Chapter 6 Self-test questions

In the registered land system, all interests affecting a registered estate must be registered if they are to be binding on a purchaser of that estate. Is this true or false?

True

False

Khalid is the registered proprietor of the registered freehold title to Pinkacre. He receives a letter from Land Registry telling him that a "unilateral notice" has been put on the register of title to Pinkacre and that the "beneficiary of the notice" is Leonard, a person Khalid has never heard of.
What is the legal effect, if any, of the entry of a notice on the register?

Registration of a notice has no legal effect on Leonard's rights, if any, or their priority. Khalid can safely ignore the registration.

Even if Leonard never had any right over Pinkacre before registration of the notice, the entry of the notice on the register of title will have conferred a new right on him. To avoid being bound by this right, Khalid must apply to have the register changed.

If Leonard has a proprietary right over Pinkacre, registration of the notice will ensure that a purchaser of a registered estate or interest from Khalid will be bound by Leonard's rights. If Khalid intends to sell his title, therefore, he should be aware that a prospective purchaser will be concerned about the notice reflecting Leonard's rights and will want to know what they are.

Lucy is the sole registered proprietor of the registered freehold title to Greenacre, which she has inherited from her mother. She receives a letter from Land Registry telling her that her sister, Myriam, has applied for the entry of a "restriction" on the register of her title to Greenacre. So far as Lucy is aware, Myriam has no proprietary rights over Greenacre.
What is the legal effect, if any, of the entry of a restriction on the register?

Even if Myriam never had any right over Greenacre before registration, the entry of a restriction on the register of title will confer a fresh right on her. To avoid being bound by this right, Lucy would have to apply to have the register changed.

If Myriam has a proprietary right over Greenacre, registration of the notice will ensure that a purchaser of a registered estate or interest from Lucy will be bound by Myriam's rights. If Lucy intends to sell her title, therefore, she should be aware that a prospective purchaser will be concerned about the restriction reflecting Myriam' rights and will want to know what they are.

The restriction will place the registrar under a prima facie duty to comply with its requirements before altering the register. If Lucy allows the restriction to be placed on the register, she will need to apply for the restriction to be ignored—or comply with its requirements—when she wishes to enter into a disposition involving a change in the register. This might, for example, mean that she needs Myriam's consent to sell the land.

Which of the following events trigger the obligation to register an unregistered estate for the first time? Select all that apply.

The transfer of a fee simple estate as a gift.

The transfer of a fee simple estate for £500,000.

The transfer of a lease that has more than 10 years to run.

The creation of a legal mortgage of an unregistered fee simple where the lender takes the deeds of the property.

Registration of a leasehold estate with good leasehold title means that:

the Registrar is satisfied that the title to the lease and the title to the superior fee simple are both good; or

the Registrar is satisfied that there is no mortgage of the lease; or

the Registrar is satisfied that the title to the lease is good but not that the title to the superior fee simple is good.

Adam had a registered fee simple title to Pit Farm, which he sold to Babak in 2018. Which of the following interests will bind Babak, despite not appearing on the register of title to Pit Farm? Select all that apply.

A lease for 10 years

A lease for 3 years

A legal easement, such as a right of way, which has arisen due to long use

The life interest of Adam's daughter who lives at Pit Farm, and whom Babak has met there

The right of Adam's spouse to occupy the matrimonial home

Rigel is the registered proprietor of a 99 year lease of Maxwell Cottage. Rigel needed to borrow money to repair the roof of the house because she intended to let the premises to Andromeda for a period of two years. On 15th March 2019, Rigel borrowed £25,000 from the Orion Bank and entered into a deed granting the bank a legal mortgage of her registered estate. The bank was rather busy at the time and the mortgage was not registered until October 2019. The repairs were completed in June and Rigel entered into a contract granting a two-year lease to Andromeda in July. In April 2020 Rigel lost her job and she now says that she will now be unable to pay off the loan made by the Orion bank, which would like to take possession of the property. Is Andromeda's tenancy binding on the bank?

Yes

No

Nine months ago, Peter bought the fee simple estate in 3 Bournemouth Road and his solicitor has completed the registration of the property in Peter's name and Peter has moved into occupation of the premises. Peter has now discovered that his neighbours have for 50 years using his back garden as a right of way to reach a neighbouring road. Peter tried to stop this use of his property and sued his neighbours when they kept walking across his land. The neighbours have now satisfied the court that they have a legal easement over Peter's back garden, to allow access to the neighbouring road. The court has ordered that Peter's title should be altered to record the existence of the easement. Peter is horrified and feels that the value of the property is now reduced well below the price he had paid. Can Peter claim an indemnity for his loss from the Chief Land Registrar?

Yes

No

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