LAND LAW REVISION
Introduction ............................................................................................................................................................3
Conveyancing.......................................................................................................................................................3
Licenses ................................................................................................................................................................3
Fixtures and Chattels .............................................................................................................................................4
Third Party Rights in the Unregistered System ..................................................................................................5
Freehold ...............................................................................................................................................................5
Leasehold .............................................................................................................................................................5
Easements.............................................................................................................................................................6
Charges .................................................................................................................................................................6
Trust .....................................................................................................................................................................6
Implied Trust ........................................................................................................................................................7
Restrictive Covenant ............................................................................................................................................7
Estate Contracts....................................................................................................................................................7
Statutory Right .....................................................................................................................................................8
Third Party Rights in the Registered System ......................................................................................................9
Freehold ...............................................................................................................................................................9
Leasehold .............................................................................................................................................................9
Easements...........................................................................................................................................................10
Charges ............................................................................................................................................................... 11
Trust ................................................................................................................................................................... 11
Implied Trust ......................................................................................................................................................12
Restrictive Covenant ..........................................................................................................................................13
Estate Contracts..................................................................................................................................................13
Statutory Right ...................................................................................................................................................13
Trusts of Land and Co-Ownership .....................................................................................................................14
Trustees’ Legal Interests.....................................................................................................................................14
Ascertaining Equitable Interest ..........................................................................................................................14
Events of Transfer ..............................................................................................................................................14
Power to Sell ......................................................................................................................................................15
Trustees Disputes ...............................................................................................................................................16
Implied Trusts of Land .......................................................................................................................................16
Leases and Leasehold Covenants........................................................................................................................18
Determining a Lease ..........................................................................................................................................18
Enforceability of leases ......................................................................................................................................18
Enforceability of covenants in OLD leases........................................................................................................20
Enforceability of covenants in NEW leases .......................................................................................................21
Freehold Covenants .............................................................................................................................................24
Type of Covenant ...............................................................................................................................................24
Passing of the benefit .........................................................................................................................................24
Passing of the burden .........................................................................................................................................24
Remedies for breach of covenantors ..................................................................................................................25
1
, Discharge of freehold covenants ........................................................................................................................25
Easements .............................................................................................................................................................26
DRAW A DIAGRAM! .......................................................................................................................................26
Capability of being an easement ........................................................................................................................26
Creation of the easement ....................................................................................................................................26
Passing of benefit ...............................................................................................................................................27
Passing of burden ...............................................................................................................................................27
Extinguishment of easements.............................................................................................................................28
Legal Mortgages ...................................................................................................................................................29
Remedies and ability to exercise them ...............................................................................................................29
