9B - LAWS 1018 - REAL PROPERTY - Torrens Title and Leases

Business Law
REAL PROPERTY
LAW
Torrens Title
and
Leases
Slides prepared by Ricardo Villegas
Senior Lecturer
Business Law
INTRODUCTION
Buying Real Property
EQUITABLE interest Leases
Duties of Vendor Commencement and Lease Document
Duration
Duties of Purchaser EXPRESS Rights and
Exclusive Possession Duties
CONTRACT FOR THE SALE OF LAND
Licence IMPLIED Rights and
Registration of Title Duties at Common Law
Types of Leases
IMPLIED Rights and
OLD SYSTEM Title
FIXED TERM LEASE Duties by Statue
TORRENS SYSTEM Title
PERIODIC TENANCY Commercial and Retail Shops
EQUITABLE interest
LEGAL interest
Business Law
Are you ready to….uh…
um…wow, it’s been a long
time.
Ha ha. It’s just the stress of

trying to buy a house. The
market it just crazy.
But, you’re still interested in
buying a Real Property, right?
Yup. However, a house was

too much . So we’re thinking
to buy a unit.
Business Law

Business Law
Legal OWNERSHIP of the property does not pass from the Vendor
to the Purchaser until after settlement of the CONTRACT OF SALE,
normally at least 30 days after the contract is signed.
Business Law
Business Law
However, as soon as the CONTRACT OF SALE is signed by both

the Vendor and the Purchasers. the Vendor immediately acquires an
EQUITABLE interest in the property
Business Law
Buying Real Property EQUITABLE
interest
From Signing the Contract until the Settlement Date, the Purchaser
becomes the OWNER in EQUITY.
Purchaser has the right to obtain from the COURT an order for
Specific Performance to compel the Vendor to transfer ownership to
Purchaser if the Vendor later refuses to do so.
Oh, It’s my {{clears throat}}…

yes. Of house. I
course. grew up in
that house. Your
Honour…
Specific
Performance?
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interest
From Signing the Contract until the Settlement Date, the Purchaser
becomes the OWNER in EQUITY.
Purchaser has the right to obtain from the COURT an order for
Specific Performance to compel the Vendor to transfer ownership to
Purchaser if the Vendor later refuses to do so.
No!! We signed a CONTRACT OF SALE
Specific
Performance
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interest
Don’t forget. You, as the Vendor,

have a FIDUCIARY DUTY to
preserve the property pending
settlement with me, the Purchaser.
Hmmmph. Fine. I’ll ensure

the property is delivered
in the state at which you
purchased it.
The position of the Vendor

has been compared to that
of TRUSTEE.
Business Law
Don’t forget. Both the

Vendor and the
Purchaser have Duties.
Duties of Vendor
Duties of Purchaser
Business Law
Duties of Vendor
The Vendor has a Duty to Disclose Defects.
In a contract for the sale of land, the Vendor

has a corresponding Duty to Disclose
Defects of which the Vendor is aware
which would affect the Purchaser’s &

decision whether or not to enter into
the CONTRACT OF SALE
Business Law
Duties of Purchaser
A key feature of the normal CONTRACTUAL

RELATIONSHIP is the principle of Caveat Emptor.
A Purchaser usually has a Duty to Investigate

and be satisfied with what is being purchased.
Yup. It
looks good.
Business Law
must be in writing to be Enforceable.
Vendor Purchaser
Any subsequent variations to the CONTRACT

FOR THE SALE OF LAND should also be in
writing
For example:
A variation in the Date For Settlement.
If an Extension is granted it should be a

fixed date and it should be evidenced in
writing
Business Law
The majority of conveyances involve the use of a

Standard Form Contract for the SALE OF LAND,
typically issued by the relevant State or Territory Real
Estate Institute
There are:
Standard Contracts for the Sale

of House and Land

of Home Units and Townhouses

of Commercial Property
Business Law
Standard Contracts for the Sale of House and Land

