REGISTRATION OF TITLE TO LAND -...

ix (RTL) (Rel. 6, 2009)

CONTENTSPreface ............................................................................................. vPublisher’s Note ................................................................................. viiTable of Cases .................................................................................... TC-1Table of Statutes ................................................................................. TS-1

Chapter 1 Introduction Para.1. Estates in Land Under the Feudal System and Warranty of Title ......... 12. Method of Transfer Under the Feudal System ............................... 23. The Changing Face of Conveyancing

(1) Statute of Uses .............................................................. 3(2) Later statutes ................................................................. 4

4. Defects of “Old Systems”(1) System of private conveyancing ......................................... 5(2) Security of title .............................................................. 6(3) Constructive notice ......................................................... 7(4) “The shadowy equities born of fraud and fear” ....................... 8(5) Simplification of transfer .................................................. 9(6) Simplification of titles ..................................................... 10(7) Registration of deeds ....................................................... 11

5. The Torrens System(1) History ........................................................................ 12(2) Objects of the system ...................................................... 13(3) British Columbia

(a) History .............................................................. 14(b) Differences between the British Columbia Act and other

analogous legislation ............................................. 15(4) Ontario and English Acts .................................................. 16

Chapter 2 Administration of the System1. Crown Corporation ................................................................ 172. Establishment of Offices ......................................................... 183. Legislative Authority ............................................................. 194. Governmental Control ............................................................ 205. Officials

(1) Administrative heads of land titles offices ............................. 21(2) Registrar-General: Manitoba ............................................. 22(3) Registrar of Titles [formerly Master of Titles]: Saskatchewan ..... 23(4) Registrar of Titles [formerly Inspector of Land Titles Offices]:

Alberta ........................................................................ 24(4A) Inspector of Land Titles Offices or Director of Land Titles:

British Columbia, Northwest Territories, Nunavut and the Yukon.................................................................................. 24.1

(5) Director of Land Registration: Ontario ................................. 25(6) Director of Titles: Ontario ................................................ 26(7) Commissioner of Titles: Western Australia ............................ 27(8) Practice directives distinguished from statutory rules ............... 28(9) The registrar ................................................................. 29(10) The registrar’s original jurisdiction and the courts ................... 30

REGISTRATION OF TITLE TO LAND

x

6. Conflict of Interest ................................................................ 317. Protection of Officials Acting in Good Faith ................................. 32

Chapter 3 Bookkeeping Aspects of the System1. Recording Documents on Entry into the System

(1) The “day book” ............................................................. 33(2) British Columbia ............................................................ 34(3) Ontario ........................................................................ 35

2. Miscellaneous Books and Indices(1) The name or nominal index ............................................... 36(2) The numerical, parcel or section index ................................. 37(3) The general register ........................................................ 38

3. The Register: Its Components and Derivatives(1) The register proper ......................................................... 39(2) Destruction of the register ................................................. 40(3) Inspection of the register .................................................. 41(4) Certificates of title and folios of the register

(a) Definition and purpose .......................................... 42(b) The owner .......................................................... 43(c) Address of the owner ............................................ 44(d) Estate or interest in land ......................................... 45(e) The land ............................................................ 46(f) Created or issued “subject to encumbrances”, etc. ......... 47(g) The probative aspect of indefeasibility ....................... 48(h) Distinguished from judicial declaration of title ............. 49(i) Distinguished from mineral certificate ........................ 50

4. Dealings with Certificate of Title Other Than by Registration(1) Consolidation and separation ............................................. 51(2) Change of name ............................................................. 52(3) Amalgamation of corporations ........................................... 53

5. Duplicate Certificates of Title(1) The orthodox view ......................................................... 54(2) Supersedence by copy of the register ................................... 55(3) Ontario ........................................................................ 56(4) Provisional, “fresh” or “clean” duplicate certificate ................. 57

Chapter 4 Bringing Land Under the Act1. The Voluntary Applicant

(1) Meaning of voluntarily bringing land under the Act ................. 58(2) The interests in land contemplated ...................................... 59(3) Consents of interested parties required ................................. 60(4) Applications on behalf of persons under legal disability ............ 61(5) Easement, profit a prendre and rentcharge ............................ 62(6) Application based on documentary title ................................ 63(7) Application based on adverse possession .............................. 64

