So, if on or after the coming into force of the Act the facts were as in the above example, the effect of this section would be that Bs right of pre-emption would have priority over Cs mortgage. 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. The following unregistered interests are amongst those that override first registration and registered dispositions: This section provides that at the end of the ten years which it specifies, the above interests will cease to be capable of overriding first registration or a registered disposition. Section 94 of the 1925 Act, which relates to tacking and further advances, is amended to make the regime under section 49 of the Act applicable to all charges over registered land and for the scheme under section 94 to apply to all other charges. Further provisions about the adjudicator are contained in Schedule 9. 94.This section gives the court the power to direct that a restriction ordered by it has overriding effect so that the restriction overrides the priority protection given to an official search or the entry of a notice in respect of an estate contract. Similarly, restrictions and inhibitions are to have the same effect as restrictions under the Act. Rules made under paragraph 3 are subject to greater Parliamentary scrutiny than land registration rules generally and the Lord Chancellor must also consult before making the rules. Section 60 for the first time incorporates the general boundary principle into statute, and provides for rules to be made in relation to the fixing of boundaries. At present such leases: would not trigger first registration; would not be registrable dispositions but would take effect as if they were; would be incapable of substantive registration; and their priority would be protected on first registration or on a registered disposition, without being on the register. Qualified title may be registered if either the applicants title or the lessors title to the reversion can only be established for a limited period, or is subject to reservations. Where that is so, the notes set out below relating to them are not repeated in the notes on Schedule 3. 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. Section 62 empowers the registrar to upgrade to absolute any of the lesser titles when he is satisfied as to the title to that estate or, in the case of good leasehold title, satisfied as to the title to the superior estate. That report must be published and laid before Parliament. At present, a person may lodge a caution against dealings with a registered estate or charge in respect of interests which under the Act can be protected by a notice and other types of interest. 26.Subsection (3) changes the existing law. As now, the registrar is supported by staff who may be authorised to carry out any of his functions. After satisfying certain payments, any surplus is held on trust for the person entitled to the mortgaged property (section 105 of the Law of Property Act 1925). Secondly, anyone suffering loss because of the upgrading of a class of title (see section 62) will be entitled to indemnity as if there had been a rectification of the register. The Act applies, by virtue of. One important aspect of the current legislation changed by the Act is that of overriding interests. The consequence of this is that a landlord may not be able to recover unpaid rent from the guarantor if the tenant fails to pay. The adjudicator may substitute his own decision for that of the registrar and give directions to give effect to his determination. 37.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 has no effect on the validity or priority of any interest that the cautioner may have in the legal estate to which the caution relates. It became clear during the Commissions work that there was wide support within the property industry and from many legal practitioners for the introduction of a system of dealing with land electronically. Subsection (9) makes it clear that the protection afforded by that section will apply to a document which has been electronically authenticated on behalf of the company. In addition, under section 90, a new category of interest, which cannot be registered, is created. As long as the sums due to the first chargee do not exceed the figure specified, and have been entered in the register in accordance with rules at the time of the creation of the competing charge, the charges will take the same priority over any subsequent charge. The land will remain subject to any charges or other encumbrances created by the previous owner or his predecessors. 183.Proprietary estoppel The following is an example of how the doctrine of proprietary estoppel operates: The owner of land, A, in some way leads or allows the claimant, B, to believe that he or she has, or can expect, some kind of right or interest over As land. Rules may also deal with the communication of electronic documents to the registrar. Section 77 considerably develops this, by providing that a person must not exercise the right to apply for an entry to be added to the register of someone elses title, or for the entry of a notice or object to someone elses application unreasonably and if they do so, they owe a duty to anyone who suffers damage. 51.A caution only gives the right to be notified of an application for first registration, so enabling an objection to be made. Some of the interests are common to both categories (see the notes to Schedule 1). It is not intended to confer priority. It should be noted that one of the effects of the introduction of electronic conveyancing as provided for in Part 8 will be that dispositions will be simultaneously executed, communicated electronically to the registrar, and registered and section 93 contains powers for that to be made compulsory. The journey of buying a property is incomplete without property registration; you need all the necessary documents before the property can lawfully be yours. The rules about the information to be kept in the register, and its form and arrangement, will enable it to be translated into electronic form, in due course. 