Registration Flashcards
Estate in Fee Simple Absolute in Possession (“Freehold Estate”)
A right of title to land that is characterised by two essential elements; immobility meaning that the property involved is either land or an interest that is attached to or has been derived from land, and indeterminate duration, which means that there is no fixed duration of ownership.
Fee Simple = relates to the idea that it can be inherited by anyone.
Absolute = connotes the idea that you have that kind of exclusivity of possession and it is not subject to the future or conditional in any way.
In possession = is the right to possess.
Terms of Years Absolute (“Leasehold Estate”)
A leasehold estate is an ownership of a temporary right to hold land or property in which a lessee or a tenant holds rights of real property by some form of title from a lessor or landlord. Although a tenant does hold rights to real property, a leasehold estate is typically considered personal property.
Legal over 7 years.
Equity under 7 years.
Can you give something if you have a leasehold?
As long as you give away less than what you have, you can do anything.
What is registerable?
Only a legal estate and legal interest are registered.
Registerable Interests
A registerable interest is one which is created by a document which can be registered in the Land Register and therefore creating the right in the land which the document related to.
Legal Interests
- Legal Easements and Profits (S.1(2)(a))
- Rent Charges (S.1(2)(b))
- Charge by way of legal mortgage (S.1 (2)(c))
- Any other similar charge on land which is created by an instrument (S.1 (2)(d))
- Rights of entry. (S.1 (2)(e))
Legal Easements and Profits (S.1(2)(a))
- Easement: Right to do something on the land of another e.g. right of way.
- Profits a prendre: ability to take something from the land of another.
A legal easement can either be through express or prescription. Express legal easement has been granted in writing as opposed to a legal easement arising out of prescription. This is when the law looks at the course of practice and states that this amounts an easement. You cannot register this, it is only the court that can declare it
Rent Charges (S.1(2)(b))
- Does not refer to the rent which is payable under a lease, but to another arrangement whereby land is charged with the payment to someone of an annual or periodic sum. If money is not paid, the person with the benefit of the rent charge is entitled to enter upon the land in order to enforce payment.
- 1977 Act – prevented the creation of any new rent charges of this type. It did not abolish rent charges altogether and they may still be created for certain purposes. Possible to leave a property to a person, subject to a rent charge obliging him to make a periodical payment to your widow or widower, or to some other member of your family, in order to provide for the maintenance of such a person.
Charge by way of legal mortgage (S.1 (2)(c))
- An estate in land is charged with the repayment of a debt or the performance of some other obligation.
- Charge by legal mortgage is one of the three types of mortgage recognised by the LPA 1925 ss. 85-87.
What makes it a legal mortgage? The formalities; must be in writing and signed and witnessed etc.
Any other similar charge on land which is created by an instrument (S.1 (2)(d))
• The charges in this category are all created by statute and are rarely encountered.
Rights of entry. (S.1 (2)(e))
• Including leases or annexed to rent charges.
What is not registerable?
Overriding Interests
- Equitable rights that are not beneficial interests under a trust can be recorded.
Overriding Interests
An interest in property which isn’t registered supersedes what is registered.
E.g. A lease of less than 7 years.
Property rights which do not appear on the register but are enforceable against any purchaser.
The Importance of Land Registration
- Clear and efficient law.
- Ownership is recorded on a register kept by the Land Registry.
- Entry is all that is needed to prove title – the law does not allow buyers of land, or lenders, to look behind the register at the deeds to establish their title. The law guarantees the correctness of the register.
- Registration is proof of ownership. Dependant on a land registration system as the home is arguably the most expensive thing that anyone buys – guarantees ownership.
- Allows others to see exactly what titles lie within the land, whether it be covenant or easement etc.
- Wider importance for business and the economy.
Land Registration Act 2002
Major reform of the law, which repealed and replaced its predecessor, the Land Registration Act 1925 and modernised the law.
o It has worked so far. Operated successfully since. However, there are a number of areas to clarify or amend.
The landscape that relates to land has widened significantly since the LRA’s introduction. Also other factors such as economic crisis and domestic recession which have negatively impacted on the property market.
Aims
A private land system would lead to the complexity and uncertainty of land. Buyers would not know the “true” title to the land, or have a means of enforcement. Validity would not be guaranteed.
Land Registration ultimately aims to reduce or eliminate the complexity and uncertainty in conveyancing.