2. The Voluntary Application(1) Effect on Registry Act registrations ..................................... 65(2) Form of voluntary application

(a) In general ........................................................... 66(b) Legal description of the land ................................... 67(c) Statement as to possession ...................................... 68

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(d) Full disclosure of encumbrances and competing interests........................................................................ 69

(3) Title deeds to accompany application ................................... 70(4) Withdrawal of application ................................................ 71(5) Caveat against application to bring land under the Act

(a) Proprietary interest gives locus standi ........................ 72(b) Effect of caveat .................................................... 73(c) Form of caveat .................................................... 74(d) Caveator may be required to show cause ..................... 75

(6) Standard of title to be established by applicant ....................... 76(7) Issue of certificate of title or creation of folio of register

(a) The applicant’s nominee ........................................ 77(b) The applicant ...................................................... 78

(8) Ontario Land Titles Act — Summary .................................. 79(a) The applicant ...................................................... 80(b) The application .................................................... 81(c) Notice to interested parties ...................................... 82(d) Statement of objection ........................................... 83(e) Registration and withdrawal of caution ....................... 84(f) Withdrawal of application ....................................... 85(g) Standard of title to be established by applicant ............. 86(h) Completion of registration ...................................... 87(i) The assurance fund ............................................... 88

(9) Land Registration Act, 1925 — Summary ............................. 89(10) Legislative fiat to convert unregistered land to Torrens title ....... 90

Chapter 5 Functions of the Registrar1. Prefatory ............................................................................. 912. Administrative Function

(1) To administer the Act according to law ................................ 92(2) Judicial or administrative jurisdiction ................................... 93(3) Office hours .................................................................. 94

3. Examination of Instruments Presented for Registration(1) First versus subsequent registration ..................................... 95(2) Exercise of power to accept or reject ................................... 96(3) Registrar must not usurp function of court ............................. 97(4) Corporations

(a) Exoneration of assurance fund ................................. 98(b) Execution of corporate instruments ........................... 99(c) Capacity to hold and dispose of land .......................... 100(d) Dissolution ......................................................... 101(e) Fiduciary relationship of directors ............................. 102

(5) Infants ......................................................................... 103(6) Order of court ............................................................... 104(7) Registrar has no power to settle question of priority ................. 105(8) Limitation of registrar’s inquiry ......................................... 106

4. Ancillary Powers of Registrar(1) To enforce Act .............................................................. 107(2) To administer oaths or take affidavits ................................... 108(3) To require the production or deposit of instruments ................. 109


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(4) To correct errors(a) In general ........................................................... 110(b) Manifest cases of fraud .......................................... 111(c) How correction to be made ..................................... 112

(5) To state a case or refer a matter to the court ........................... 113(6) To lodge a caveat

(a) Generally ........................................................... 114(b) No lapse of registrar’s caveat ................................... 115

(7) To comply with court orders ............................................. 115.15. Appeal from Registrar

(1) To Registrar-General or to Master of Titles ........................... 116(2) To the court .................................................................. 117(3) When decision made in exercise of discretionary power ............ 118(4) Costs .......................................................................... 119(5) Mandamus ................................................................... 120

6. Form and Content of Instrument(1) Cautious flexibility permitted ............................................ 121(2) Name of person claiming interest ........................................ 122(3) Address of person claiming interest ..................................... 123(4) Language ..................................................................... 123.1

Chapter 6 Land Descriptions and Registered and Deposited Plans of Survey1. Land Descriptions and Registered or Deposited Plans of Survey

(1) Prefatory ...................................................................... 124(2) The principle ................................................................ 125(3) Land description not conclusive as to boundaries or extent ........ 126(4) Registrar has a wide discretion ........................................... 127(5) Metes and bounds descriptions ........................................... 128

