Equity and the informal acquisition of title to property Flashcards
(25 cards)
What does the equitable maxim “Equity looks on that as done which ought to be done” mean in relation to informal title transfers?
It allows equity to recognize rights where formal legal requirements have not been completed, provided the intent to transfer was clear.
What are the four steps to assess property transfer in a problem question?
(1) Identify the property type, (2) identify the mode of transfer, (3) assess legal formalities, (4) determine whether equitable title has transferred.
What is the “every effort” rule established in Re Rose?
: If the transferor has done everything in their power to transfer the property, equitable title passes even if legal formalities are incomplete.
What equitable maxim prevents equity from helping where no consideration was given?
“Equity will not assist a volunteer.”
What is overreaching in equity?
A mechanism allowing a purchaser to take land free of certain equitable interests if the purchase money is paid to two trustees.
What is the difference between legal and equitable title?
Legal title involves compliance with statutory formalities; equitable title is based on intention and fairness, recognized by equity.
What is required to transfer legal title to land under s.52(1) LPA 1925?
A deed, unless exempted (e.g. by s.52(2)).
What happens if a legal interest in land is created but not registered (s.27 LRA 2002)?
It takes effect only as an equitable interest.
What does the case Walsh v Lonsdale establish?
A valid contract for a lease can give rise to an equitable lease even if not made by deed.
What is the rule in Strong v Bird?
If a donor intended an immediate gift and appointed the donee as executor, equity may perfect the gift posthumously.
What’s the equitable principle in Re Ralli’s Will Trusts?
A trust may be constituted if the trustee later receives the property via another legal route.
How is equity applied to imperfect gifts?
Only under specific exceptions, such as Re Rose, detrimental reliance, or constructive trusts.
What is meant by “constructive trust”?
An equitable remedy imposed to prevent unjust enrichment, binding the conscience of the legal title holder.
Under s.2 LP(MP)A 1989, what is required for an estate contract to be valid?
A written document, signed by both parties, containing all agreed terms.
What are the requirements for an equitable freehold covenant to bind successors (Tulk v Moxhay)?
Must be restrictive, benefit dominant land, intent to bind, and purchaser has notice.
Can positive covenants run with freehold land in equity?
No, only restrictive covenants can bind successors at equity.
How can equitable interests be protected on the Land Register?
By entering a Notice under ss. 30–33 LRA 2002.
What issue does the “registration gap” create?
It leaves a time window where legal title hasn’t been registered, potentially jeopardizing priorities.
What statutory section determines priority of interests in land when a disposition is registered?
s.29 LRA 2002 (priority goes to interests protected by notice).
What doctrine allows courts to prevent donors from revoking intended transfers if doing so would be unconscionable?
The doctrine of unconscionability (e.g., Choithram, Pennington v Waine).
What did Re Fry [1946] decide regarding incomplete share transfers?
No equitable title passed because Treasury consent hadn’t been obtained before death.
What principle did Mascall v Mascall [1984] reinforce from Re Rose?
Once the transferor has done all required acts, equitable title transfers—even if registration is pending.
In Pennington v Waine [2002], why was the gift of shares held valid despite formal incompletion?
It would have been unconscionable for the donor to withdraw the gift due to reliance and context.
What did Curtis v Pulbrook [2011] clarify about exceptions to the “no perfecting imperfect gifts” rule?
Identified three exceptions: Re Rose rule, detrimental reliance, and interpretation as trust declaration.
