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Rules can be made to deal with the circumstances in which interest is payable, and the period and rates of interest that are to be paid. 68.Under the proposals on electronic conveyancing, it will not be possible to create or transfer many interests in registered land expressly except by simultaneously registering them or protecting them by a notice in the register. The Act provides a procedure for the voluntary registration of demesne land. This registration gap has created scope for a number of problems. 96.Section 49 deals with the existing legal doctrine of tacking. Certification is the mechanism by which an electronic signature is authenticated. An example of a settlement might be where A has a beneficial interest for life, and is registered as registeredproprietor of the land, and when A dies B is entitled to the land absolutely. The general maxim is that where the equities are equal, the first in time prevails. 141.Subsection (5) provides that in the case of a debtor who has been adjudged bankrupt, a disponee to whom a registrable disposition is made is not subject to the title of the debtors trustee in bankruptcy, provided that: the disposition is made for valuable consideration, at the time of the disposition, no notice or restriction was entered in relation to the registered estate or charge; and. A new subsection is added to exclude liability for any information that was entered in the register of title relating to that interest at the time of the disposition, the register of title being open to public inspection. Certification is the mechanism by which an electronic signature is authenticated. If C is registered as proprietor even though he has notice of As rights, A will be able to seek alteration of the register. It took until 1990 for the whole of England and Wales to be subject to compulsory registration. The one exception to the overriding status of occupation rights is an interest under a settlement under the Settled Land Act 1925. The intention is to ensure that it is clear on the face of the register if someone has powers of disposal over registered land. 185.To put the matter beyond doubt, this section confirms the proprietary status of an equity arising by estoppel in relation to registered land. Times have changed since the Land Registration Act 2002 (the 2002 Act) came into force on 13 October 2003. 193.Where a company creates a legal charge over its property, that charge will not only be registrable under the Act, but it will also be required to be registered under the Companies Act 1985. If it is necessary to repeat a transaction because it became void under the provisions in Section 7, the person who is responsible for the registration is liable to the disponor or mortgagee for all the proper costs of and incidental to the repeated disposition. It does not affect the priority of competing charges over a companys property. 39.A person applying to be registered as proprietor of a leasehold estate may be registered (in substance, as now), as proprietor with an absolute, good leasehold, qualified or possessory title. 58.The effect of section 26 is that a disponee is entitled to proceed, in the absence of such an entry, on the basis that there are no limitations on the owners powers and the disponees title cannot be called into question. They will not then cease to have effect but a first registered proprietor or a purchaser under a registered disposition will only be bound by them if they are the subject of a notice in the register. The details of the original chargee remain in the register. The penalties for the offences are put in modern form. Its effect is to apply section 26 under which there is a compulsory retirement age of 70 with the possibility of annual extensions up to the age of 75 (see paragraph 1 of Schedule 9). 263.This case will be dealt with by timed implementation. An example of where it might be appropriate for the registrar to exercise his power is if the restriction requires a consent by a named individual and he or she has disappeared. To be added, events must relate to unregistered estates specified in the section, which correspond to those listed as capable of registration with their own titles under section 3. Judicial Pensions and Retirement Act 1993(c.8), Law of Property (Miscellaneous Provisions) Act 1994 (c. 36), House of Lords Consideration of Commons amendments, the original print PDF of the as enacted version that was used for the print copy, lists of changes made by and/or affecting this legislation item, confers power and blanket amendment details, links to related legislation and further information resources. The registrar can pay those costs if he consented to the costs being incurred in advance or one of two other situations have arisen. Where the debtor is the registered proprietor of any land or charge, this can have no direct effect, because registration of a land charge does not affect registered land. the person to whom the disposition was made had no notice of the bankruptcy petition or the adjudication. 