Enforceability of the Third-Party Interest ..........................................................................................................31
Priority Rules .....................................................................................................................................................31
2
,Introduction
Conveyancing
• Procedure to transfer title of land
Unregistered
• Need to fully investigate property
• Right to possession proved in the epitome of title
• Prove unbroken chain of ownership ending on sellers’ acquisition, s 44 LPA 1925
o Can make exceptions in contract
• Triggering event for registration, s 4(1) LRA 2002
o Failure to register in within two months renders void
• When registering, register:
o Qualifying estate – freehold, leasehold 7+ years
o Mortgages
Registered
• Need to fully investigate property
o Through: evidence of title, public local information, asking questions, inspection
• Proof of ownership on ‘official copy’ of entry on HM Land Registry
• Exchange of contracts
o Contract must be valid – signed and in writing, s 2 LP(MP)A 1989
o Duplicate documents produced and exchanged
o Until exchange, withdrawal made without penalty
o Equitable interest on exchange – penalty to withdraw
o Contract effective on signature – contractually bound to one another
o Seller retains legal title and occupation rights
• Competition
o Buyer pays balance of purchase price
o Legal title passes with a deed, s 52 LPA 1925
o New owner must be registered to complete, s 27 LPA 2002
Licenses
• (A last resort)
• Permission to use land without creation of proprietary interest, Thomas v Sorrell
• Bare license – permission to use, no consideration
o Able to revoke is permission exceeded, The Calgarth
• Contractual license – supported by consideration
o Revocation can give rise to remedies
3
, Fixtures and Chattels
• The passing of items on sale of land – dependant on classification, Berkley v Poulett
• Provision in contract for sale can define
• Two tests apply, first is a presumption to rebut
1. Method and degree of annexation – raises the presumption
a. Physical annexation to the land, a fixture through quicquid plantatur solo, solo cedit (whatever is
attached to the soil becomes a part of it)
2. Object and purpose of annexation test – rebuts the presumption
a. Contrary evidence that intended as a permanent addition, Leigh v Taylor, D’Eyncourt v Gregory
Case law to consider:
• Berkley v Poulett
o Pictures – fixed into recesses in panelling of rooms, panelling installed in c20th, recesses left for
pictures, pictures not considered fixtures as not part of a ‘composite mural’, there to be enjoyed as
pictures
o Sundial – detached from pedestal, no longer a part of the realty, chattel
o Statute – easy to move from plinth, chattel
o Plinth – firmly fixed to ground, architecturally important (there to place items, eg, the statue, on)
• D’Eyncourt v Gregory
o Freestanding items considered as fixtures
o Tapestries – fixed into panelling in walls, essentially a part of the building, fixtures
o Carved kneeling figures in great hall and sculptured marble vases – part of design of hall and
staircase, fixtures
o Lions at head of steps in garden and 16 stone garden seats – fixtures
• Leigh v Taylor
o Tapestries – stretched over canvas then tacked into wood framework, nailed to walls, surrounded
by mouldings, fastened firmly to the wall – considered that never lost character as chattels, this
was the only means to properly display them
• Elitestone Ltd v Morris and another
o Bungalow – on concrete foundation blocks set into the ground, tenants stated a fixture, security of
tenure, freehold owner stated chattel, no protection under Rent Act 1977, HoL stated that was
constructed to be removeable thus a chattel, no intention to form a part of the realty
• Botham v TSB Bank plc
o Items a part of land repossessed by mortgagee
o Fitted carpets, curtains, light fittings, gas fires – chattels
§ Gas fires only connected by gas pipe
o White goods – chattels
§ Manufactured to standard sizes, standard holes used – easy to remove and replumb
o Taps – fixtures
§ High degree of annexation, necessary for a room to be used as a bathroom
4
Introduction ............................................................................................................................................................3
Conveyancing.......................................................................................................................................................3
Licenses ................................................................................................................................................................3
Fixtures and Chattels .............................................................................................................................................4
Third Party Rights in the Unregistered System ..................................................................................................5
Freehold ...............................................................................................................................................................5
Leasehold .............................................................................................................................................................5
Easements.............................................................................................................................................................6
Charges .................................................................................................................................................................6
Trust .....................................................................................................................................................................6
Implied Trust ........................................................................................................................................................7
Restrictive Covenant ............................................................................................................................................7
Estate Contracts....................................................................................................................................................7
Statutory Right .....................................................................................................................................................8
Third Party Rights in the Registered System ......................................................................................................9
Freehold ...............................................................................................................................................................9
Leasehold .............................................................................................................................................................9
Easements...........................................................................................................................................................10
Charges ............................................................................................................................................................... 11
Trust ................................................................................................................................................................... 11
Implied Trust ......................................................................................................................................................12
Restrictive Covenant ..........................................................................................................................................13
Estate Contracts..................................................................................................................................................13
Statutory Right ...................................................................................................................................................13
Trusts of Land and Co-Ownership .....................................................................................................................14
