Highlights
Assessment instructions
The purpose of this assessment is to undertake a case study which will require you to demonstrate your knowledge of the various interests in land including leasehold. You are required to apply your legal knowledge of principles and practice of property law in order to determine key issues relating to land ownership as well as assess the impacts of easements, unregistered interests and leasehold on land ownership, use and development.
Frank owned a large parcel of land in Berry under the Torrens System. Berry is a small town located south of Sydney in the Shoalhaven region of New South Wales. Berry is well known for its beautiful gardens and large rural blocks of land. Originally Frank’s land was held under the Old System but it together with surrounding properties were converted to the Torrens Title System in the 1960s.
Frank had always accessed his property via a dirt track across the neighbouring land owned by Michael. The dirt track runs from the public road straight through Michael’s property. The dirt track had been used for over 50 years before both properties were converted to Torren’s title. There is an easement registered on both titles benefitting Frank’s lot and an easement on title burdening Michael’s lot.
Frank decided he would like to sell his parcel of land and move to the Northern Beaches of Sydney to be closer to his grandchildren. However, before doing so, he decided to subdivide his parcel of land into two smaller blocks. He hoped the subdivision would yield maximum sale proceeds. Both blocks would still need to use the dirt track on Michael’s land for access. Block A was at the back portion of the proposed subdivision and access would need to via an existing dirt track that traversed Block B and connected with the track over Michael’s land.
The subdivision went smoothly and Frank subsequently placed both Block A and Block B on the market. Within days, the two blocks sold. Block A was sold to John and Block B to Mary. The settlement occurred on the same day in simultaneous online settlements.
For a short while, John used the dirt track over Michael’s land and then used the track over Mary’s land to gain access his property. Mary used ASSESSMENT BRIEF the track over Michael’s land to access hers. Soon however, Mary and John had a huge argument and Mary decided she no longer would allow John to access the dirt track on her land. She locked a gate across the track with a sign stating “DO NOT ENTER” in order to prevent John from gaining access to his property.
Michael, who recently began a relationship with Mary, has also taken issue with John’s access of the track over his land. Michael informed John that in order to access the dirt track over his land he must enter into an agreement which would allow access on payment of an annual fee and terminable on one month’s notice by either party.
Understandably, John is very concerned and seeks your legal advice.
You are to provide advice on the following:
1. Prior to selling the parcel of land, what rights did Frank have over Michael’s land?
2. What are the essential elements of an easement and are they present in this case?
3. Will an easement benefitting a large block continue to benefit its subdivided parts?
4. Is the proposed agreement by Michael for use of the dirt track, a licence, lease or easement?
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