Standard Contracts for the Sale of Home Units and
Townhouses
Standard Contracts for the Sale of Commercial
Property
It is not compulsory that the CONTRACT be a Standard Contracts
BUT
The forms have been developed to avoid the pitfalls associated with
less formal written formats, and are very commonly used.
Business Law
The terms of a Standard Contract often need

modification to meet the specific needs of the parties.
When this happens, SPECIAL CONDITIONS can be

inserted.
Common SPECIAL CONDITIONS include
conditions that the sale of the property is:
• subject to sale of • subject to local authority

another property, approval of a particular use.
• subject to registration • subject to a rezoning

of a plan of subdivision
Business Law
Business Law
The SALE OF the property may be made ‘subject to

finance’.
In this situation the written contract would include a

SPECIAL CONDITION stating that it is ‘subject to
finance’
Most Standard Contracts will contain provision for

making the Contract subject to finance
Business Law
Registration of Title
Congratulations on
your property!!
We’re doing the

Settlement tomorrow.
What’s next?
Let me tell you about

Registering the Title
Business Law
How does the Vendor prove that they are the OWNER of
the Land?
This depends on whether the Land is held under:
OLD SYSTEM TORRENS SYSTEM

Title Title
Business Law
Buying Real Property OLD
SYSTEM
Registration of Title Title
Under what is known as OLD SYSTEM Title, the Vendor will

produce THE document proving the transfer to them
from the previous OWNER {{clears throat}}…
which also proves the transfer to the

previous OWNER from the previous
OWNER from the previous OWNER
and so on all of the way

back to the ORIGINAL by the
GRANT of the Land CROWN
This is known as showing a Legislation usually limits the required

‘GOOD CHAIN OF TITLE’. length of the CHAIN to 30 years.
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OLD SYSTEM TORRENS SYSTEM

Title Title
Business Law
Buying Real Property TORRENS
SYSTEM
The complexity and difficulty in establishing title under the OLD

SYSTEM led to the development of a new, statutory system of title
known as the TORRENS SYSTEM
Most land in Australia is now under the TORRENS SYSTEM,

although some land remains under the OLD SYSTEM Title
Under the TORRENS SYSTEM, a Registrar of Titles in each

State or Territory maintains a Register in which they record the
details of the land. These details include:
Name of Details of all Leases

OWNERS registrable interests Easements
of the land, in the land including Mortgages Sir Robert
Richard Torrens
Business Law
SYSTEM
Certificate of Title proves ownership of TORRENS SYSTEM land
A person can only obtain a Legal It is only upon the

Interest in property under the recording of their names upon the
TORRENS SYSTEM Register that they become the
through Registration OWNERS of the property
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SYSTEM
Certificate of Title proves ownership of TORRENS SYSTEM land
A person can only obtain a Legal It is only upon the

Interest in property under the recording of their names upon the
TORRENS SYSTEM Register that they become the
through Registration OWNERS of the property
Ok. Your name

is on the
Register. You
both are now
the Joint
OWNERS of
the property…
Officially.
Business Law
SYSTEM
Under the TORRENS SYSTEM of title it is no longer necessary to

show a ‘GOOD CHAIN OF TITLE’.
To prove OWNERSHIP of land, a person simply shows that they are

recorded as the OWNER of the land on the Register
A person becoming the Registered OWNER of

land under the TORRENS SYSTEM takes priority
over any earlier, unregistered interest, even if they
knew about it.
TORRENS SYSTEM confers Indefeasibility Of

Title upon Registration
Indefeasible
Champion
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SYSTEM
Indefeasible
TORRENS SYSTEM confers Indefeasibility Of Title Champion
Frazer v Walker
Common Law
[1967] 1 AC 569
FACTS: Mrs Frazer forges signature on mortgage vesting Mr Frazer’s property to Mr
Radomski (this creates an illegal document). Mr Radomski does not know
of forgery and when money not paid, sells property to Mr Walker who is now
the Registered title holder. Mr Frazer finds out and wants his property back.
HELD: The COURT decided Mr Walker has paid good money for the property and
had no idea of forgery AND is Registered. So Mr Walker is able to keep the
land.
Registration, in However, if the Recording of an Interest on the Register was

other words, is achieved by FRAUD, the holder of that interest does not have
all-important. Indefeasibility Of Title
Business Law
SYSTEM
EQUITABLE LEGAL
interest vs interest
An Interest In Property An Interest In Property

recognised by Equity is recognised by the
called an EQUITABLE Common Law is called a
interest LEGAL interest
I’m not on the We’re on the Register so we