2. Plans of Subdivision(1) Common law right to subdivide curtailed .............................. 129(2) Objectives of plan of subdivision ........................................ 130(3) Registrar’s examination of plan .......................................... 131(4) Block outline survey ....................................................... 132(5) Signature of subdivider and others ...................................... 133(6) Mines and minerals in or under land subdivided ..................... 134(7) Extinguishment of highway not dedicated by deposited plan ...... 135(8) Dedication and vesting of title to highway and public reserve ..... 136(9) Highway or roadway plan ................................................. 137(10) Is search of title complete without perusal of plan? .................. 138(11) Effect of failure to comply with subdivision requirements ......... 139(12) Sale or transfer by unregistered plan .................................... 140(13) Amendment, simpliciter, of plan ......................................... 141(14) Consolidation of adjoining surveyed parcels .......................... 142(15) Re-establishment of boundaries of registered parcels ................ 143(16) Cancellation of plans ....................................................... 144(17) Correction of plans ......................................................... 145

3. Governmental Approval of Subdivision of Land(1) Prefatory ...................................................................... 146(2) Ontario ........................................................................ 147(3) Leases ......................................................................... 148

(4) Lease of building or part of it .................................................. 149(5) Easements ........................................................................... 150(6) Subdivision of farm land ........................................................ 151(7) When approval of subdivision not required................................. 152(8) Effect of registration based on unapproved subdivision ................. 153(9) Where approving authority created after plan lodged with

registrar .............................................................................. 1544. Miscellaneous Plans

(1) Prefatory ............................................................................. 155(2) Composite plans ................................................................... 156(3) Reference plans .................................................................... 157

5. Land Title Survey Fund.................................................................. 1586. Horizontal Division of Land............................................................ 1597. Airspace Ownership

(1) The orthodox view ................................................................ 160(2) Airspace title legislation ......................................................... 161

8. The Condominium Acts(1) Prefatory ............................................................................. 162(2) New statutory estate in fee simple ............................................ 163(3) Certificate of title — format .................................................... 164(4) The condominium plan

(a) Function.................................................................... 165(b) Statutory requirements.................................................. 166(c) Amendment of plan ..................................................... 167(d) Bare land strata plan .................................................... 168(e) Leasehold strata plan ................................................... 169(f) Phased strata plan ....................................................... 170

(5) The condominium corporation(a) A creature of statute .................................................... 171(b) Sale or lease according to proposed plan.......................... 172(c) Acquisition of property ................................................ 173(d) Disposition of property................................................. 174(e) Builders’ or mechanics’ liens......................................... 175(f) Homestead and analogous rights .................................... 176(ff) New home warranties plan ............................................ 176.1(g) Litigation by or against corporation ................................ 177(gg) Insurance right to sue on behalf of unit owner .................. 177.1(ggg) Repairs and maintenance .............................................. 177.2(h) By-laws of corporation................................................. 178(hh) Rules........................................................................ 178.1(hhh) Board of directors ....................................................... 178.2(hhhh) Voting rights.............................................................. 178.3(i) Lien or charge for owner’s unpaid common expenses ......... 179(ii) Special assessments ..................................................... 179.1(iii) Records..................................................................... 179.2(iiii) Common property

(i) Generally ......................................................... 179.3(ii) Common property and easements .......................... 179.4

(j) Amalgamation of corporations ....................................... 180(k) Pet restrictions............................................................ 180.1

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(l) Age-restriction by-laws ................................................ 180.2(m) Parking ..................................................................... 180.3(n) Limitation of actions.................................................... 180.4(o) Rental restrictions ....................................................... 180.5(p) Oppression remedy...................................................... 180.6

(6) Termination(a) Prefatory ................................................................... 181(b) Where building damaged .............................................. 182(c) [Deleted](d) By declaration of the court............................................ 184(e) Election by owners to terminate ..................................... 185(f) Where owners elect for termination, simpliciter ................. 186(g) [Deleted](h) Where owners elect to terminate by way of sale ................ 188

(i) Transfer and other instruments .............................. 189(ii) Effect of registration of transfer and other

documents ........................................................ 190(i) Termination on substantial damage to units ...................... 191(j) Effect of registration of notice of termination.................... 192(k) Dissolution of corporation............................................. 193

Chapter 7 Water and Highway Boundaries as Affecting Title1. Prefatory

(1) The riparian owner ................................................................ 194(2) Riparian rights...................................................................... 195

