in equity - not following the nc principle
What does LPA s.4 discuss
that there is a limit on the creation of new types of equitable interests
gives force to the nc principle for equity as well
What are the 2 estates at law
fee simple
term of years e.g. leasehold
What is an estate
it is what a person owns
you can’t own the land itself
most extensive right over land possible
gives right to exclusive possession of the land
What is the distinction between the 2 estates
case
no difference in substance
purely based on time
Street v Mountford [1985] AC 809 (HL) at 816, per Lord Templeman -> basically, a tenant under a lease has the same rights as an owner, but temporarily and subject to certain restrictions
Why is a fee simple potentially perpetual
it could go on forever, but it can also come to an end
if the land is not passed down e.g. to heirs, it goes to the Crown
What is escheat
in the past, it meant that the fee simple ends if there are no heirs
Does escheat still exist
not for estates -> abolished by Administration of Estates Act 1925 s.45(1)(d)
Yes for insolvency and for dissolution of a company
What is a term of years
also known as a leasehold estate / lease / tenancy
How long does a term of years last
can be less than a year
by definition, not allowed to last forever
Key case for term of years
Prudential Assurance v London Residuary Body [1992]
established that a term of years must be certain at the beginning of the lease
‘until the land is required for road-widening’ is not a valid lease
Why is the term of years requirement controversial
2 cases
Prudential Assurance v London Residuary Body [1992] -> considered ‘bizarre’ by Lord Browne-Wilkinson
Berrisford v Mexfield Housing Association [2011] per Neuberger -> no justification for a term of years having a certain duration
Both estates have the right to what
the right to exclusive possession
For term of years, how is the right to exclusive possession reconciled between the landlord and the tenant (3)
- Landlord has contractually agreed not to exercise her right to exclusive possession
- ‘Possession’ can include the receipt of rent → see s.205(1)(xix) LPA 1925
- Title to land is relative
- while the term of years is in existence, the right of the landlord is not as strong as the right of the tenant
- less convincing after introduction of Land Registration System in 2002