Register so I have a LEGAL interest
have an
EQUITABLE
interest
Business Law
SYSTEM
EQUITABLE LEGAL
interest vs interest
An EQUITABLE A LEGAL interest is one that is

interest is one that has recorded on the Registered title
been created by the
OWNER of the land but EQUITABLE and unregistered
is not recorded on the interests in land can be protected by
title. lodging a CAVEAT
Business Law
TORRENS
SYSTEM interest
Lodging a CAVEAT
As soon as someone signs a CONTRACT FOR THE SALE OF

LAND they acquire an EQUITABLE interest in the land I have lodged a
CAVEAT on the
A CAVEAT is a recording on the Register that informs others of Register to protect
the unregistered interest. your EQUITABLE
interest
Further dealings with the property — such as the Transfer of
the property to another — cannot take place without the consent
of the CAVEATOR or the removal of the CAVEAT
PENALTIES attach to the lodgement of a CAVEAT on the

Register without just cause
Business Law
SYSTEM
EQUITABLE LEGAL
interest interest
I hope that clears

up any confusion
about Registering
a Title.
Business Law
Leases
Ok. That was great. We

finally own property.
You finally have a home.
Not exactly. We’ve also

bought a Caravan to drive
around Australia. So, we
want to lease our unit.
Okidoki. Let’s talk Leases.
Business Law
Leases
A Lease (also known as a ‘Tenancy’) arises when the OWNER of
Real Property, grants to a Tenant the right to occupation and
possession of the Real Property for a limited period in return for
the payment of rent
The grantor is known as the Lessor or Landlord, the grantee is

known as the Lessee or Tenant, and the property Leased is usually
referred to as the Premises.
A Lease is a CONTRACT between the Lessor and the Lesee, as

such the basic principles of contract law apply to the arrangement.
Premises Lessor Lessee
Lease
Business Law
Lessee
Leases Lessor
A Lease of land MUST BE in writing and signed by

the person granting the lease (Lessor)
Premises Lease
A Lease of TORRENS SYSTEM land for more than
three years MUST BE executed in the prescribed
form and recorded on the registered title to be a
legally enforceable Lease
A Lease for less than three years do NOT NEED TO

be Registered to be legally enforceable.
A Lease appears as a notation on the Certificate of

Title
Business Law
Lessee
Leases Lessor
Commencement and Duration

There MUST BE a definite date of commencement of Premises Lease
the Lease and a definite duration of the Lease
The Commencement date MAY BE retrospective
Most Leases commence from the date that the Lessee takes
possession of the Premises, even if the Lease document is not signed
until after that date.
It’s cool bro.
The Commencement date Just pay me
NEED NOT be stated rent till you
explicitly. It is SUFFICIENT catch 10 big
IF there is provision within waves in a
the lease for the date to be row.
determined.
Business Law
Lessee
Leases Lessor
Commencement and Duration

IF the Duration is not stipulated, there MUST BE Premises Lease
reference to a related matter that will allow the
Duration to be calculated
This is known as the Rule in Lace v Chantler

Lace v Chantler
Common Law
1944 KB 368
FACTS: A statement that the Lease was ‘for the duration of the
war’
HELD: The COURT held that the statement was NOT to be
sufficiently precise
Business Law
Leases
Exclusive Possession
Once I Lease this Yes, of course.

property, will I be This is called
the only one who Exclusive
can use it? Possession.
Lessee Premises Lessor
Lease
Business Law
Lessee Lessor
Leases
Lease
Lessee have the Right to Exclude all others from the
Premises
Premises
Exclusive Possession includes the Right to Exclude

the Lessor
However, the Lessor usually has limited access rights

included as:
EXPRESS IMPLIED
CONDITIONS in the CONDITIONS by
Lease Legislation.
Business Law
Lessee
Leases
Lease
It is important to distinguish between:
Premises
Lease Licence
A Lease gives the Lessee A Licence gives a Non-exclusive
the Exclusive right to Right to the Grantee of the Licence,
Possession of the property called the LICENSEE.
A Licence may be of A Non-exclusive Right is a right that
uncertain duration can be shared by others
Lessor
Business Law
Lessee
Leases
Hi Uncle. Would you mind Lease