148.The section does not disapply the formal statutory or common law requirements relating to deeds and documents but deems compliance with them. The entry is to be made against the registered estate or registered charge that is said to be burdened. 12.Some of the benefits of electronic conveyancing can only be maximised if it is used universally. Furthermore, only registration makes the transfer opposable to third parties.[7][8][9]. This is achieved by omitting manors from the interests in land which may or must be registered. 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. First, if a legal estate, such as an easement or profit prendre, subsists for the benefit of a registered estate, the entry must be made in the register relating to that registered estate. In such circumstances, rules may enable the registration of the mortgagee as the proprietor of a registered charge. 308.Paragraph 5 provides that the 1925 Act will continue to apply to an application for a notice, registration, inhibition or caution against dealings which is pending immediately before the 1925 Act is repealed. 102.Local land charges arise under a variety of statutory provisions and usually relate to costs of repairing a property or the amenities in the immediate vicinity of the property, such as roads. The objective is to ensure that the applicant for registration discloses any interests which are overriding in nature so that they can be entered in the register. 200.This section includes provision that the Lord Chancellors powers to make subordinate legislation are to exercised by statutory instrument and lays down the Parliamentary procedure to be used. The Act removes the difficulties created by the current law. The Lord Chancellor may also nominate further persons in the mentioned circumstances. Where, immediately prior to the coming into force of the Act, a squatter has been in adverse possession for the requisite period, the registered proprietor will hold the registered estate on a bare trust for the squatter under section 75 of the 1925 Act. 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. Electronic conveyancers will therefore need to be given appropriately regulated access to the land registry network. The provision is necessary because section 4(1) only applies to certain dispositions of, and grants out of, existing estates and demesne land is not an estate in land. Rules permit those with an interest to apply for boundaries to be fixed. 189.Where the relevant land is not registered, the lodging of a caution against first registration will ensure that the owner of the interest is notified of an application for first registration and so can by objecting ensure that a notice is entered in the register in respect of the interest. At present, where a squatter has been in adverse possession for the required period the registered proprietor holds the registered estate on trust for the squatter. Different provisions may be brought into force on different dates. In addition, the register relating to the landlords estate must contain a notice that the registered estate is now subject to the interest. The fact that none of the matters is capable of falling within paragraph 2 of Schedule 1 or Schedule 3 means that their priority has to be protected by means of an entry in the register, under the Act either a notice or a restriction. The Land Registration Act 2002 leaves the 1925 system substantially in place but enables the future compulsory introduction of electronic conveyancing using electronic signatures to transfer and register property. The registered proprietor will, however, be notified of that application and will, in most cases, be able to object to it. They can be very difficult to discover and can be exceptionally onerous. By contrast, if the claimant has suffered the loss because of a mistake but where the register was not rectified, the maximum sum is the value of the estate, interest or charge at the time when the mistake which caused the loss was made. The provisions of the Act are to be brought into force by order. 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). Already registered? After 21 August 1977 only certain rentcharges may be created, mainly estate rentcharges created for the purpose of making a landowners personal covenants enforceable by the rentowner or to secure payment for the provision of services or the carrying out of maintenance, repairs and the like by the rentowner. It is therefore proposed to bring paragraph 5(4) into force one year after the rest of Schedule 6. Where that is so, the notes set out below relating to them are not repeated in the notes on Schedule 3. In those circumstances, an equity arises in Bs favour. The section therefore amends the current law by leaving out this exception. The legal estate reverts to the person transferring it (who then, however, holds it on a trust for the intended recipient). He or she is also liable to indemnify the disponor or mortgagee in respect of any other liability reasonably incurred because of the failure to register. 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 Act adopts a double strategy. After 12 years adverse possession, Bs title is extinguished and A becomes owner of the land. X has been in adverse possession, has herself been dispossessed by a second squatter, Y, and has then recovered the land from Y. 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