Land Law Notes PDF

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- LAND LAW: I. INTRODUCTION II. DETERMINING TITLE TO LAND A. ADVERSE POSSESSION B. TYPE OF LAND TRANSFER SYSTEMS C. UNREGISTERED INTERESTS AND PRIORITIES D. EQUITABLE PRIORITIES III. INDEFEASIBILITY OF TITLE A. FRAUD (AN EXCPETION TO INDEFEASIBILITY) B. OTHER EXCEPTIONS TO INDEFEASIBILE TITLE C. IN ...

Description

LAND LAW: 301 I.

INTRODUCTION ........................................................................................................................................ 2

II.

DETERMINING TITLE TO LAND .................................................................................................................. 6 A. B. C. D.

III. A. B. C. D. E. IV. A. B. C. V.

ADVERSE POSSESSION ....................................................................................................................................... 6 TYPE OF LAND TRANSFER SYSTEMS ....................................................................................................................... 7 UNREGISTERED INTERESTS AND PRIORITIES ........................................................................................................... 8 EQUITABLE PRIORITIES ...................................................................................................................................... 9 INDEFEASIBILITY OF TITLE ................................................................................................................... 12 FRAUD (AN EXCPETION TO INDEFEASIBILITY) ........................................................................................................ 16 OTHER EXCEPTIONS TO INDEFEASIBILE TITLE ........................................................................................................ 19 IN PERSONAM EXCEPTIONS TO INDEFEASIBILITY .................................................................................................... 21 COMPENSATION ............................................................................................................................................ 24 GUEST LECTURE ............................................................................................................................................ 25 CAVEATS ............................................................................................................................................. 29 INTERESTS THAT WILL SUPPORT A CAVEAT ........................................................................................................... 30 CLEARING CAVEATS OFF THE TITLE ..................................................................................................................... 32 LIABILITY FOR LODGING A CAVEAT ..................................................................................................................... 33 MAORI LAND LAW..................................................................................................................................34

A. B. C. VI. A. B. C. D. VII. A. B. VIII. A. B. C. IX. A. B. C. D. X.

COLONISATION: ............................................................................................................................................. 35 TH 20 CENTURY MAORI LAND LAW ..................................................................................................................... 37 CUSTOMARY TITLE CLAIMS .............................................................................................................................. 39 EXTENT OF LANDOWNERS RIGHTS IN LAND ....................................................................................... 42 RIGHTS TO AIRSPACE ...................................................................................................................................... 42 SUB-SURFACE MINERAL RESOURCES ................................................................................................................... 43 RIGHTS TO FIXTURES ....................................................................................................................................... 44 WATER RELATED PROPERTY RIGHTS ................................................................................................................... 44 CONCURRENT INTERESTS IN LAND .....................................................................................................48 JOINT TENANCY VS. TENANCY IN COMMON ........................................................................................................ 48 CO-OWNERSHIP AT LAW AND EQUITY ................................................................................................................. 51 TYPES OF TITLES ................................................................................................................................. 53 STRATUM ESTATES ......................................................................................................................................... 53 CROSS LEASES/TENANTS IN COMMON ................................................................................................................ 53 UNIT TITLES .................................................................................................................................................. 55 LEASES ................................................................................................................................................ 56 RIGHTS AND DUTIES OF THE LANDLORD .......................................................................................................... 60 RIGHTS AND DUTIES OF THE TENANT ............................................................................................................... 63 MUTUAL STIPULATIONS .................................................................................................................................. 67 REMEDIES .................................................................................................................................................... 71 EASEMENTS AND COVENANTS ............................................................................................................... 74

A. B. XI. A. B. C.

EASEMENTS .................................................................................................................................................. 74 COVENANTS.................................................................................................................................................. 79 MORTGAGES ......................................................................................................................................84 INTRO AND BASIC ELEMENTS ............................................................................................................................84 RIGHTS OF THE MORTGAGOR............................................................................................................................ 86 MORTGAGEE’S REMEDIES ................................................................................................................................ 88 1

I.

INTRODUCTION 1. 2. 3. 4.

The Doctrine of Tenure ........................................................................................................................... 3 Doctrine of Estates .................................................................................................................................. 4 Equity with regards to land ..................................................................................................................... 4 Land Law Legislation............................................................................................................................... 5

“Land” is not actually defined in any of the Acts and this proves to be an issue especially when looking at the foreshore and seabed cases

Facts:

Issue: Decision:

Facts: Issue: Decision:

Risk v Northern Territory of Australia [2000] HC AU An aboriginal group sought to reclaim native title over an area of seabed in the Northern Territory. The government’s argument was that the seabed is not “land” for the purposes of the act Should the definition of land extend to the seabed? The court upheld the decisions of the lower courts. No the seabed is not land. 1. The ordinary and ordinary legal meaning of land does not extend to the seabed of coastal waters beyond the low tide mark 2. It was not parliament’s intention to include the seabed as “land” for the purposes of the Act.