199.At present, rules made under the Land Registration Act 1925 are made by the Lord Chancellor with the advice and assistance of a Rule Committee. Mortgages by demise or sub-demise are now in practice obsolete, because of the advantages of a charge (that enables freeholds and leaseholds to be made the subject of a single charge rather than separate demises or sub-demises; the grant of a charge of a lease is not thought to amount to a breach of the common-form covenant against subletting without the landlords consent; and the form of legal charge is short and simple). They may also empower the adjudicator to give effect to the application in whole or in part if the defaulting party is the objector. The system in Ireland follows the English system, but with features typical of the Torrens system (for example, anyone can inspect the register). 256.Examples of the second condition (some other right to the land) might be: The squatter is entitled to the land under the will or intestacy of the deceased proprietor. There is power in subsection (9) for the Lord Chancellor to change that period by order, for use if limitation periods should change. His or her proprietary rights will then have overriding status. At present, a lease granted for 21 years or less, which has not yet taken effect cannot be registered or protected by the entry of a notice in the register against the landlords title but takes effect as an overriding interest. Those Acts provided only for voluntary registration of title, and few titles were registered until the Land Transfer Act 1897 made registration of title compulsory in dealings with land in the County of London. Official searches undertaken in accordance with rules made under section 70 are normally priority searches undertaken by persons acquiring an interest for value. 331.The provisions of the Act will be brought into force by commencement orders made by the Lord Chancellor for England and Wales. Rules may either provide for priority periods in connection with official searches or with the noting in the register of a contract for a registered disposition of a registered estate or charge. This section empowers the Lord Chancellor by order to make transitional provisions and gives effect to Schedule 12. Rules may require that a user use the system for the transactions for which he is authorised to use it. After 12 years adverse possession, Bs title is extinguished and A becomes owner of the land. 274.Under paragraph 14 rules must be made to apply the provisions of this Schedule to registered rentcharges. 172.The category referred to in sub-paragraph (c) above is new to this Act. The court is also obliged to make an order which it has power to make, unless there are exceptional circumstances which justify it in not making the order. It therefore corresponds to section 26. 221-FZ "On State Real Estate Cadastre". A glossary of technical terms used in these notes is provided at Annex A. Equally, if the land is registered and notice of the interest is entered before the end of the ten year period the owner of that interest will be protected. Again, even defective titles can be registered as absolute, if the registrar considers that the defect will not cause the holding under it to be challenged. Details of cautions against first registration are currently kept on a caution title. Under the Land Registration Act 1925 compulsory registration was gradually extended to cover the rest of the country. It also contains a residual power to make any other provision which it is expedient to make for the purpose of carrying the Act into effect. 240.Paragraph 4 A person who is aggrieved by the registrars decision in respect of an application for a network access agreement or its termination may appeal to the adjudicator (for the role of the adjudicator see Part 11 and Schedule 9). If it appears that the debtor is, the registrar must register a creditors notice against the title of any land or charge that appears to be affected. The Act establishes such a system. a legal estate which has registered title and is not a registered charge, must be entered on a register. 205.This section gives effect to Schedule 11, which makes minor and consequential amendments to existing enactments. 74.Part 4 of the Act contains provisions on notices and restrictions. The Act adopts a double strategy. Rules may also deal with the communication of electronic documents to the registrar. 873.1 of the German Civil Code stipulates that the transfer of ownership of a plot of land, the encumbrance of a plot of land with a right and the transfer or encumbrance of such a right requires registration in the Land Register (Grundbuch). 258.One of the requirements of the third condition is that estate to which the land relates was registered more than one year prior to the date of the application. Such interests create a number of problems, since people can find that they have bought estates which are subject to adverse interests which are not be clear from the register, and can be quite difficult to determine. It has responsibility for the registration of owners corporations under the Building Management Ordinance. Over time various areas of the country were designated areas of compulsory registration by order so in different parts of the country compulsory registration has been around longer than in others. The Lord Chancellor may also nominate further persons in the mentioned circumstances. 