LAND LAW CHEAT SHEET
Formalities
1. types of formalities
- S.1 LPA 1925 identifies those rights which may exist at law. The ones that concern us
are: freehold, leasehold, easements, and mortgages.
- S.52 LPA 1925 requires the above to be granted/transferred by deed, if it is to take
effect at law
- S.1 LP(MP)A 1989 sets out the modern requirements for a deed: it must call itself a
deed (or be ‘executed as a deed’), signed by the person granting or transferring the
interest, and witnessed.
2. s27 LRA 2002
- Section 27 states that the following dispositions additionally require registration to
take effect at law:
- A transfer of freehold or leasehold estate.
- The grant of a new leases of more than 7 years from date of grant, or taking effect
more than 3 months from the date of grant (and some other leases which we don’t
need to know about).
- The express grant or reservation of an easement.
- The grant (or transfer) of a legal charge (or mortgage).
3. Walsh v Lonsdale
- If the law requires a deed, then what is the effect of two parties agreeing – in written
contract – to confer a leasehold estate?
- Haven’t they produced enforceable obligations: that the tenant shall pay rent, and
that the landlord shall let the tenant enjoy possession?
- As they used to say: A contract for a lease is as good as a lease!
- requirements
o There be writing
o Containing all the main terms
o Signed by the parties
o With consideration actually paid (not merely promised)
o Clean hands
o Parker v Taswell; Walsh v Lonsdale (1882); see also: s.2 LP(MP)A 1989
4. formalities for leases
- The simplest and most effective way of conveying a leasehold estate is to do it by
deed (and if necessary, registration). This produces a legal lease.
- There is another way of producing an agreed legal lease: s.54 LPA 1925 carves out an
exception to the requirement of a deed for leases of no more than three years,
taking effect immediately in possession, and ‘best’ (or market) rent.
- Such leases are legal estates, even if the agreement was only an oral agreement!
- agreed legal lease
o Lease by deed (and if necessary, registration).
o Lease under the s.54 LPA 1925 exception.
- equitable lease
o legal lease Equitable lease under Walsh.
- legal lease- unagreed
o Implied periodic tenancy under Prudential.
, § We discuss the implied periodic tenancy when we have determined
that the ‘agreement’ between the parties has failed to produce a valid
lease, at law, or in equity:
§ No deed;
§ S.54 does not apply;
§ Walsh conditions aren’t satisfied.
§ …or if there is no certainty of term (this last point is not examinable
this year).
§ At this point, we conclude that the agreement has failed to produce
the lease. But if rent is paid, then the law implies the grant of a lease
out of the payment of rent, for the period for which rent is paid.
5. what takes priority?
- pre-existing interests surviving against s29
o All registered interests.
o Schedule 3 overriding interests:
§ All legal leases up to 7 years;
§ Rights of occupation, where there is actual occupation on the date if
disposition;
§ Legal implied easements that have either: been used in the past 12
months, or were within the knowledge of the disponee, or would
have been obvious upon reasonably careful inspection.
- sch3 para 2
o The person claiming protection must enjoy a qualifying interest: i.e. a right in
rem that provides a right of occupation.
o Licences would fail here (as they are in personam), and so would an equitable
easement (because easements do not convey a right of occupation).
o Therefore, para 2 normally protects equitable interests that include a right of
occupation: an estoppel equity; an equitable estate; a beneficial interest
under trust.
o The person holding the interest must be in actual occupation on the date of
disposition.
o This normally means physical presence; but if there is no physical presence,
the courts have shown a willingness to look at the intentions and wishes of
the parties, and the circumstances as a whole (Link Lending).
§ Thompson v Foy raised the possibility that the relevant time for
manifesting actual occupation need not be centred precisely on the
date of disposition, but could include the days that follow. This case
seems to be an outlier on this point: the date of disposition is the
normal approach.
o However, such an interest will not be protected in circumstances where:
§ Inquiry was made by the purchaser/disponee, but the interest was
not disclosed when it was reasonable to do so; OR
§ Occupation would not have been obvious on a reasonably careful
inspection of the property AND the purchaser/disponee did not have
actual knowledge of the interest.
