Overriding Interests

Overriding Interests

1. First Registration - Schedule 1

   • Bind whether purchaser/not, freehold/lease s11,12 LRA 2002
   • More extensive => not escape binding rights simply by registration
   • Short-term legal lease <= 7
     • >7 Registrable title
     • Transferred <7 to run/ take effect >3mths, dwelling HA s4(e)
     • Overriding under s70(1) LRA 1925 continues to override
     • Equitable lease NOT
       • Enforceable contract
       • failure to register
       • overriding AO if protected as class Civ land charge in transfer of unregistered title
   • Para 2:Persons in actual occupation
     • Factual occupation at time of disposition Rule 15 LRR 2003
       • Williams& Glyn's Bank v Boland physical presence
       • Link Lending Ltd v Bustard unvoluntarily detained,furniture still counts
       • Thomas v Clydesdale Bank: renovating present everyday
       • Abbey National Building v Cann date of execution is crucial
     • Disclosure of Interest irrelevant except AP
     • Hold any proprietary interest National Provincial Bank v Ainsworth
       • Survive unregistered conveyancing

2. Subsequent Registration - Schedule 3

   • Opportunity to discover rights affect him => more restrictive
   • Para 1, Schedule 3: Short-term legal leases <=7
     • <= 21 under old law
     • Equitable leases NOT
       • Entry of Notice
       • AO
     • >7yrs,>3mths effect, possession discontinued
       • Lease in Part 5 HA 1985, franchise or manor, dwelling house right to buy s 4 (1)e
       • Registered as individual title
   • Para 2 Actual Occupation
     • Hold a proprietary interest
     • Actual Occupation
       • Time between execution and registration
         • Resolved: Abbey National Building v Cann
           • Applied: Cook v The Mortgage plc
     • Exceptions
       • b)enquiry was made -no disclose
       • c)not obvious on reasonable inspection, no knowledge
   • Certain Legal Easements and profits
     • Equitable wont do

3. S71 LRA 2002: requirement to disclose known overriding interests => encourage disclosure, true mirror

   • No sanction

4. Ceases to be overriding if registered s29(3)