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O so tenant shares ep with one jt o if one co owner

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o So tenant shares EP with one JT. o If one co-owner dies the lease will continue for its full term. 18
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Upon the death of A the leasehold reversion is extinguished. o If A dies A’s estate can continue to collect the rent and B is able to claim a proportion of that. TOPIC 3: Introduction to Enforceability When competing interests are created through an earlier and later act. A sells to B, but before the settlement A lease to C. Who can occupy the land? Who gets possession? Security of title vs security of transaction – priority rules generally favour one of the two. This is a policy choice. Security of title > elevates as the most important aim the protection of the person who already holds title. That person is the “true owner”. This policy approach demands sacrifice of the interests that are subsequently acquired. The later interest might even have been acquired in good faith/bona fide. Security of transaction > elevates as the most important thing the need to protect innocent purchasers. Tries to protect the subsequent interest holder provided that they are innocent. Legal vs Legal: a person cannot pass good title if they do not have it themselves. This favours the earlier legal interest holder. o For example a rogue cannot pass good title to a bona fide purchaser because the rogue never had good title. This protects the true owner and therefore favours security of title. Prior Equitable Interest v Subsequent legal interest – subsequent prevails if they are a bona fide purchaser for value without notice. o PLA s199 – you will have notice if you have actual notice/constructive notice/ imputed notice. You must have had notice at the time that you entered the K. This places a burden on the purchaser because they must take all reasonable measures to make sure that there is no prior equitable interest. Equitable interest v Equitable interest – the better right will prevail. If they are of equal value and quality then the first in time will prevail. Deeds registration system was introduced in Australia in the 1940s. Designed to reduce the cost of title investigations. Anybody who had an interest could register it if it was granted in a written document. Allowed for the recording of both legal and equitable interests. The benefit of the register was to give notice that the interest existed. Registration was optional and purchasers were always at risk of there being something else out there. It closed in 1999. Torrens – the register is conclusive as to interests in land. There is provision for warranty by the state guaranteeing that the register is conclusive. The Torrens register contains the title. The title itself depends on registration. The register is supposed to be the be all and end all of title. Security of title is provided for through the concept of ‘indefeasibility of title’ which means that the title cannot be defeated. But it cannot protect you from all claims! For torrens land there is a new
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o So tenant shares EP with one JT o If one co owner dies...

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