Sabrina Khan v Mohammad Anwar (Alteration and rectification of the register) -[2019] UKFTT 725 (PC)- (29 November 2019)

BAILII

Automated Summary

Key Facts

The case centers on a dispute over property ownership at 19B Charles Street, Newport. Miss Khan claimed priority over Mr. Anwar's April 2017 transfer via a February 2017 transfer, asserting her interest was protected by actual occupation. The Tribunal found no evidence of actual occupation at the time of the April transfer, rejecting her claim. Miss Khan also sought an adjournment due to overlapping County Court proceedings and alleged solicitor negligence, but this was denied as it would have caused unnecessary delay and expense. The Tribunal concluded the April transfer was valid, and no alteration to the land registry was warranted.

Issues

  • Miss Khan contended that HM Land Registry should have registered the February 2017 transfer before the April 2017 transfer, as the February TP1 was submitted earlier. The Tribunal rejected this, finding insufficient evidence that HM Land Registry made a procedural mistake in processing the transfers.
  • The central issue before the Tribunal was whether Miss Khan was in actual occupation of 19B at the time of the April 2017 transfer to Mr Anwar, which would determine if her interest under the February 2017 transfer had priority and if the register of title should be altered accordingly.
  • Miss Khan argued that 19B was a distinct property and that HM Land Registry incorrectly included it as part of 20 Charles Street, suggesting a boundary error in the title plan. The Tribunal rejected this claim, concluding 19B formed part of the registered title to WA319775.

Holdings

  • The Tribunal concluded that Miss Khan's claim that the priority of her interest under the February transfer was protected by her actual occupation of 19B at the time of the April transfer failed. The court found that 19B had been vacant and unoccupied for many months prior to the April transfer, with no evidence of tenants or occupants during that period. As a result, the Tribunal directed the Chief Land Registrar to cancel Miss Khan's application to alter the register.
  • The Tribunal provisionally determined that Miss Khan should be ordered to pay Mr Anwar's legal costs of the proceedings. However, it allowed Miss Khan 14 days to submit arguments against this order, after which Mr Anwar would have 14 days to respond. If no submissions are made, the costs order will proceed on the standard basis.

Remedies

  • The Tribunal orders the Chief Land Registrar to cancel Miss Khan's application dated 14th July 2017 to register a Transfer of Part out of WA319775 dated 22nd February 2017 between Sabz Ali Khan and Miss Khan. This remedy directly addresses the core dispute over the priority of the February transfer.
  • The Tribunal provisionally orders Miss Khan to pay Mr Anwar's legal costs of the proceedings. Miss Khan has 14 days to submit arguments against this order, followed by Mr Anwar's 14-day response period. If no submissions are made, costs will be assessed on the standard basis with supporting documentation required.

Legal Principles

  • The Tribunal applied the principle that actual occupation is required to protect an overriding interest under the Land Registration Act 2002, specifically Schedule 3, paragraph 2. The court emphasized that mere receipt of rents and profits from land no longer confers protection under the Act, as clarified in Megarry & Wade and the Law Commission's commentary.
  • Miss Khan bore the burden of proof to demonstrate actual occupation of 19B at the time of the April transfer. The Tribunal found her evidence insufficient, as she failed to provide contemporaneous documentation or credible testimony to support her claim.
  • The Tribunal indicated it would order the unsuccessful party (Miss Khan) to pay the successful party's (Mr Anwar) legal costs under the general rule in rule 13(1)(c) of the Tribunal Procedure (First-tier Tribunal) (Property Chamber) Rules 2013 and Practice Direction paragraph 9.

Cited Statute

Land Registration Act 2002

Judge Name

David Taylor

Passage Text

  • the removal of protection for persons who were merely in receipt of rents and profits from land was quite deliberate.
  • It follows that Miss Khan's case that the priority of her interest under the February transfer was protected by her actual occupation of 19B on the date of the April transfer fails.
  • I find that no-one was in actual occupation of it on the date of that Transfer.