103.Section 56 is concerned with the identity of the persons entitled to give a valid receipt for the money secured by a charge which is registered in the names of one or more proprietors following the death of one or more of the proprietors. Section 71 provides that a person applying for first registration of title or to register a dealing with registered land must disclose such details of known interests falling within the appropriate Schedule as are specified in rules. Whereas inhibitions prevent the entry of any dealing in the register, however, the entry of a restriction under the Act might be of more limited effect. 224.This Part of the Schedule sets out the registration requirements for those dispositions of registered charges required to be completed by registration under section 27 (3). Rules may specify the circumstances in which the court is under a duty to order the alteration of the register in situations where the alteration does not prejudicially affect the title of the registered proprietor, i.e. The Chief Land Registrar may resign or be removed from office if he is unable or unfit to act, but otherwise shall continue in office until the term of his appointment ends. In other cases it is the transferee or grantee who must apply. For the first time, the office of Chief Land Registrar becomes a disqualifying office for the purpose of membership of the House of Commons or the Northern Ireland Assembly. In present or former coal mining areas, coal mining searches are available that are likely to provide detailed information about coal mining activities. Where that is so, the notes set out below relating to them are not repeated in the notes on Schedule 3. A district registries order may specify the office to be used either on the basis of the geographical location of the land affected, as now, or on the basis of application type, enabling special expertise to be built up, or applications relating to a single, very large development to be handled more effectively. Under. As explained in paragraph 192, section 118 gives the Lord Chancellor power to reduce the qualifying time for the registration of leases, and this section anticipates a reduction by providing that notices cannot be entered for leases of 3 years or less (the likely minimum qualifying period). The uncertainties in relation to liability, which affect both unregistered and registered land, go beyond the scope of the current Act. 157.The Act provides a new scheme for adverse possession in relation to a registered estate in land. The section therefore amends the current law by leaving out this exception. Some local land charges are charges on land to secure the payment of money, such as a charge to recover expenses incurred by a local authority because of non-compliance with a repair notice. Again this section replicates this procedure but because the Act prospectively abolishes inhibitions, the registrar is required to protect a bankruptcy order by the entry of a restriction. It does not have thickness or width and usually, but not always, falls somewhere in or along a physical boundary feature such as a wall, fence or hedge. 140.A similar procedure applies when a debtor is adjudicated bankrupt and a bankruptcy order is made against him or her. At the end of the ten year period, subsisting cautions against first registration lodged by the landowner will cease to have effect unless an application has been made for first registration. Tracing a Propertys History Land Registration began in 1862 when the first Land Registry office opened, situated in Lincolns Inn Fields in Holborn, London. 167.This section gives the registrar power to publish information about land in England and Wales if it appears to him to be information in which there is a legitimate public interest. 301.Paragraph 28 adds the Adjudicator to HM Land Registry to the list of judicial officers in Schedule 5 to this Act. An application must then be made for registration of that estate within two months (or such extended period as the registrar may order) or the grant will be invalidated. First, rules may make provision for the entry in the register of a registered proprietor as the proprietor of an unregistered legal estate which subsists for the benefit of a registered estate. The two exceptions are (1) when the application is to cancel a caution against first registration only the cautioner or such other persons as rules may provide may object (section 18 deals with how such an application is made) and (2) when the application is to cancel a unilateral notice only the beneficiary of the notice or such other persons as rules may provide may object (section 36 deals with how such an application is made). The other amendments to the Law of Property Act 1925 are consequential. Section 36A(6) of the Companies Act 1985 provides a presumption of due execution to protect purchasers. Section 58 provides for the continuation of that principle so that if, for example, a person is registered as proprietor on the strength of a forged transfer, the legal estate would nevertheless vest in the transferee by virtue of registration. Land registration is compulsory in the Republic of Ireland, and two parallel registries are maintained: the Land Registry (Clrlann na Taln in Irish) and the Registry of Deeds (Clrlann na nGnomhas). After 1996 it has not been possible to create a new settlement. If in either of these cases the proprietor or chargee were to bring fresh proceedings the squatter would have a defence and the court would be required to order the registrar to register the squatter as proprietor of the land, under subsection (5). The approach followed is that in the Insolvency Act 1986 which protects a. 78.Under this section, when the registrar enters a unilateral notice, which may be entered without the proprietors consent, in the register he must give notice to the affected proprietor and to such other persons as may be prescribed. The document includes a description of the property with details of boundaries, name and address of the owner and the covenants affecting it. In other words, the owner would have no opportunity to evict the squatter. 