Former overriding interests
310.Paragraph 7 is discussed below under Adverse possession.
311.At present, the unregistered interest of both a person in actual occupation and also one in receipt of rents and profits is protected as an overriding interest, unless enquiry of that person is made and the rights are not disclosed (section 70(1)(g) of the 1925 Act). The Act confines protection of this class of interest to those in actual occupation. Paragraph 8, however, provides that an interest which, immediately before the coming into force of Schedule 3, was an overriding interest under section 70(1)(g) of the 1925 Act by virtue of a person’s receipt of rents and profits is to be an unregistered interest that overrides registered dispositions under Schedule 3, but it will cease subsequently to be such an interest if that person ceases to be in receipt of rents and profits.
312.Under paragraph 9, where an easement or profit à prendre is an overriding interest at the time when the Act comes into force, but would not be under the provisions of paragraph 3 of Schedule 3, its priority will be protected without the need for registration. So, those who have the benefit of such rights are not at risk of losing them.
313.Under paragraph 10, for three years after the Act is brought into force any legal easement or profit à prendre that is not registered will have protected priority. Apart from those easements and profits that fall within paragraph 9, that overriding status will cease three years after the date on which the Act is brought into force. There will, therefore, be a period of three years’ grace before the new arrangements take effect, except in relation to equitable easements and profits. Any equitable easements and profits created after the Act is brought into force will need to be protected by registration.
314.Paragraph 11 is discussed below under Adverse possession.
315.Under section 70(1)(k) of the 1925 Act leases granted for a term not exceeding 21 years are overriding interests. The effect of paragraph 12 will be that where before the coming into force of Schedules 1 and 3 a lease was an overriding interest under section 70(1)(k) it will be taken to be a lease within paragraph 1 of the appropriate Schedule and so continue to override first registration or a registered disposition.
316.Similarly, where a local land charge whose status as such was preserved by the Local Land Charges Act 1975 is presently protected under section 70(1)(i) it will, by virtue of paragraph 13, be protected under paragraph 6 of Schedule 1 or Schedule 3