2. Accretion and Erosion(1) Accretion ............................................................................ 196(2) Foreshore ............................................................................ 197(3) Artificial causation ................................................................ 198(4) Transfer of accreted land ........................................................ 199(5) Accreted land takes on legal characteristics of adjoining land......... 200(6) Avulsion ............................................................................. 201(7) Islands ................................................................................ 202(8) Apportionment of accreted land ............................................... 203(9) Title to accreted land ............................................................. 203(10) Transfer of riparian right to non-riparian owner ........................... 205(11) Title to eroded land ............................................................... 206

3. The Ad Medium Filum Aquae rule(1) Applicability to Torrens system of the ad medium filum aquae

rule .................................................................................... 207(2) Common law

(a) Basis of the rule ......................................................... 208(b) The rule of construction ............................................... 209(c) The navigable character of water .................................... 210(d) Establishing the middle line .......................................... 211(e) Crown grants ............................................................. 212(f) Transfers other than Crown grants .................................. 213(g) Exclusion of the rule; rebuttal of the presumption .............. 214

(3) Rule affected by statute(a) Alberta ..................................................................... 215


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(b) British Columbia.......................................................... 216(c) Manitoba.................................................................... 217(d) Saskatchewan .............................................................. 218(e) Ontario ...................................................................... 219

(4) The ad medium filum viae rule(a) Applicability to the Torrens system.................................. 220(b) Common law .............................................................. 221(c) Basis of the rule .......................................................... 222(d) Exclusion of the rule; rebuttal of the presumption ............... 223

(5) Statutory title to highways ................................................... 224(a) Original road allowances ............................................... 225(b) Condominium and other legislation.................................. 226

Chapter 8 The Statutory Transfer1. Prefatory

(1) Definition ......................................................................... 227(2) British Columbia................................................................ 228(3) Duplicate instruments.......................................................... 229(4) Registrar and applicant must be ad idem ................................. 230(5) Purpose............................................................................ 231(6) Tenancy by entireties .......................................................... 232(7) Words of limitation ............................................................ 233(8) Compared with quit claim deed............................................. 234(9) Distinguished from conveyance............................................. 235(10) Distinguished from deed...................................................... 236(11) Lex situs ........................................................................... 237(12) Date ................................................................................ 238(13) Consideration .................................................................... 239(14) Signature.......................................................................... 240(15) Death of transferor or transferee ............................................ 241(16) The “right” to registration .................................................... 242(17) Interests in land transferable and registrable............................. 243

(a) Presumption in favour of tenancy in common .................... 244(b) Presumption in favour of joint tenancy ............................. 245(c) Fractional interests: broken legal subdivisions, sections,

etc ............................................................................ 246(d) Mineral interests .......................................................... 247(e) Shelley’s case — inapplicability ...................................... 248

(18) Condition subsequent and the determinable fee simple............... 249(19) Transfer to uses ................................................................. 250

2. Joint Tenants(1) Prefatory .......................................................................... 251(2) Corporation aggregate as joint tenant ..................................... 252(3) Corporation sole cannot be joint tenant................................... 253(4) Crown cannot be a joint tenant ............................................. 254(5) Severance of joint tenancy

(a) Prefatory .................................................................... 255(b) Effect of lease by one joint tenant ................................... 256(c) Effect of judgment and writ of execution .......................... 257(d) Effect of mortgage by one joint tenant.............................. 258

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xv (RTL) (Rel. 4, 2016)

(e) Summary(i) No severance ...................................................... 259(ii) Severance ........................................................... 260

3. Subject to an Unregistered Interest................................................ 2614. Exceptions and Reservations ....................................................... 2625. Restrictive Covenant, Reservation or Grant of Easement ................... 2636. Parties

(1) Foreign government............................................................ 264(2) Identity ............................................................................ 265(3) Aliens.............................................................................. 266(4) Crown federal to Crown provincial, and vice versa.................... 267(5) By Crown of unalienated and alienated land ............................ 268(6) By A. to A. and B. and by A. and B. to A.............................. 269(7) By A. to A ....................................................................... 270(8) By personal representative or trustee to himself ........................ 271(9) Physical disability or illiteracy of transferor............................. 272(10) Partnership ....................................................................... 273(11) Corporation