Premises
if I talked about the
different types of Leases
there are?
Oh, yes. Of course.
I’ll be renting my own flat

soon. So, I’ve learned a bit
about Leases.
Lessor
Very well. Ta.
Business Law
Lessee Lessor
Leases
Types of Leases
Lease
Premises
FIXED
PERIODIC
TERM
TENANCY
LEASE
Business Law
Lessee Lessor
Leases
Types of Leases FIXED TERM
LEASE
Lease
A FIXED TERM LEASE gives Exclusive Premises

Possession for a specific period of time from
the Commencement date.
The key feature of a FIXED TERM LEASE

is that it automatically terminates on the
date specified.
Well, it was
fun while it
lasted. We had
a good run.
Business Law
Lessee Lessor
Leases
Types of Leases
Lease
Premises
FIXED
PERIODIC
TERM
TENANCY
LEASE
Business Law
Lessee Lessor
Leases
PERIODIC
Types of Leases TENANCY
Lease
A PERIODIC TENANCY is a Lease that Premises
continues indefinitely from one period to another
For Example, from year to year, month

to month or week to week.
If the period of the Lease is not expressly stated it is usually

deemed to be the period when rent is paid, although this test is
not conclusive.
If a FIXED TERM LEASE expires and is not renewed, and the

Lessee remains in possession of the Premises with the consent
of the Lessor, the Lease will be deemed to have become a
PERIODIC TENANCY
Business Law
Lessee Lessor
Leases
PERIODIC
Types of Leases TENANCY
Lease
A PERIODIC TENANCY can be terminated by Premises
giving notice equivalent in length to the period.
For example, a MONTHLY However, a YEARLY

TENANCY requires one TENANCY requires
month’s notice. only six months’ notice.
The Lessor and Lessee can ‘CONTRACT OUT’ of
these notice provisions by agreeing on a different period
of notice in the Lease itself.
Done. But it’s It’s a deal.

a minimum
month’s time
for notice.
Business Law
Lessee
Leases
Types of Leases
Lease
Premises
FIXED
PERIODIC
TERM
TENANCY
LEASE
Nice work. Very well done.

Can I tell them what the
Lease Document contains?
But of course. Carry on. Lessor
Business Law
Lessee Lessor
Leases
Lease Document
Typically, the Lease Document Lease
will set out: Premises
the names of the parties,
the description of the premises,
the date of commencement,
the duration of the lease, and
the rent, or the means of

calculating rent.
Business Law
Lessee Lessor
Leases
Lease Document
As well as this basic information, the Lease
Lease will contain a number of terms Premises
setting out in detail the rights and
obligations of the Lessor and the Lessee
under the Lease
The rights and obligations of the

Lessor and the Lessee to a Lease are
either:
EXPRESS IMPLIED
Rights and Duties Rights and Duties
If EXPRESS, they are written If certain Rights and Duties are not referred
down in the Lease Document to, they may be IMPLIED into the Lease by
as terms. legislation or by common law.
Business Law
Leases RENT
Lease Document
EXPRESS Rights and Duties Lease
The following Rights and Duties are usually EXPRESS terms of a

COMMERCIAL Lease
The Lessee The requirement to The payment of rent

must pay pay rent is the represents compensation to
rent to the principal the Lessor for the Lessee’s
Lessor requirement in every Exclusive Possession
COMMERCIAL Lease of the Premises
Rent must ‘Gross Rent’ includes outgoings The usual

be paid to (see below) while ‘Net Rent’ provision in most
the Lessor will require an additional COMMERCIAL
by the due payment to be made for Leases is for Net
date outgoings. Rent.
Business Law
Leases PERIODIC
Lease Document REVIEW OF
EXPRESS Rights and Duties RENT Lease

