Land Law - Estates and Interest in Land

Question 1

Ownership

Answer 1

Someone who ‘owns’ a piece of land does not actually own it

The Crown owns all land

“Owner” holds an estate in land

Question 2

Legal Estates in Land

Answer 2

1. Freehold
2. Leasehold

As defined by Legal Property Act 1925

Question 3

Freehold estate

Answer 3

Fee simple absolute in possession

Right to use piece of land indefinitely

Commonhold estates: an alternative form of freehold estate but not of itself a new type of estate (very rare)

• Land registered as commonhold land and the owner of each individual unit will be a member of the ‘Commonhold Association’. Association will be a company limited by guarantee and the members of the company will be the unit holders, and the company will be registered as the freehold owner

Question 4

Leasehold estate

Answer 4

Term of years absolute

For a fixed maximum duration

Question 5

Legal interests

Answer 5

1. Mortgages: loan secured against a property
2. Easements: a right to pass over or have rights through, under or over someone’s land
3. Rentcharges: requires land owner to make a periodic payment in respect of land to rentcharge owner who is usually a former owner of the land. Defaulting on a rentcharge gives rentcharge owner a right of entry
4. Right of entry: attached to lease or rentcharge that allows holder to enter the land (e.g. right of landlord to come onto leased premises to perform maintenance)
5. Profit à prendre: right to take something from the land of another (differentiates from easement as it is not necessarily connected to another piece of land). Can take two forms: In gross (capable of existing and being registered at HMLR in its own right, i.e. not attached to the land, and saleable in its own right) AND Appurtenant (attached to the land and sold with the land)

MERRP

Generally created by deed

Question 6

Equitable interests

Answer 6

May arise if attempt to create legal interest fails (e.g. if deed not witnessed)

1. Equitable mortgage: must be in writing, be signed by both parties and contain all the agreed terms
2. Restrictive covenant: promise not to do something that is attached to land
3. Estate contract: agreement to sell land at a later date

Question 7

Concurrent interests

Answer 7

It is possible to have multiple interests in the same property

Question 8

Valid Deed

Answer 8

A valid deed requires it to be in writing, state on its face that it is a deed, witness must attest their signature and be delivered (i.e. dated or sealed)

Question 9

Contracts for Land

Answer 9

Used to create the following equitable interests:

1. Failed legal interests;
2. Estate contracts;
3. Equitable mortgages; and
4. Equitable leases

Requires all of the normal requirements of a contract (e.g. offer, acceptance, consideration, intention and capacity) but it must also be in writing, include all of the agreed terms and be signed by contracting parties or someone with their written authority

Question 10

Equitable interests which do not require estate contract

Answer 10

• Convenants
• Equitable easements

Require only a writing signed by the grantor

Question 11

Proprietary Estoppel

Answer 11

Applies if there are a lack of formalities to establish a right

Following conditions must be satisifed:

1. An assurance that the claimant would have an interest in land (an assurance relating to benefits other than an interest in land will not be sufficient)
2. Reasonable reliance on the assurance (i.e. they have changed their behaviour because of the assurance)
3. Claimant has acted to their detriment
4. Must be unconscionable to permit a party to gain or lose proprietary rights

If an estoppel is established the Court will consider that the appropriate remedy is