Third Part rights And Registered Land

Question 1

When must a title be registered

Answer 1

S4 LRA 2002

• Transfer of land
• Grant of legal lease for over 7 years
• creation of mortgage

Question 2

Subsequent dispositions

Answer 2

S27 LRA 2002

If not registered, no legal effect

Question 3

Overriding interest

Answer 3

Schedule 3 LRA 2002

• can bind purchaser if not on register

Question 4

State guaranteed title

Answer 4

Land registry guarantees the register

If there is a mistake & it’s the states mistake, they will compensate for it

Question 5

What are the different classes of title

Answer 5

Absolute freehold or leasehold

Possessory

Good leasehold

Qualified

Question 6

Absolute freehold or leasehold

Answer 6

Land registry have investigated title and are happy its absolute

Question 7

Possessory freehold or leasehold

Answer 7

Person has no title deeds, you’re just saying you’ve been in occupation of the land for a certain amount of time

Question 8

Good leasehold

Answer 8

Lease is being granted out of a freehold that isn’t registered

Haven’t seen the title out of which the lease was granted

Question 9

Qualified freehold or leasehold

Answer 9

There is a defect

E.g. easement which cannot be found but there’s a mention of one

Question 10

What does property include

Answer 10

• property description in the property register
• entries that benefit the land (easements)
• mines and minerals

Question 11

Purchasing a registered freehold

Answer 11

Purchaser for valuable consideration takes the legal estate subject to s.29 LRA 2002

1. Entries appearing on the register
2. Overriding interests

Question 12

Four categories of third-party interests

Answer 12

1. Registrable dispositions (appear on the register)
2. Interests affecting a registered estate “IAREs” - appear on the register
3. Trust interests
4. Overriding interests - do not appear on register but may bind a purchaser

Question 13

Registrable dispositions

Answer 13

S27 LRA Act 2002

Interest has no existence until it appears on register

• creation of a leasehold estate for more than 7 years
• legal easement created expressly
• creation of legal mortgage

If protected by date of registration by buyers transfer, it will bind the buyer

Question 14

Interests affecting a registered estate

Answer 14

• all interests they are not in other categories
• restrictive covenants
• estate contracts
• family law act 1996 rights

Must be protected by a notice in the charges register
If protected by date of registration of buyers transfer, it will bind buyer

Question 15

What is a notice

Answer 15

An entry in register in respect of the burden of an interest affecting a registered estate or charge s32 LRA 2002

Agreed notice = owner of registered title agreed to notice
Unilateral notice = without agreement of the registered proprietor

Question 16

What is a restriction

Answer 16

An entry in the register regulating circumstances in which a disposition of a registered estate may be subject of an entry in the register
S40 LRA 2002

Restricts what owner can do with land
Goes on proprietorship register

Question 17

Overriding interest

Answer 17

Schedule 3 LRA 2002

For people who don’t know they have an interest in land
Fairness and public policy

Right must be in existence by date of completion

Question 18

Para 1 Schedule 3 LRA

Answer 18

Legal leases for a term not exceeding 7 years

Question 19

Para 2 Schedule 3 LRA 2002

Answer 19

Proprietary interests belonging to a person in actual occupation of the land if certain conditions are fulfilled

Proprietary interest + actual occupation + occupation would be obvious on inspection/buyer had knowledge of option + disclose of inquiry

Question 20

Para 3 Schedule 3 LRA 2002

Answer 20

Legal easements arising otherwise than by express creation of certain conditions are fulfilled

Legal easement that has arisen by long use, without a deed, can be slotted into the overriding interests & purchaser will be bound