COMMERCIAL Lease
The Rent payable by the Rent review clauses vary the rent so
Lessee will be periodically that the Lessor consistently receives
reviewed an appropriate rental for the Premises
Rent may be reviewed to market, Many COMMERCIAL

increased in accordance with a set rent review clauses
percentage, increased to a set figure, contain a RATCHET
increased in accordance with increases in CLAUSE stating that
the Consumer Price Index (CPI), or the Rent can increase
adjusted through a combination of these but not decrease.
methods
Business Law
Leases LESSEE
Lease Document PAYS
EXPRESS Rights and Duties OUTGOINGS Lease

COMMERCIAL Lease
The Lessee is Outgoings are the expenses associated with

required to contribute the Premises and the centre or building of
towards the outgoings. which the Premises are a part.
Outgoings usually include insurance premiums, garbage services,

charges for operating and maintaining relevant plant, security,
promotion and other such costs.
Business Law
Leases
LESSEE
Lease Document
OBLIGATIONS
EXPRESS Rights and Duties Lease

COMMERCIAL Lease
The Lessee must The Lessee is not to use the Premises or permit
keep the Premises them to be used for any purpose other than the
in a certain state specified purpose without the Lessor’s prior
of repair written consent
insure items such as plate glass windows,

The Lessee is
obliged to: to maintain a public liability insurance policy
to insure any tenant’s fixtures.

Business Law
Leases OPTION
Lease Document TO
EXPRESS Rights and Duties RENEW Lease

COMMERCIAL Lease
Most COMMERCIAL This is a term of the Lease giving the

Leases contain an option Lessee a right to call for a fresh lease
to renew upon expiry of the original Lease
Well, that’s the It’s a deal.

Lease. Want to
go again?
Business Law
Leases OPTION
Lease Document TO
EXPRESS Rights and Duties PURCHASE Lease

COMMERCIAL Lease
The Lease This is a term of the Lease giving the Lessee the
may contain right to purchase the premises upon the condition
an option to that they give notice and satisfy other requirements
purchase. stipulated in the option.
Business Law
Leases
Lease Document
Lease
EXPRESS IMPLIED
Business Law
Lease Document COVENANT
Leases OF
IMPLIED Rights and Duties QUIET ENJOYMENT
Lease
The following Rights and Duties are usually IMPLIED by Common Law
The Lessee has the right to enjoy the premises in

a peaceful manner free from interruption by the
Lessor
Lessor
This DOES NOT MEAN that the Lessor
Shh. The must guarantee that the Lessee will not be
Lessee is
sleeping disturbed in any way or must protect the
Premises Lessee from noises or nuisances
COVENANT OF QUIET ENJOYMENT means that the Lessor

will give the Lessee Exclusive Possession and, subject to
exceptions, will not interrupt this Possession
Business Law
Lease Document LIMITATIONS
Leases
Lessor
ON
IMPLIED Rights and Duties LESSOR
Lease
The Lessor must not do This is known as the

anything inconsistent with Covenant ‘NOT TO
the reason why the Lease DEROGATE FROM
was granted. GRANT’.
While this Covenant overlaps with the COVENANT
OF QUIET ENJOYMENT , there are acts that breach
this Covenant yet do not interfere with the Lessee’s
peaceful possession of the Premises.
For IF a Lease is granted for the purpose of storage
example of fragile goods the Lessor must not use
any adjoining land for a purpose that
could damage or destroy the fragile goods.
Business Law
Lease Document OBLIGATIONS
Leases OF
IMPLIED Rights and Duties LESSEE
Lessee
Lease
The Lessee must use the Premises in a ‘tenant-like manner’.
The Lessee must give up Thanks

