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Introduction to Caveats In Queensland title (ownership) in land (including where applicable, improvements – e.g a house) is determined by registration of your interest with the Land Titles Office, headed by the Registrar of Land Titles. Given the importance of registration, if you have an interest in land that for some reason is not registered […]
In Queensland title (ownership) in land (including where applicable, improvements – e.g a house) is determined by registration of your interest with the Land Titles Office, headed by the Registrar of Land Titles.
Given the importance of registration, if you have an interest in land that for some reason is not registered there is a risk that another person may register their interest before yours with the other person’s interest ranking above or having a higher priority than your interest.
In such circumstances we may recommend you consider lodging a “caveat” on the title to that land to protect your interest. The word caveat means ‘beware’ and lodging a caveat warns anyone dealing with the land that someone has a priority interest in that land.
However, it is important to understand that a caveat does not provide all of the benefits of registration of your interest and should never be seen as an alternative to registering your interest on the title to the land.
Request EvaluationA caveat is a notice to the Registrar and the world at large which, subject to some exceptions, prevents the registration of an instrument or document claiming another interest in the land affecting the interest claimed by the caveator (the person who lodges and receives the benefit of the caveat) in that land until the caveat is withdrawn, removed, lapses or is cancelled.
Only a person who has a caveatable interest is entitled to lodge a caveat or to instruct their lawyer to lodge a caveat on their behalf. Such parties include
There are a number of circumstances where a person might claim an interest in land and wish to consider lodging a caveat.
Request EvaluationIt is best to consult a lawyer so that advice can be obtained as to whether a caveatable interest actually exists, whether there are any contractual prohibitions on the lodging of a caveat, and whether further registrations to be made on the caveator’s behalf may be affected.
Request EvaluationThere is also a risk that the caveatee (person over whose land the caveat has been lodged) may bring a Supreme Court action for the removal of a caveat and if successful the caveator may be exposed to the risk of costs and compensation orders.
A caveat has the effect of prohibiting the registration of an instrument or document, affecting the land or interest claimed by the caveator until the caveat is withdrawn, removed, lapses or is cancelled.
Caveats will lapse (hence be of no effect) after the expiry of three (3) months from the date of lodgement unless you register your interest (if possible) or commence court proceedings against the caveatee in respect of the interest claimed by you.
It is not possible in a short article to cover all aspects of caveatable interests and caveats but we are always happy to discuss with you the following matters:
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