Law of Property (Miscellaneous Provisions) Act 1994

JurisdictionUK Non-devolved
(1) In an instrument effecting or purporting to effect a disposition of property there shall be implied on the part of the person making the disposition, whether or not the disposition is for valuable consideration, such of the covenants specified in sections 2 to 5 as are applicable to the disposition.sections 2, 3(1) and (2) , 4 and 5 apply where dispositions are expressed to be made with full title guarantee; andsections 2, 3(3) , 4 and 5 apply where dispositions are expressed to be made with limited title guarantee.(3) Sections 2 to 4 have effect subject to section 6 (no liability under covenants in certain cases) ; and sections 2 to 5 have effect subject to section 8(1) (limitation or extension of covenants by instrument effecting the disposition) .(4) In this Part—
  • disposition” includes the creation of a term of years;
  • instrument” includes an instrument which is not a deed; and
  • property” includes a thing in action, and any interest in real or personal property.
that the person making the disposition has the right (with the concurrence of any other person conveying the property) to dispose of the property as he purports to, andthat that person will at his own cost do all that he reasonably can to give the person to whom he disposes of the property the title he purports to give.in relation to a disposition of an interest in land the title to which is registered, doing all that he reasonably can to ensure that the person to whom the disposition is made is entitled to be registered as proprietor with at least the class of title registered immediately before the disposition; andin relation to a disposition of an interest in land the title to which is required to be registered by virtue of the disposition, giving all reasonable assistance fully to establish to the satisfaction of the Chief Land Registrar the right of the person to whom the disposition is made to registration as proprietor.where the title to the interest is registered, it shall be presumed that the disposition is of the whole of that interest;if it appears from the instrument that the interest is a leasehold interest, it shall be presumed that the disposition is of the property for the unexpired portion of the term of years created by the lease; andin any other case, it shall be presumed that what is disposed of is the fee simple.from all charges and incumbrances (whether monetary or not) , andfrom all other rights exercisable by third parties,being, at the time of the disposition, only potential liabilities and rights in relation to the property, orbeing liabilities and rights imposed or conferred in relation to property generally,charged or incumbered the property by means of any charge or incumbrance which subsists at the time when the disposition is made, or granted third party rights in relation to the property which so subsist, orsuffered the property to be so charged or incumbered or subjected to any such rights,that the lease is subsisting at the time of the disposition, andthat there is no subsisting breach of a condition or tenant’s obligation, and nothing which at that time would render the lease liable to forfeiture.(2) If the disposition is the grant of an underlease, the references to “the lease” in subsection (1) are references to the lease out of which the underlease is created.(1) Where the disposition is a mortgage of property subject to a rentcharge, F11of leasehold land or of a commonhold unit, and is expressed to be made with full title guarantee or with limited title guarantee, the following covenants shall also be implied.(2) If the property is subject to a rentcharge, there shall be implied a covenant that the mortgagor will fully and promptly observe and perform all the obligations under the instrument creating the rentcharge that are for the time being enforceable with respect to the property by the owner of the rentcharge in his capacity as such.

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