Possession of the Premises again Mate.
She was a
at the end of the Lease great
house.
It’s my
associated duty The Lessee must undertake
as a tenant to associated duties to an
cut the lawn. acceptable standard.
Business Law
Lease Document WITHOLDING
Leases PAYMENT OF
IMPLIED Rights and Duties RENT
Lessee
Lease
The following Rights and Duties are usually IMPLIED by Statute
The Lessee is entitled to withhold payment of Rent in certain

circumstances.
STATE AND TERRITORY PROPERTY

LEGISLATION entitles the Lessee to a reduction in
the Rent payable on the occurrence of an event that
renders the Premises unfit for occupation, such as a
major fire, flood or storm.
The extent of the reduction is proportionate to the extent of

the damage sustained, and the Lessor’s rights to recover Rent
are suspended until the Premises have been rebuilt or made fit
for the Lessee’s occupation and use
Business Law
Lease Document PREMISES IN
Leases GOOD REPAIR
IMPLIED Rights and Duties DURING TENANCY
Lessee
Lease
The Lessee must keep the The Lessee must return the
Premises in good and Premises in such repair at
tenantable repair DURING the END of the Lease
the term of the Lease
Premises Premises
This standard is gauged by the condition of the Premises at

the COMMENCEMENT of the Lease
Business Law
Lease Document RIGHT OF ENTRY
Leases TO PREMISES
IMPLIED Rights and Duties FOR REPAIR
Lessee
Lease
The Lessee must allow the Lessor to enter

the premises to view the state of repair
upon the giving of notice in writing of their
intention to do so.
IF the Lessor is not satisfied with the

condition of the Premises, a notice to remedy
the defect can be served on the Lessee
IF the Lessee does not comply, the Lessor

may enter the Premises and undertake the
repairs and/or terminate the Lease
Lessor
Business Law
Leases Lease Document
Lease
EXPRESS IMPLIED
Business Law
Lease
Very well. I’ll take over

now.
Okidoki. Thanks Uncle. See
ya.
Yes. Have a lovely day.
Business Law
Commercial and Retail Shops

Lease
Each STATE AND TERRITORY has enacted
legislation specifically regulating
Commercial and Retail Shop Leases
Retail and Commercial Leases Act 1995 (SA)
The object of this legislation is primarily to regulate the

relationship between a Lessor and Lessee of particular
types of Leases
AND
To provide a statutory framework for the resolution of

disputes under such Leases
Business Law

Lease
The Terms of the Legislation differ in each State but are likely to contain the
following provisions and require compliance with the following obligations.
APPLICABLE PREMISES
The Legislation sets out the Types of Leased Premises to which the
legislation will apply
A Retail Shop Lease may be defined as

Premises less than a certain size
(usually1000 m2) leased for retail purposes
OR located within a Retail Shopping centre
Business Law

Lease
LEASE COSTS
The Legislation may regulate the types of costs payable

by each party: FOR EXAMPLE
Legal Costs (usually payable by each party),
The Cost of Preparing the Lease (usually payable by the Lessor),
Stamp Duty and Registration Fees (usually payable by the Lessee).

Business Law

Lease
DISCLOSURE STATEMENTS
The Legislation may oblige the Lessor to provide a

DISCLOSURE STATEMENT to the Lessee in the
prescribed form a minimum period (usually 7 days) before
the Lessee signs the Lease
The DISCLOSURE STATEMENT will set out important

information such as:
Rent Outgoings The Lessee’s other obligations

Business Law

Lease
KEY MONEY
The Legislation may prohibit the taking of key money by

the Lessor from the Lessee
KEY MONEY is an up-front fee charged by the Lessor

for the privilege of being granted a Lease of the Premises
Thank you for the

Privilege of allowing
me to rent your
Retail Shop
Business Law

Lease
BONDS
The Legislation may limit the amount of BOND payable

by the Lessee and regulate the terms upon which the
BOND is held and released.
RENT REVIEW
The Legislation may regulate the terms upon which rent

can be reviewed during the term of the Lease, and may
prohibit RATCHET CLAUSES
Business Law

Lease
TURNOVER RENT
The Legislation may permit the Lessor to charge

TURNOVER RENT
This is Rent based upon the Lessee’s turnover
The Legislation will regulate the way in which the

