Freehold and leasehold estates, and legal and equitable interests in land

Question 1

Real property and examples?

Answer 1

All property rights relating to land are real property, EXCEPT leases.
For example, fee simple estates, mortgages, easements etc are real property.

Question 2

What rights does real property bind?

Answer 2

bind original parties to the agreement AND third parties (if registered).

Question 3

What is defined under s205(1)(9) of the LPA 1925.

Answer 3

Land

Question 4

Fixtures are included within land.
Correct?

Answer 4

yes

Question 5

Chattels are personal property.
Correct?

Answer 5

yes

Question 6

Object fixture OR chattel depends on two-stage test:

Answer 6

• Degree of annexation – how firmly is the object to the land?
  AND
• Purpose of annexation – why has object been attached to the land
  Enhance/improve land – fixture.
  Better enjoyment of the object – chattel.

Question 7

Estates and interests

Answer 7

rights in land can be divided into estates AND interests.

Question 8

Estate

Answer 8

period of time.

Question 9

Holding an estate

Answer 9

rights to possess, enjoy AND use the land.

Question 10

This period of time can be perpetual OR…

Answer 10

for fixed period of time which comes to an end when time expires.

Question 11

Interest and examples?

Answer 11

rights to use AND enjoy the land physically possessed by another, short of exclusive possession.

(easements, mortgages etc) listed in s1(2) LPA 1925.

Question 12

S1(3) LPA 1925.

Answer 12

All other interests in land are equitable.

Question 13

Examples of other interests in land which are equitable.

Answer 13

restrictive covenants, beneficial interest under a trust etc

Question 14

Personal Property and examples?

Answer 14

All types of property other than land.

goods, chattels, money, shares etc

Question 15

Legal estates:

Answer 15

To create or transfer an existing legal estate, a deed is required (s52(1) LPA 1925).
UNLESS exception applies.

Question 16

Deed must be (LP(MP)A 1989):
(2 elements)

Answer 16

• Clear on its face it’s intended to be a deed
  AND
• Validly executed (signed, witnessed by one witness, and delivered).

Question 17

Exception to the deed rule:
(5 elements)

Answer 17

Short term leases that meet requirements of s54(2) LPA 1925.
Lease must be at least 3 years or less.
Tenant MUST have right to immediate possession.
Pay market rent AND
Landlord MUST not charge a fine OR premium.

Question 18

Equitable estates:
(4 elements)

Answer 18

Estate doesn’t appear in s1(1) and s (1)(2) LPA 1925.
Not legal AND equitable by nature s1(3) LPA 1925.
Relevant formalities of transfer in s53(1)(b) LPA 1925 must be complied with.
In writing signed by donor.

Question 19

Estate contracts:

Answer 19

Contract for the sale of a freehold been made.

Question 20

Equity views purchaser as owning an equitable interest during this time between exchange AND…

Answer 20

completion

Question 21

Breach of contract provided there is valid contract complying with s2 of LP(MP)A 1989
AND…

Answer 21

Claimant has ‘clean hands’.

Question 22

Remedy of specific performance WILL be granted to…

Answer 22

transfer the legal estate.

Question 23

Legal interests:

Answer 23

To create or transfer an existing legal interest
Deed is required (s52(1) LPA 1925).
UNLESS exception applies.

Question 24

Equitable interests in land -
Express trust?

Answer 24

must comply with s53(1)(b) LPA 1925

Question 25

Equitable interests in land -
By contract to convey OR create legal interest?

Answer 25

valid contract complying with s2 LP(MP)A 1989
AND
Claimant must have ‘clean hands’.
Remedy of specific performance granted.

Question 26

Equitable interests in land - Granting a legal estate OR interest which is void for lack of correct formalities?

Answer 26

valid contract, complying with s2 LP(MP)A 1989
AND
Claimant must have ‘clean hands’.
Remedy of specific performance granted.

Question 27

Equitable interests in land -
Grant of an estate OR interest by a person who only owns an equitable interest?

Answer 27

must comply with s53(1)(b) LPA 1925.

Question 28

Equitable interests in land - Granting of an interest that can only exist in equity?

Answer 28

must comply with s53(1)(b) LPA 1925

Question 29

Equitable interests in land -
By constructive OR proprietary estoppel?

Answer 29

must comply with s53(1)(b) LPA 1925.

Question 30

Equitable interests in land -
Implied trusts?

Answer 30

no formalities for the creation of a resulting OR constructive trust s53(2) LPA 1925.

Question 31

Registered land:

Answer 31

Interests must be protected by entry on Land Register to bind.
UNLESS interest falls within the list of ‘overriding interests’, which bind even if no entry appears in respect of them.

Question 32

Unregistered land:

Answer 32

Legal interests bind automatically.

Question 33

Other interests will EITHER be covered by…

Answer 33

the Land Charges Act 1972
registration at the Central Land Charges Registry required to bind
OR be binding, where buyer has notice of them.

Question 34

Land can be held as:
(2 ways)

Answer 34

Freehold
Leasehold

Question 35

Freehold?

Answer 35

absolute interest, not conditional.
Gives the right to immediate possession AND ownership AND can be passed on.

Question 36

Leasehold?

Answer 36

maybe fixed term (period of time) OR periodic (automatic renewal unless terminated).
Granted from freehold OR longer leasehold
AND
Can be for any amount of time.