Land registration
- use land registration to determine questions of priority
Formalities
1. types of formalities
- S.1 LPA 1925 identifies those rights which may exist at law. The ones that concern us
are: freehold, leasehold, easements, and mortgages.
- S.52 LPA 1925 requires the above to be granted/transferred by deed, if it is to take
effect at law
- S.1 LP(MP)A 1989 sets out the modern requirements for a deed: it must call itself a
deed (or be ‘executed as a deed’), signed by the person granting or transferring the
interest, and witnessed.
2. s27 LRA 2002
- Section 27 states that the following dispositions additionally require registration to
take effect at law:
- A transfer of freehold or leasehold estate.
- The grant of a new leases of more than 7 years from date of grant, or taking effect
more than 3 months from the date of grant (and some other leases which we don’t
need to know about).
- The express grant or reservation of an easement.
- The grant (or transfer) of a legal charge (or mortgage).
3. Walsh v Lonsdale
- If the law requires a deed, then what is the effect of two parties agreeing – in written
contract – to confer a leasehold estate?
- Haven’t they produced enforceable obligations: that the tenant shall pay rent, and
that the landlord shall let the tenant enjoy possession?
- As they used to say: A contract for a lease is as good as a lease!
- requirements
o There be writing
o Containing all the main terms
o Signed by the parties
o With consideration actually paid (not merely promised)
o Clean hands
o Parker v Taswell; Walsh v Lonsdale (1882); see also: s.2 LP(MP)A 1989
4. formalities for leases
- The simplest and most effective way of conveying a leasehold estate is to do it by
deed (and if necessary, registration). This produces a legal lease.
- There is another way of producing an agreed legal lease: s.54 LPA 1925 carves out an
exception to the requirement of a deed for leases of no more than three years,
taking effect immediately in possession, and ‘best’ (or market) rent.
- Such leases are legal estates, even if the agreement was only an oral agreement!
- agreed legal lease
o Lease by deed (and if necessary, registration).
o Lease under the s.54 LPA 1925 exception.
- equitable lease
o legal lease Equitable lease under Walsh.
- legal lease- unagreed
o Implied periodic tenancy under Prudential.
, § We discuss the implied periodic tenancy when we have determined
that the ‘agreement’ between the parties has failed to produce a valid
lease, at law, or in equity:
§ No deed;
§ S.54 does not apply;
§ Walsh conditions aren’t satisfied.
§ …or if there is no certainty of term (this last point is not examinable
this year).
§ At this point, we conclude that the agreement has failed to produce
the lease. But if rent is paid, then the law implies the grant of a lease
out of the payment of rent, for the period for which rent is paid.
5. what takes priority?
- pre-existing interests surviving against s29
o All registered interests.
o Schedule 3 overriding interests:
§ All legal leases up to 7 years;
§ Rights of occupation, where there is actual occupation on the date if
disposition;
§ Legal implied easements that have either: been used in the past 12
months, or were within the knowledge of the disponee, or would
have been obvious upon reasonably careful inspection.
- sch3 para 2
o The person claiming protection must enjoy a qualifying interest: i.e. a right in
rem that provides a right of occupation.
o Licences would fail here (as they are in personam), and so would an equitable
easement (because easements do not convey a right of occupation).
o Therefore, para 2 normally protects equitable interests that include a right of
occupation: an estoppel equity; an equitable estate; a beneficial interest
under trust.
o The person holding the interest must be in actual occupation on the date of
disposition.
o This normally means physical presence; but if there is no physical presence,
the courts have shown a willingness to look at the intentions and wishes of
the parties, and the circumstances as a whole (Link Lending).
§ Thompson v Foy raised the possibility that the relevant time for
manifesting actual occupation need not be centred precisely on the
date of disposition, but could include the days that follow. This case
seems to be an outlier on this point: the date of disposition is the
normal approach.
o However, such an interest will not be protected in circumstances where:
§ Inquiry was made by the purchaser/disponee, but the interest was
not disclosed when it was reasonable to do so; OR
§ Occupation would not have been obvious on a reasonably careful
inspection of the property AND the purchaser/disponee did not have
actual knowledge of the interest.
Land registration
- use land registration to determine questions of priority