AG v Ngati Apa [2002] CA NZ Iwi sought to reclaim the foreshore and seabed in the Marlborough area Did the Maori land court have jurisdiction to hear cases involving the foreshore and seabed? Is the foreshore and seabed “land” for the purposes of the jurisdiction of the Maori Land Court? Sea areas are not expressly mentioned in the Act. Although it is commonly known that the Courts have jurisdiction over lakes and seas, and this must be known by Parliament when they were drafting the legislation. Moreover, use singular use of the word “land” could not be used to extinguish right to the seabed – it would be inconsistent with the purposes of the Act. Therefore, for the purposes of the Maori Land Court, “land” does include the foreshore and seabed

Note: 2 Note :

NZ result is different to the AU result Parliament enacted the Foreshore and Seabed Act which created a new type of land title which meant that the land was incapable of ownership

Land and rights in land have a temporal and a spatial aspect - “Rights of property in land are four-dimensional. They are defined not only by reference to the physical boundaries of the property but also by reference to the time for which the interest will endure.” (Newlon Housing Trust v Alsulaimen [1998] 4 All ER per Lord Hoffman)

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1.

THE DOCTRINE OF TENU RE

Doctrine: All land holdings can be traced back to be held by the Crown either directly or indirectly. It focuses on the relationship between the Crown and the Tenant. The Crown holds radical title New Zealand has had two revolutions separated by 900 years 1. Post Battle of Hastings 1066 - The doctrine of tenure and estates was introduced into England - This removed all allodial ownership (ownership which is independent of any superior landlord) - William the Conqueror declared himself the “owner” of all land as sovereign - Land was only granted in return for services - This idea still lasts. The Crown is the ultimate holder of all land (except for Maori customary interest as they do not arise from Crown law) 2. Arrival of Maori in NZ and the introduction of colonial land law - Article 2 of the treaty refers to estate and land, granting “full exclusive and undisturbed possession” / qualified exercise of chieftainship of lands - English version said the Crown had exclusive right of pre-emption - Maori version said Crown could purchase should Maori wish to sell Escheat: - Land which has no legal owner reverts back to ultimate owner, Crown. - It is a consequence of the doctrine of tenure Veale v Brown Veale v Brown (1868) CA NZ Facts: Mrs V owned a pub and died intestate. The Crown said the land reverted back to them Issue: Could Mr V claim allodial title? Held: Mr V was only entitled to personal effects but no the property The pub was treated as land without owner except for the Crown, the ultimate owner - “The feudal system, long extinct in England itself as a social and political system, is yet the source of all the doctrines of the English law of real property. It is a fundamental principle of that law than all lands are holden of some superior lord– according to the old French maxim, Nulle terre sans seigneur. In other words, the doctrine of tenure is a fundamental principle of the English law of real property; and to say that the doctrine of tenure is not to prevail in this Colony, is as much as to say that the English law of real property is not in force here. This we may safely treat as an absurdity.” - This case upholds the doctrine of tenure and escheat - This doctrine has now been codified in the Administration Act 1969. s76 removes the principle and s77 lists circumstances in which one may be entitled to the land otherwise it reverts back to the Crown

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2.

DOCTRINE OF ESTATES

An estate is an abstract concept representing certain rights to be exercised in respect of land Estates look at the relationship between the tenant and the land over time Estates vs. other interests in land - An "estate" in land entitles the owner to exclusive possession. It is an abstract theory - Other rights in land that do not give the right to exclusive possession are called "interests in land" e.g. easements (right of way), mortgages, covenants, profit a prendre (the right to take materials from land) etc. Estates are temporal, characterized not just be space but by duration of the interest The four types "estates" in NZ - Fee simple estate o Duration is uncertain o The won can alienate, transfer lan, has right to exclusive possession and to use and enjoy land - Life estate o Reversion: A grants to B however in the event of B's death title reverts back to A or A's heirs o Remainder: A life estate with a remainder means title reverts back to C - Stratum estate (subdivided usually 'in the air' e.g. an apartment) o This is no good by itself. You need other rights as well. E.g. Right of access through common area/ongoing maintained - Leasehold o "The legal right to exclusive possession of land for a certain period less than the period for which the landlord holds the land" o Characterised by being of certain duration/fixed term o i.e. carved out as a lessor from a fee simple estate o sub-lease can be carved out of a lease and so on What distinguishes these are the duration

Co-Ownership - Tenancy in common: The different owners possess specific concrete shares and they can deal with that specific share as their own property. It does not automatically go to the other owners on death. No right of survivorship. - Joint Tenancy: When an owner dies, then that person dies that interest automatically goes to the other owner.

