I posted on here a good while ago but now realise some of my information was incorrect.
I am doing some research with the help of Google to try and understand how a trust property has been legally/correctly conveyed.
This is what I have learned…
In trust law terms, a reversionary interest is an interest that reverts back to the settlor of a trust once a beneficiary’s interest has come to an end. There are a number of different types of reversionary interest capable of being granted.
An equitable interest under a trust is itself a proprietary right, and is capable of being transferred
CO-OWNERSHIP OF LAND
If all forms of shared land must operate behind a trust. (the separation of the formal legal title to land from the equitable ownership known as the beneficial interest, Benefits may involve enjoying the right to occupy the land, take profits from the land, or right to the proceeds of any sale of the land.
This trust device necessarily involves fragmentation of legal and equitable titles, meaning in every co-ownership there is need for his consider 1 how the properties held in law and 2 how the property is held in equity.
With the above in mind and anyone’s knowledge or experience, can you please possibly explain the following to me…
There are two properties with just one piece of land. (One garden for the two properties).
The owner of the two properties makes a Will and devises one house and garden with rights and easements to his sister and one house and garden with rights and easements to his Niece, their heirs executors administrators and assigns according to the nature or tenure thereof.
Does ‘according to the nature of tenure thereof’ mean the sister & niece or their heirs will have to decide who will own/hold the one piece of land?
Both properties are in possession of the very same garden/land. They are in separate but family ownership and it continues this way for many years…
The sister makes a Will for her ‘cottage’ No land/garden is being mentioned.
There is a deed which describes the adjoining property and All the land belonging to The Niece.
Even though All the land is said to belong to the niece, it is clear to see the grandmother/adjoining cottage is also in some form of possession of the Niece’s Land.
Both properties are in separate but family ownership for many years.
Later down the family line the owner of the ‘Cottage’ makes a Will and appoints trustees. He states his wife can have the rents and profits’ until their daughter marries or reaches the age of 21 when it will then be for the daughter’s own use absolutely. The rest of his estate is for his Wife absolutely.
He dies and later his wife makes a vesting deed. The Vesting deed refers to his Will and ‘The cottage’ described upon trusts where the wife is now tenant for life in possession of the Cottage.
The vesting deed also states that at the time of his death, the adjoining house and garden was also vested in him and the trustees declare this is now vested in his wife in fee simple.
The wife then sells/conveys the two properties (whilst the daughter is a child)
She conveys the Willed/Trust property ‘The Cottage’ as a house and garden with rights easements. It is a simple conveyance signed by the wife and the new purchaser.
At the same time she then conveys the other adjoining House and same garden with rights and easements with the following stipulation:
The conveyance is made by the Wife, the trustees and the purchaser. Immediately before the first day of January one thousand nine hundred and twenty six entitled during her life to the possession of the hereditaments hereby conveyed AND WHEREAS the Trustees were at that time the persons who under the same settlement were the trustees for the purposes of the Settled Land Act 1925
So far as regards the remainder or reversion expectant on the equitable estate of the Vendor in the hereditaments hereby assured and the title to and further assurance of the same hereditaments after her death the covenants on her part implied by virtue of the Law of Property Act 1925 shall extend only to the acts and defaults of the Vendor and persons now or hereafter claiming through or in trust for her.
I’ve been told that provided that the Settled Land Act trustees were party to the conveyance on sale, the interests of the beneficiaries of the trust were transferred to the proceeds of sale, and the property freed from the terms of the trust.
The Trustees were not party to ‘The Cottage’ conveyance. Does that mean that property was not freed from the terms of the trust?
At the time of the above conveyances ‘The Cottage’ is in possession of the same garden also belonging to the adjoining property.
If all forms of shared land must operate behind a trust would this explain how the land is/was shared and how/when would this stop? If benefits may involve enjoying the right to occupy the land would a trust explain how someone occupies land that legally belongs to someone else?
How is it legally possible that the two individual properties can be conveyed with the exact same garden/land?
Why would the trustees not be party to the Willed/Trust property?
Does the remainder/reversion explain the shared land?