Trustees’ Legal Interests.....................................................................................................................................14
Ascertaining Equitable Interest ..........................................................................................................................14
Events of Transfer ..............................................................................................................................................14
Power to Sell ......................................................................................................................................................15
Trustees Disputes ...............................................................................................................................................16
Implied Trusts of Land .......................................................................................................................................16
Leases and Leasehold Covenants........................................................................................................................18
Determining a Lease ..........................................................................................................................................18
Enforceability of leases ......................................................................................................................................18
Enforceability of covenants in OLD leases........................................................................................................20
Enforceability of covenants in NEW leases .......................................................................................................21
Freehold Covenants .............................................................................................................................................24
Type of Covenant ...............................................................................................................................................24
Passing of the benefit .........................................................................................................................................24
Passing of the burden .........................................................................................................................................24
Remedies for breach of covenantors ..................................................................................................................25
1
, Discharge of freehold covenants ........................................................................................................................25
Easements .............................................................................................................................................................26
DRAW A DIAGRAM! .......................................................................................................................................26
Capability of being an easement ........................................................................................................................26
Creation of the easement ....................................................................................................................................26
Passing of benefit ...............................................................................................................................................27
Passing of burden ...............................................................................................................................................27
Extinguishment of easements.............................................................................................................................28
Legal Mortgages ...................................................................................................................................................29
Remedies and ability to exercise them ...............................................................................................................29
Enforceability of the Third-Party Interest ..........................................................................................................31
Priority Rules .....................................................................................................................................................31
2
,Introduction
Conveyancing
• Procedure to transfer title of land
Unregistered
• Need to fully investigate property
• Right to possession proved in the epitome of title
• Prove unbroken chain of ownership ending on sellers’ acquisition, s 44 LPA 1925
o Can make exceptions in contract
• Triggering event for registration, s 4(1) LRA 2002
o Failure to register in within two months renders void
• When registering, register:
o Qualifying estate – freehold, leasehold 7+ years
o Mortgages
Registered
• Need to fully investigate property
o Through: evidence of title, public local information, asking questions, inspection
• Proof of ownership on ‘official copy’ of entry on HM Land Registry
• Exchange of contracts
o Contract must be valid – signed and in writing, s 2 LP(MP)A 1989
o Duplicate documents produced and exchanged
o Until exchange, withdrawal made without penalty
o Equitable interest on exchange – penalty to withdraw
o Contract effective on signature – contractually bound to one another
o Seller retains legal title and occupation rights
• Competition
o Buyer pays balance of purchase price
o Legal title passes with a deed, s 52 LPA 1925
o New owner must be registered to complete, s 27 LPA 2002
Licenses
• (A last resort)
• Permission to use land without creation of proprietary interest, Thomas v Sorrell
• Bare license – permission to use, no consideration
o Able to revoke is permission exceeded, The Calgarth
• Contractual license – supported by consideration
o Revocation can give rise to remedies
3
, Fixtures and Chattels
• The passing of items on sale of land – dependant on classification, Berkley v Poulett
• Provision in contract for sale can define
• Two tests apply, first is a presumption to rebut
1. Method and degree of annexation – raises the presumption
a. Physical annexation to the land, a fixture through quicquid plantatur solo, solo cedit (whatever is
attached to the soil becomes a part of it)
2. Object and purpose of annexation test – rebuts the presumption
a. Contrary evidence that intended as a permanent addition, Leigh v Taylor, D’Eyncourt v Gregory
Case law to consider:
• Berkley v Poulett
o Pictures – fixed into recesses in panelling of rooms, panelling installed in c20th, recesses left for
pictures, pictures not considered fixtures as not part of a ‘composite mural’, there to be enjoyed as
pictures
o Sundial – detached from pedestal, no longer a part of the realty, chattel
o Statute – easy to move from plinth, chattel
o Plinth – firmly fixed to ground, architecturally important (there to place items, eg, the statue, on)
• D’Eyncourt v Gregory
o Freestanding items considered as fixtures
o Tapestries – fixed into panelling in walls, essentially a part of the building, fixtures
o Carved kneeling figures in great hall and sculptured marble vases – part of design of hall and
staircase, fixtures
o Lions at head of steps in garden and 16 stone garden seats – fixtures
• Leigh v Taylor
o Tapestries – stretched over canvas then tacked into wood framework, nailed to walls, surrounded
by mouldings, fastened firmly to the wall – considered that never lost character as chattels, this
was the only means to properly display them
• Elitestone Ltd v Morris and another
o Bungalow – on concrete foundation blocks set into the ground, tenants stated a fixture, security of
tenure, freehold owner stated chattel, no protection under Rent Act 1977, HoL stated that was
constructed to be removeable thus a chattel, no intention to form a part of the realty
• Botham v TSB Bank plc
o Items a part of land repossessed by mortgagee
o Fitted carpets, curtains, light fittings, gas fires – chattels
§ Gas fires only connected by gas pipe
o White goods – chattels
§ Manufactured to standard sizes, standard holes used – easy to remove and replumb
o Taps – fixtures
§ High degree of annexation, necessary for a room to be used as a bathroom
4
