Co-Ownership

1
Co-Ownership

• 2 types of co-ownership
• Severance of a joint tenancy
• Co-owners TOLATA 1996
• Purchasing property from co-owners

2
2 types of Co-Ownership

• Trusts of Land and Appointment of Trustees Act
  1996.
• Trust of Land
• Joint Tenants
• Tenants in Common

3
Joint Tenants

• The Four Unities
• Time
• Title
• Interest
• Possession
• Bull v Bull 1955 1 QB 234

4
Joint Tenants

• Words of severance
• Payne v Webb (1874) LR 19 Eq 26
• Lewen v Dodd (1595) Cro Eliz 443
• Peat v Chapman (1750) 1 Ves Sen 542
• Survivorship

5
Tenants in Common

• Unity of possession
• Bull v Bull 1955 1 QB 234
• Equitable presumptions
• Unequal contributions to the purchase price
• Speculative nature of ownership
• Money advanced on mortgage by joint mortgagees
• Premises held for more than one business purpose
• Malayan Credit Ltd v Jack Chia Mph Ltd 1986
  AC 549

6
Position in Law Equity

• Law (JT)
• Equity (JT/TIC)
• S.34(1) (2) LPA 1925
• S.36(2) LPA 1925

7
Severance of a Joint Tenancy

• Reasons for severing Joint Tenancy
• survivorship
• S.36(2) LPA
• Notice in writing
• Do such other acts or thingseffectual to sever
  the joint tenancy
• Williams v Hensman (1861) 1 John H 546
• Equal shares on severance
• Goodman V Gallant 1986 Fam 106

8
Severance of a Joint Tenancy

• A,B,C,D A,B,C,D
• A,B,C,D A B,C,D
• B,C,D B,C,D,
• B,C,D X B,C,D

9
Severance of a Joint Tenancy

• B,C,D B,C,D
• C CD X C CD

10
Notice in Writing

• How serve?
• S.196(4) LPA
• Registered/recorded delivery letter
• S.196(3) LPA
• Leave last known place of abode
• Re 88 Berkeley Road NW9 1971 Ch 648
• Kinch v Bullard 1999 1 WLR 423
• Grindal v Hooper 1999 EGCS 150

11
Williams v Hensman

• A joint tenancy may be severed in three ways,
  in the first place, an act of any one of the
  persons interested operating upon his own
  sharesecondly a joint tenancy may be severed by
  mutual agreement. And in the third place, there
  may be a severance by any course of dealing
  sufficient to intimate that the interests of all
  were mutually treated as constituting a tenancy
  in common.

12
Williams v Hensman

• An act..operating upon his own share
• Sale
• Bankruptcy
• Mortgage
• First National Securities v Hegarty 1984 1 All
  ER 139

13
Williams v Hensman

• Mutual Agreement
• Express
• Implied
• Burgess v Rawnsley 1975 1 Ch 429
• Re Woolnough 2002 WTLR 595
• Course of dealing
• It is sufficient if there is a course of
  dealing in which one party makes clear to the
  other that he desires that their shares should no
  longer be held jointly but be held in common

14
Co-Owners TOLATA 1996

• Sale
• Consultation (s.11)
• Court order sale (s.14)
• Factors court must take into account (s.15)
• Intention of persons who created trust
• Purpose for which trust property held
• Welfare of any minors
• Interests of any secured creditors/beneficiary

15
Co-Owners TOLATA 1996

• Sale
• Mortgage Corporation Ltd v Shaire and others
  2000 EGCS 35
• Bank of Ireland Home Mortgages Ltd v Bell and
  Bell 2001 2 FLR 809

16
Co-Owners TOLATA 1996

• Right to occupy land
• Right to occupy (s.12)
• Exclusions restrictions on right to occupy
  (s.13)
• Have regard to intentions of person who created
  trust
• Purpose for which the land is held
• Wishes of all beneficiaries who entitled to
  occupy

17
Purchasing Property from Co-Owners

• Overreaching provisions
• Valid receipt for purchase money
• Sale by sole surviving joint tenant
• Registered land
• Restriction on the register?
• Unregistered land
• Law of Property (Joint Tenants) Act 1964
• Memorandum of severance?