294.Paragraph 17 amends section 238(3) of the Inheritance Act 1984. Indemnity is only available when there is an entry in the register confirming that the mines and minerals are included. This enables Her Majesty, and other people with an interest affecting the land, to lodge a caution against first registration in respect of the land. This section introduces Schedule 6 which makes provision for such registration. Freehold estate in land: the Crown is the only absolute owner of land in England and Wales: all others hold an estate (i.e. Rules will make detailed provision about the procedure for referring the matter to court, the adjournment of proceedings before the registrar whilst the court proceedings are ongoing, and to specify the adjudicators powers in the matter if the party directed fails to commence proceedings as directed. The membership of the Rule Committee is broadened to include a person nominated by the Council of Mortgage Lenders, and a person nominated by the Council of Licensed Conveyancers and an expert in consumer affairs. The rules as to the competing priority of interests in registered land are clarified. Compulsory registration will also apply to the grant of leases out of freehold land or a leasehold, with more than seven years to run, where the lease is granted for valuable or other consideration, by way of a gift, or under a court order, apart from the exceptions in the section. The fee order will not however deal with fees for the new consultancy and advisory services (see section 105) nor with the provision of information by the registrar to a person who has the function of providing historical information about registered titles under section 69(3). Under section 6 of that Act, a person making a disposition is not liable under the covenants implied by the Act for anything that was within the prior knowledge of the person to whom the disposition was made. thirdly, to give effect to any estate, right or interest excepted from the effect of registration. This section enables the Lord Chancellor to add new events to those that trigger compulsory registration, by statutory instrument to be laid before Parliament. The number of dispositions that must be registered is extended, in particular by reducing the length of registrable leases from more than 21 to more than seven years, with a power to reduce it further. If the adjudicator decides that it would be unconscionable because of an equity by estoppel for the adverse possessor to seek to dispossess the registered proprietor, but that the adverse possessor ought not to be registered as registered proprietor, he must decide how to satisfy the entitlement of the adverse possessor and can make any order which the High Court would be empowered to make to resolve the matter. The section provides that notice of the making of the entry will be served on such persons as rules may provide. Rules may govern the information to be kept in the register, and its form. There is a similar power under the present law, although the new one is exercisable only after consultation. What did the Land Registration Act 1925 do? Indemnity: payment to a person who has suffered loss in relation to the matters set out in paragraph 1 of Schedule 8, for example, where there is a mistake in a register. Under this section the registrar may enter a restriction where it appears to him necessary or desirable to do so for the purposes set out in the section. The rules are likely to require the disclosure of other information that a registered proprietor might not wish to have disclosed, such as the fact that a right to determine a registered estate in land has become exercisable. In addition, an entry must be recorded in the register relating to the original proprietors estate to show that part of the land has been removed. 117.Section 70 sets out the rule-making powers relating to official searches of both the register and the list of applications received but not yet processed relating to the first registration of title. The most obvious examples are: (1) when a lease is subject to a right of re-entry for breach of covenant and the tenant commits a breach of covenant entitling the landlord to end the lease; and (2) where a freehold title is subject to the payment of a rentcharge (with a right of re-entry if that payment is not made) and the rentcharge is not paid. A possessory title preserves the rights of any person with a superior estate that might come forward, and a qualified title the rights of any person which are covered by the qualification (see sections 9 and 10). Initially registration was voluntary. Trust of land: land can only be held on trust for beneficiaries either under a trust of land or settlement. 