How to protect interests - Registration of title to land - Title to Land)- FS Flashcards
(18 cards)
What does Section 26 of the Land Registration Act 2002 establish as the general rule regarding an owner’s powers of disposal?
If there is no entry on the register limiting the owner’s powers, a person dealing with the owner is entitled to assume the owner has full powers to dispose of the property (e.g., sell, lease, or charge it).
What is the definition of a disposition in the context of land law?
A disposition refers to a legal act involving the transfer or granting of rights over land, such as selling, leasing, or charging property.
What are the four types of registrable dispositions under Section 27 of the Land Registration Act 2002?
- Transfer of title (whole or part)
- Grant of a lease exceeding seven years
- Grant of a legal charge (e.g., a mortgage)
- Expressly granted legal easement or profit
Why must a lease exceeding seven years be registered, and what happens upon registration?
A lease over seven years must be registered to create a legal estate. Upon registration, it receives its own title number, appears on the charges register of the landlord’s title, and becomes enforceable as a legal interest.
What is a reversionary lease, and how is it registered?
A reversionary lease is one that takes effect in the future, following the expiry of an existing lease. It is not registered as a registrable disposition in its own right but is registered as a notice on the earlier lease’s title.
What does the register reflect when a legal charge is created over land?
The register includes two entries:
- An entry stating the existence and date of the charge
- An entry identifying the proprietor of the charge (e.g., the lender)
Why is a license not considered a registrable disposition under land law?
Because a license is a personal right, not a proprietary interest. It cannot be registered in its own right but may be recorded as a notice on the register of another property.
What is the consequence of a failure to comply with the formalities required for registrable dispositions?
The disposition may be rendered ineffective or unenforceable, as per Section 25 of the Land Registration Act 2002, if there are errors in paperwork, form, or content during the registration process.
Under Section 28 of the Land Registration Act 2002, how is the priority of competing interests in registered land determined?
Priority is determined by the order of entry on the register, not the date of creation between the parties. The earlier the interest is registered, the higher its priority in enforcement and repayment.
What is the key distinction between fixed and floating charges in terms of priority on insolvency?
Fixed charges take priority and are paid first. Floating charges are paid only after fixed charges and are subordinate in the distribution of proceeds upon liquidation.
What does the term “calling the loan” refer to in the context of registered charges?
It refers to the lender’s decision to enforce their security, usually by seeking sale of the secured property to recover the outstanding debt due to borrower default or insolvency.
What are minor interests in land law, and how are they treated under the Land Registration Act 2002?
Minor interests are third-party rights in land not independently registered (e.g., licenses, matrimonial home rights). They are typically
What legal instrument is used to protect a non-registrable interest, such as a license, under Section 32 of the Land Registration Act 2002?
A notice, which records the burden of an interest on the charges register and may be entered without the proprietor’s consent, though it can be challenged if wrongly entered.
What is a restriction, and how does it differ from a notice in terms of function and effect?
A restriction limits how a property may be disposed of or dealt with, commonly used to enforce trust compliance. It alerts buyers to limitations on the registered proprietor’s powers and is typically recorded using Form RX1.
Can a license be registered as a disposition in its own right at the Land Registry?
No. A license is not a registrable disposition. It is a personal right, not a proprietary interest, and can only be protected by registering a notice on an existing title.
What is the purpose of registering a license as a notice in the charges register of a property?
It notifies third parties of the license’s existence, ensuring it binds successors and burdens the land, meaning purchasers take subject to that right.
What remedy is available to a proprietor if a notice or restriction is wrongly added to the register?
The proprietor may challenge the entry and claim damages for any loss suffered, holding the person responsible for wrongful registration liable.
What is the effect of failing to register a registrable interest or charge with the Land Registry?
The interest may be unenforceable or lose its priority. For example, an unregistered mortgage remains an equitable mortgage and ranks lower than later registered interests.
