Overview
Land law is a fundamental aspect of property rights and real estate dealings, making it essential for the SQE1 FLK2 exam. This guide examines key principles, such as estates, legal and equitable interests, land registration, and specific rights linked to land ownership. A solid understanding of these topics is important for legal professionals aiming to excel in the SQE1 FLK2 examination.
Estates in Land
Estates in land determine the nature and duration of rights over a property. Understanding these concepts is key to comprehending property ownership in English law.
Freehold Estates
Freehold estates offer the broadest form of land ownership, allowing indefinite control over the property.
Fee Simple Absolute in Possession
This extensive estate provides the owner with:
- Unlimited duration of ownership
- Freedom to use, sell, or transfer the property
- Rights to income from the land
This estate is subject to eminent domain and some statutory limits.
Leasehold Estates
Leasehold estates allow possession and use of land for a defined period, under specific terms.
Types of Leasehold Estates
- Term of Years Absolute: A fixed-term lease with a set end date
- Periodic Tenancy: Renews automatically until terminated by notice
- Tenancy at Will: Can be ended at any time by either party
- Tenancy at Sufferance: Occurs when a tenant stays after a lease expires without consent
Example: A commercial tenant leases office space for 10 years, creating a term of years absolute that grants exclusive possession for that period, according to lease terms.
Legal vs. Equitable Interests
The distinction between legal and equitable interests affects enforceability and priority of rights.
Legal Interests
Legal interests are recognized by common law and statute, primarily under the Law of Property Act 1925. They include:
- Fee Simple Absolute in Possession
- Leasehold Estates
- Easements
- Mortgages
- Rentcharges
These interests bind all subsequent owners and are enforceable against third parties.
Equitable Interests
Equitable interests, developed by courts of equity, ensure fairness in property dealings. Key equitable interests include:
- Trusts
- Equitable Easements
- Estate Contracts
- Restrictive Covenants
They are enforceable against subsequent owners who have notice of their existence.
Example: A property is held in trust; legal title is in the trustees' name, while beneficial ownership belongs to the beneficiaries.
Land Registration and Its Effects
The Land Registration Act 2002 transformed how land ownership and interests in England and Wales are recorded.
Key Features of the Land Registration System
- Transparency
- Security
- Simplification
- Electronic Conveyancing
Registered vs. Unregistered Land
Registered Land
- Title is guaranteed by the state
- Interests prioritize based on registration date
- Overriding interests may apply despite not being registered
Unregistered Land
- Title is based on historical documents (title deeds)
- Interests prioritize under legal and equitable rules
- Vulnerable to adverse possession claims
First Registration
First registration occurs when unregistered land becomes registered, typically during:
- Property sale
- Property mortgage
- Long lease grant (over seven years)
Example: To sell a family-owned unregistered rural property, they must apply for first registration, submitting title deeds to the Land Registry.
Specific Rights in Land
Airspace Rights
The maxim "cuius est solum, eius est usque ad coelum et ad inferos" has important limitations:
- Rights extend to such height as needed for ordinary land use
- Civil Aviation Act 1982 provides a defense for aircraft flying at reasonable heights
Key cases:
- Rosebery Ltd v Rocklee Ltd [2011] EWHC B1 (Ch)
- H Waites Limited v Hambledon Court Ltd [2014] EWHC 615 (Ch)
Water Rights
Water rights depend on the water source nature:
- Defined Channels: Riparian rights apply
- Percolating Water: Landowner can use all water within their land
Relevant cases:
- John Young & Co v Bankier Distillery Co [1893] AC 691
- Bradford Corp v Pickles [1895] AC 587
Mineral Rights
Landowners generally own minerals beneath their land, with exceptions:
- Gold and silver (royal mines) belong to the Crown
- Petroleum is vested in the Crown (Petroleum Act 1998)
- Coal is vested in the Coal Authority (Coal Industry Act 1994)
Adverse Possession
Adverse possession lets individuals claim ownership through continuous and open occupancy without permission.
Requirements for Adverse Possession
- Factual possession
- Intention to possess
- Without consent
- Time period:
- 12 years for unregistered land
- 10 years for registered land, with additional requirements under the Land Registration Act 2002
Registered vs. Unregistered Land
The Land Registration Act 2002 introduced changes for adverse possession of registered land:
- After 10 years, an adverse possessor can apply to be registered as proprietor
- The registered proprietor is notified and can object
- If the proprietor objects, the application may be rejected unless specific conditions are met
Example: An individual uses a strip of registered land next to their property for 11 years, maintaining it as their garden. They apply to be registered as owner, but the application may fail if the registered owner objects.
Conclusion
Studying land law principles is essential for success in the SQE1 FLK2 exam and future legal work. This guide offers a clear overview of property rights, ownership, and transactions. Important elements include:
- Freehold and leasehold estates
- Legal and equitable interests in land
- Impact of land registration
- Specific rights like airspace, water, and mineral rights
- Adverse possession principles and requirements
By understanding these topics, aspiring legal professionals will be well-prepared for the SQE1 FLK2 exam and the practice of property law.