293.Paragraph 2 Section 44 of the Law of Property Act 1925 currently provides that under a contract for the grant of a lease, an intending lessee is not entitled to see the leasehold title out of which it is being granted (if any) or the title to the freehold of that land. Unlike the current rule, this is an absolute one, subject only to the exceptions provided for by the Act. These rules may empower the adjudicator to dismiss an application in whole or in part if the defaulting party is the applicant. Subsection (3) provides that the owner of a freehold estate, or of a leasehold estate with a term of more than seven years, cannot lodge a caution in respect of that estate. 75.This section explains that a notice is an entry, made in the register, in respect of the burden of a third partys interest. In practice, in relation to the circumstances when the applicants consent is required, this provision has been interpreted by the registrar to enable almost any person interested in the unregistered land to apply to lodge such a caution. So, for example, it would not be possible to enter a restriction against the assignment of a lease granted for a term of seven years or less, since the title to such a lease cannot ordinarily be registered. This case will be dealt with by timed implementation. These are addressed in Part 3 of the Act. He or she may resign or be removed from office on the grounds of incapacity or misbehaviour. Subsection (7) makes provision for a situation in which a person holds land under one lease, but has been granted another to take effect on or shortly after the first expires. 312.Under paragraph 9, where an easement or profit prendre is an overriding interest at the time when the Act comes into force, but would not be under the provisions of paragraph 3 of Schedule 3, its priority will be protected without the need for registration. This prohibition will continue under the Act. 316.Similarly, where a local land charge whose status as such was preserved by the Local Land Charges Act 1975 is presently protected under section 70(1)(i) it will, by virtue of paragraph 13, be protected under paragraph 6 of Schedule 1 or Schedule 3. At present if a disposition of registered land contains such a covenant then the registrar is under a duty if registering the disposition to enter a restriction. Once a caution against first registration has been entered, no registration of the estate affected will be made until notice has been served on the cautioner and an opportunity given to appear before the registrar and oppose the application for first registration. Schedule 1 lists the interests which are overriding on first registration and are therefore binding on the proprietor even though there is no entry in the register (see sections 11(4) and 12(4)). The Land Registry has now automated many of its functions, which can now be accessed on line. The. Where a squatter is entitled to be registered because he or she reasonably but mistakenly believed themselves to be the owner of the land under paragraph 5(4), they might find that they were entitled to be registered as proprietor of the land on this basis on the day that the legislation is brought into force, even though they have only been in adverse possession for 10 years and, the day before, the registered proprietor could have successfully initiated possession proceedings against them. At one extreme, they have ordered A to convey the freehold of the land in issue to B. First, as now, the parties may request it. This means, for example, that rectification relates back to the time when the instrument was executed and after rectification the instrument is to be read as if it had been drawn up in its rectified form. Using the index of the names of registered proprietors, the registrar will attempt to ascertain whether the debtor is the sole registered proprietor of any land or charge in the register. Nor does the priority of a local land charge need to be protected by registration. 133.Some 300 - 500 freehold estates escheat to the Crown every year. In particular, he may disclose such information to persons authorised to use the network, for example other conveyancers involved in the chain, and authorise further disclosure if he considers it necessary or desirable to do so. Although one or two areas of souvenir land have been designated, the Land Registry has found a more effective way of dealing with the plots within the land registration system. The transitional provisions ensure that such existing entries have a continuing effect. A purchaser may also be bound by two kinds of interest on the land: an overriding interest, which does not appear in the register (e.g. This means that it can be protected by entry of notice in the register, or, where the claimant is in actual occupation of the affected land, as an interest whose priority is automatically protected without the need for registration. X has been in adverse possession, has herself been dispossessed by a second squatter, Y, and has then recovered the land from Y. 91.The purpose of this section is to protect a registered proprietor against the unjustified entry of a restriction against his or her title. the registered estate), but also the powers of the sub-chargee in relation to the property subject to the sub-charge ( i.e. Text created by the government department responsible for the subject matter of the Act to explain what the Act sets out to achieve and to make the Act accessible to readers who are not legally qualified. 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