3. -

EQUITY WITH REGARDS TO LAND

All estates in land may be legal or equitable. Most interests in land may be legal or equitable Chancery developed principles of equity which recognized and enforced estates and interests that the common law would not, in order to mitigate the harshness of the law. Equitable interests in land are generally caveatable It also affects trust laws, mortgagors equity redemption, restrictive covenants, purchaser's interest under an agreement for sale and purchase of land

Equitable interests - An equitable estate may arise when it is unregistered or registered - Equitable interest arising from contract. There must be valuable consideration. Specific performance is available. You need either o Sufficient agreement in writing under s24 PLA 2007; or o Part performance under s26 PLA 2007 - Gifts are generally not enforced in equity 4

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Trusts over land Restrictive covenants Mortgagor’s equity of redemption Purchaser's interest under an agreement for Sale and Purchase is a significant interest therefore it can be lodged as a caveat

Comparing legal and equitable interests The practical purposes of a legal and equitable interest are the same Their differences are below: 1. Creation - Under LTA s41, no legal interest or estate passes without formal registration - By contrast, equitable interests may be created informally. Equity looks to the substance rather than the form. Equity binds parties’ conscience. 2. -

Assignment Assignment – transfer of property rights. Reflects principles of creation One can only assign or transfer legal interests in accordance with the LTA However in equity you can informally assign by there are PLA requirements

3. -

Enforceability Equity’s reach is limited it only operates on conscience. Equity is inly enforced against the parties to a contract. As they have knowledge to the contract Equity can be defeated by bona fide purchaser for value without notice Land transfer system – once an interest is registered it is enforceable against the world

4. -

Priorities Based on the date the interest was registered but that can be contracted out of and sometimes in equity is can be based on any other equitable reason. In equity the interest is based on the date the interest is created

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4.

LAND LAW LEGISLATION

Property Law Act 2007 - Replaced the 1952 Act. - Deals with both personal property and real property Land Transfer Act 1952 - Sets up a system for registered legal interests in land. It is only concerned with real property. It accommodates equitable interests in estates through caveats. Others -

Unit Titles Act 1972 (UTA) Foreshore and Seabed Act 2004 Resource Management Act 1991. This Act imposes statutory limits on what you can do with your land. Other family property legislation.

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II. II.

DETERMINING TITLE TO LAND DETERMINING TITLE TO LAND .................................................................................................................. 6

A. B.

ADVERSE POSSESSION ....................................................................................................................................... 6 TYPE OF LAND TRANSFER SYSTEMS....................................................................................................................... 7 1. Deeds system .......................................................................................................................................... 7 2. Land transfer (Torrens) system ............................................................................................................... 7 C. UNREGISTERED INTERESTS AND PRIORITIES ........................................................................................................... 8 D. EQUITABLE PRIORITIES ...................................................................................................................................... 9 1. False colours ........................................................................................................................................... 9 2. Fairness and Justice ..............................................................................................................................10 3. Notice .................................................................................................................................................... 10

Dealing with titles 1. Private conveyancing – No public record of land titles 2. Deeds system – NZ still has some deeds but most now fall under the Torrens system 3. Land Transfer System - THE ACT OF REGISTERING YOUR TITLE CONFIRMS YOUR INTEREST The concept of title A title holder can; 1. maintain possession by an action in trespass 2. recover possession by an action in ejectment But title is relative: 1. a claimant only need better title than defendant 2. person in adverse possession may have a better title than others including the true owner

A.

ADVERSE POSSESSION

This involves acquiring title through occupation or possession To gain adverse possession you must meet the minimum period of possession and not be ejected by the true owner 1. Title by limitation - One may have adverse possession for a period of 12 years (or 20 years under 1950 Act) or 60 years for Crown land after which the title will vest with him - ss21 and 27 Limitation Act 2010, applies to deeds system land and to land transferred in limited transactional circumstances - S27 provides for extinguishment of “true” owner’s title if the s21 period ends before a claim to recover the land is made - When can you claim land o If the land has not been brought under the LTA and you have held possession for 12 years o If the land was not under the LTA but during the 12 year period it was brought under the LTA, then title under the LTA must be either limited as to parcels or limited as to land - Adverse possession can be brought to an end at any time during the 12 years (or 60) by the true owner bringing an action for t...