Saturday, 10 October 2020
The 1925 Property Legislation
Policy and Methods of the 1925 Legislation
- ‘to advise what action should be taken to facilitate and cheapen the transfer of
land’
- Looks at controlling the risk of purchasing land
- The two concerns of a purchaser of an estate:
- Is it really yours? - do they have those ownership rights.
- The legislation needs to facilitate how we investigate who owns the
estate.
- Which 3rd party interests exist in relation to the estate?
- Purchaser needs to have a way of investigating and being able to
discover the rights of other people over that estate.
- You could approach the owner of the third party right and pay them o
- Avoiding subordinating 3rd party right holders to the purchaser.
- O ering 3rd party right holders some means for them to protect their
interests when there is a disposition on it or when that estate is sold.
- Needs to balance the interests between the 3rd party rights owner and the
purchaser.
- 1925 Legislation employs two methods:
- Reclassi cation of estates and interests in land;
- Provision of machinery for the investigation and protection of estates and
interests in land.
Reclassi cation of Interests in Land
- The problem prior to 1926
- A (for life) -> B (for life) -> C (in fee simple)
- If you’re the purchaser and the estate has been fragmented in this way then
you’ve got to enter into a transaction with A to bind their life interest, with B
1
ff
fi ff
The 1925 Property Legislation
Policy and Methods of the 1925 Legislation
- ‘to advise what action should be taken to facilitate and cheapen the transfer of
land’
- Looks at controlling the risk of purchasing land
- The two concerns of a purchaser of an estate:
- Is it really yours? - do they have those ownership rights.
- The legislation needs to facilitate how we investigate who owns the
estate.
- Which 3rd party interests exist in relation to the estate?
- Purchaser needs to have a way of investigating and being able to
discover the rights of other people over that estate.
- You could approach the owner of the third party right and pay them o
- Avoiding subordinating 3rd party right holders to the purchaser.
- O ering 3rd party right holders some means for them to protect their
interests when there is a disposition on it or when that estate is sold.
- Needs to balance the interests between the 3rd party rights owner and the
purchaser.
- 1925 Legislation employs two methods:
- Reclassi cation of estates and interests in land;
- Provision of machinery for the investigation and protection of estates and
interests in land.
Reclassi cation of Interests in Land
- The problem prior to 1926
- A (for life) -> B (for life) -> C (in fee simple)
- If you’re the purchaser and the estate has been fragmented in this way then
you’ve got to enter into a transaction with A to bind their life interest, with B
1
ff
fi ff