Lessee’s turnover is calculated.
Business Law

Lease
OUTGOINGS
The Legislation may regulate the way in which the

Lessee is charged for OUTGOINGS, including obliging
the Lessor to provide the Lessee with an itemised estimate
of OUTGOINGS in a prescribed format
RELOCATION, RENOVATION AND DEMOLITION
The Legislation may grant the Lessee certain rights in the event of
the Lessor deciding to relocate the Leased Premises within the
centre, renovate the centre or demolish the centre.
Business Law

Lease
DURATION AND EXTENSION
The Legislation may grant the a right to a minimum

duration of the lease (usually 5 years) as well as rights
relating to renewal and extension of the duration.
DISPUTE RESOLUTION
The Legislation may impose conditions upon the

resolution of disputes between Lessors and Lessees
Business Law
Leases
Thank you for the Lease

lesson on Leases.
Yes, of course.
Business Law
Well. We are all set

then. Thanks again.
Would you like

to learn about
other forms of
property. I can
teach you about
Intellectual
Property.
Business Law
Oh my. Perhaps
we’ll cover that in
the next lecture.
Business Law
CONCLUSION
EQUITABLE interest Leases
Duties of Vendor Commencement and Lease Document
Duration
Duties of Purchaser EXPRESS Rights and
Exclusive Possession Duties
Licence IMPLIED Rights and
Registration of Title Duties at Common Law
Types of Leases
IMPLIED Rights and
OLD SYSTEM Title
FIXED TERM LEASE Duties by Statue
TORRENS SYSTEM Title
PERIODIC TENANCY Commercial and Retail Shops
EQUITABLE interest
LEGAL interest

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Business Law

Ha ha. It’s just the stress of

Yup. However, a house was

Buying Real Property

However, as soon as the CONTRACT OF SALE is signed by both

Oh, It’s my {{clears throat}}…

No!! We signed a CONTRACT OF SALE

Don’t forget. You, as the Vendor,

Hmmmph. Fine. I’ll ensure

The position of the Vendor

Don’t forget. Both the

The Vendor has a Duty to Disclose Defects.

In a contract for the sale of land, the Vendor

which would affect the Purchaser’s &

A key feature of the normal CONTRACTUAL

A Purchaser usually has a Duty to Investigate

Any subsequent variations to the CONTRACT

If an Extension is granted it should be a

The majority of conveyances involve the use of a

Standard Contracts for the Sale

Standard Contracts for the Sale

Standard Contracts for the Sale

Standard Contracts for the Sale of House and Land

The terms of a Standard Contract often need

When this happens, SPECIAL CONDITIONS can be

• subject to sale of • subject to local authority

• subject to registration • subject to a rezoning

The SALE OF the property may be made ‘subject to

In this situation the written contract would include a

Most Standard Contracts will contain provision for

We’re doing the

Let me tell you about

This depends on whether the Land is held under:

OLD SYSTEM TORRENS SYSTEM

Under what is known as OLD SYSTEM Title, the Vendor will

which also proves the transfer to the

and so on all of the way

This is known as showing a Legislation usually limits the required

OLD SYSTEM TORRENS SYSTEM

The complexity and difficulty in establishing title under the OLD

Most land in Australia is now under the TORRENS SYSTEM,

Under the TORRENS SYSTEM, a Registrar of Titles in each

Name of Details of all Leases

Certificate of Title proves ownership of TORRENS SYSTEM land

A person can only obtain a Legal It is only upon the

Certificate of Title proves ownership of TORRENS SYSTEM land

A person can only obtain a Legal It is only upon the

Ok. Your name

Under the TORRENS SYSTEM of title it is no longer necessary to

To prove OWNERSHIP of land, a person simply shows that they are

A person becoming the Registered OWNER of

TORRENS SYSTEM confers Indefeasibility Of

Registration, in However, if the Recording of an Interest on the Register was

An Interest In Property An Interest In Property

I’m not on the We’re on the Register so we

An EQUITABLE A LEGAL interest is one that is

As soon as someone signs a CONTRACT FOR THE SALE OF

PENALTIES attach to the lodgement of a CAVEAT on the

I hope that clears

Ok. That was great. We

You finally have a home.

Not exactly. We’ve also

The grantor is known as the Lessor or Landlord, the grantee is