L2_-_General_Principles_1_-_07.10.2024

Page 1: Introduction

• INSTITUTE OF LAW JERSEY

• Topic: Property Law Lecture 2 General Principles I

Page 2: Learning Outcomes

• Understand key definitions and concepts in property law.

• Explain the meaning and nature of overreaching.

• Discuss the operation of the land charges registration system.

• Simplification of conveyancing due to the 1925 reforms.

• Assess whether third party rights can be enforced against a purchaser of unregistered title land.

Page 3: What is ‘Land Law’?

• Land law provides the legal framework for the use and enjoyment of land.

• Focuses on private rights in land, contrasting with contractual rights.

• Property Definition: Rights against the world; enables rights-holders to exclude interference except from someone with a superior claim.

Page 4: Key Distinctions in Property Types

• Realty vs. Personalty:

  • Realty: Property that is land.

  • Personalty: Other types of property.

• Claims Types:

  • Most claims are personal (e.g., claims for damages).

  • Proprietary claims: Claim to recover a specific item, not its monetary equivalent.

Page 5: General Principles

• Three Fundamental Ideas: The building blocks of land law.

• Two Axioms: Key concepts that underpin property law.

• Fourth Dimension of Land Ownership: Importance of time in land ownership.

• Role of Formalities: Necessity of legal procedures in land transactions.

Page 6: Axioms of Property Law

• Legal Framework: outlined by LPA 1925 section 1(2)

• Property Interests: Differentiation between legal and equitable interests.

• Insight on the nature of property rights.

Page 7: Historical Context of Land Law

• Post-1066: Justice prerogative resided with the Crown.

• Many turned to the Chancellor for justice under equity.

• Development of equity led to eventual fusion with law post-Judicature Acts 1873-75.

Page 8: Creation and Binding of Interests

• Creation rules for interests differ between law and equity.

• Importance of determining whether the interest is legal or equitable for binding third parties.

Page 9: Interests at Law

• According to LPA 1925 section 1(2), five distinct interests exist in law.

Page 10: Property Interests Analysis

• Legal Interests: Enforceable against all; specific types include:

  • Fee simple absolute in possession

  • Term of years absolute

  • Easements

  • Rentcharges

  • Legal mortgages

• Equitable Interests: Not enforceable against bona fide purchasers for value without notice.

Page 11: Land Ownership and Tenure

• The Crown’s overarching ownership of land in the UK.

• Tenure implies that one holds land from the Crown.

• The Tenures Abolition Act 1660 eliminated onerous tenures.

• Individuals can own estates or interests, but not the land itself.

• Bona vacantia: Land reverts to the Crown if no heirs are found in intestacies.

Page 12: [Empty Page]

Page 13: Estates in Land

• Legality of Estates: Two recognized legal estates:

  • Freehold estate (fee simple absolute in possession).

  • Leasehold estate (term of years absolute).

• Estate Definition: An open-textured right to possess and use the land in various ways.

Page 14: Fee Simple Absolute in Possession

• This freehold estate represents near absolute ownership.

• Key Attributes: Immediate possession rights, no duration limits, and the capacity for free transfer during the owner’s lifetime.

• Historical alternatives included life estates and fee tails prior to LPA 1925.

Page 15: Leasehold Estates

• Term of Years Absolute: Legal lease definition.

• Conditions: Leaseholder’s right for a specified time, with transferable rights.

• Defines landlord-tenant relations concerning exclusive possession and rent obligations.

Page 16: Interests in Land

• Interests can be considered third-party rights that do not grant ownership.

• Examples of interests include easements, mortgages, and restrictive covenants.

• Interests can enforce rights against future landowners.

Page 17: Role of Formalities in Property Acquisition

• Processes involve acquiring interests through original, derivative transfers, or granting subsidiaries.

• Importance of formal legal routes as per Lon Fuller.

Page 18: Conveyance Requirements

• LPA 1925 s.52: Legal interest creation must be through a deed.

• Definition of a deed: signed and witnessed documentation.

• LPA 1925 s.53: Equitable interests require signed writing.

• Special exceptions and qualifications outlined for short legal leases and implied trusts.

Page 19: Contractual Obligations

• LPA(MP)A 1989 s.2 dictates contractual terms:

  • Must be written, include all terms, and signed by both parties.

  • Establishes estate contracts that bind land interests.

  • Case example Scott v Southern Pacific Mortgages Ltd [2014] demonstrating equitable rights in real estate transactions.

Page 20: Closing Remarks

• INSTITUTE OF LAW JERSEY

• Website: lawinstitute.ac.je.