UR 1925 Estates and legal interests

Question 1

1(1) LPA 1925

Answer 1

The only estates that can exist are an estate in fee simple absolute and a term of years absolute.

Question 2

1(2) LPA 1925

Answer 2

The only interests or charges that can exist are:

a. An easement, right or privilege in or over land for an interest equal to an estate in fee simple or absolute of years;
b. A rentcharge in possession issuing out of or charged on land being either perpetual or for a term of years absolute;
c. A charge by way of legal mortgage;
d. … and any other similar charge on land which is not created by an instrument;
e. Rights of entry exercisable over or in respect of a legal term of years absolute, or annexed, for any purpose, to a legal rentcharge

Question 3

1(3) LPA 1925

Answer 3

All other estates, interests, and charges in or over land take effect as equitable interests.

Question 4

205(1)(xxvii) LPA 1925

Answer 4

A statutory definition of a term of years absolute. Simply put, its a lease. Leases come in two forms: fixed term and periodic tenancies. All forms of lease are technically terms of years absolute.

Question 5

1(1)(a) LPA 1925

Answer 5

An estate in fee simple absolute possession

Question 6

1(1)(b) LPA 1925

Answer 6

A term of years absolute

Question 7

s205(1)(xix) LPA 1925

Answer 7

States that for the purposes of the 1925 act, ‘“Possession” includes receipt of rents and profits or the right to revive the same if any; …’

Question 8

What are the two legal modified fee simple estates?

Answer 8

Statutory determinable fees simple and Fees simple subject to a right of entry.

Question 9

7(1) LPA 1925

Answer 9

Allows the existence of statutory determinable fees simple estates.

Question 10

Two scenarios where a right of entry attached to a fee simple may exist

Answer 10

1. Where there is a fee simple upon conditional subsequent.
2. Where land has been conveyed in return for a rentcharge, and a right of entry for non-payment of that rentcharge has been imposed.

Question 11

7(1) LPAA 1926

Answer 11

Allows the existence of fees simple subject to a right of entry.

Nota bene this was made retrospectively to 1 January 1926 because parl fucked it.

Question 12

(a) Easements and Profits

Answer 12

Provided that the EorP is attached to a legal title, it shall be considered a legal interest. EXCEPT if it is granted for LIFE. Then it shall be an equitable interest.

Question 13

(b) Rentcharges

Answer 13

A rentcharge which in its duration is either ‘perpetual’ or for a ‘term of years absolute’ is capable of being a legal interest. A for the duration of life, is to be regarded as equitable.

Question 14

The Rentcharges Act 1977

Answer 14

Bans the creation of new rentcharges.
Existing rentchages may only last for an additional 60 years from the point of royal assent.
All rentcharges will expire in 2037.

Question 15

(c) A charge by way of legal mortgage

Answer 15

Basically a mortgage, must be several million in existence today.

Question 16

(d) All interests in land which arise by operation of statute

Answer 16

A right that has arisen from an Act of Parliament. The two main examples are:

The Charge for Inheritance Tax
Legal Aid Agency Charge

Question 17

The Charge for Inheritance Tax

Answer 17

When inheritance tax is payable with respect to a piece of property, the tax becomes a charge on the land in favour of HMRC. The revenue effectively has a legal interest in the land.

Question 18

Legal Aid Charge

Answer 18

When a legal aided litigant recovers a property. The Legal Aid Agency has a legal interest in the estate.

Question 19

(e) Rights of entry

Answer 19

Where a landlord has a right of forfeiture if a tenant breaks the terms of a lease OR a rentcharge owner has a right to reclaim the land if the rentcharge is not paid.