(a) Name ........................................................................ 274(b) Execution of instruments ............................................... 275(c) Receiver purporting to execute transfer ............................. 276

7. By Way of Gift ........................................................................ 2778. Miscellaneous Statutes Affecting Transfers

(1) Prefatory .......................................................................... 278(2) Alberta ............................................................................ 279(3) British Columbia [Deleted] .................................................. 280(4) Saskatchewan [Deleted]....................................................... 281

9. Merger of Contract in Transfer .................................................... 28210. Implied Covenants

(1) Further assurance ............................................................... 283(2) Transfer subject to mortgage

(a) Prefatory .................................................................... 284(b) Covenant by transferee with transferor.............................. 285(c) Covenant by transferee with transferor and mortgagee ......... 286(d) Covenants negatived or modified..................................... 287(e) Covenant assignable ..................................................... 288(f) Transferee taking assignment of mortgage ......................... 289

(3) Ontario ............................................................................ 29011. Memorandum of Encumbrances ................................................... 29112. Verification of Execution of Instrument

(1) Sealing not required............................................................ 292(2) The affidavit and the witness ................................................ 293(3) Registrability versus validity of instrument .............................. 294(4) Official before whom affidavit sworn ..................................... 295(5) Certification formula........................................................... 296(6) Powers of attorney ............................................................. 297(7) Corporations ..................................................................... 298(8) Waiver of statutory requirements ........................................... 299

13. Production on Transfer of Duplicate Certificate of Title .................... 300


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CONTENTS

xvi.1 (RTL) (Rel. 2, 2011)

Chapter 9 Dower1. Common Law ...................................................................... 3012. Statutory Substitute for Common Law Dower

(1) Purpose ....................................................................... 302

(Continued on page xvii)

14. Option to Purchase(1) Prefatory ............................................................................. 378(2) Statutory provision ................................................................ 379(3) Perpetuity rule ...................................................................... 380

15. Right of First Refusal .................................................................... 38116. Option to Renew........................................................................... 38216A. Relief from Forfeiture .................................................................... 382.117. Lessee’s Implied Covenants ............................................................ 38318. Lessee’s Covenants (Short Forms) .................................................... 38419. Lessor’s Implied Powers................................................................. 38519A. Restrictive Covenants..................................................................... 385.120. Extension, Modification or Variation of Lease .................................... 38621. Covenant Against Assigning or Subletting.......................................... 38722. Lease of Mortgaged Land ............................................................... 38823. Lease by Vendor........................................................................... 38924. Lease by Crown Federal ................................................................. 39025. Bankruptcy of Tenant .................................................................... 39126. Surrender by Instrument Inter Vivos .................................................. 39227. Surrender by Operation of Law........................................................ 39327A. Termination of Lease ..................................................................... 393.128. Effluxion of Time or the Happening of an Event ................................. 39429. Registrar’s Power to Determine Lease ............................................... 39530. Merger........................................................................................ 39630A. Quiet Enjoyment ........................................................................... 396.131. Transfer of Lease

(a) In general ............................................................................ 397(b) Sub-lease............................................................................. 397.1

32. Transmission on Death................................................................... 39833. Assignment of Rents...................................................................... 399

Chapter 13 Mortgages1. Prefatory ..................................................................................... 4002. Accession and Fixtures................................................................... 400.13. Equitable Mortgages

(1) Prefatory ............................................................................. 401(2) Definition of equitable mortgage .............................................. 402(3) To execute, when required, a legal mortgage .............................. 403(4) Specified property to stand as security....................................... 404(5) Deposit of duplicate certificate of title

(a) The doctrine............................................................... 405(b) Caveatable interest ...................................................... 406

(6) Applicability of rule in Jellett v. Wilkie ...................................... 407(7) Remedy of equitable mortgagee ............................................... 408(8) Transfer absolute in form........................................................ 409

4. Statutory Mortgage(1) Compared with common law mortgage ...................................... 410(2) The statutory provisions ......................................................... 411(3) Ontario ............................................................................... 411.1(4) Clog on right to redeem ......................................................... 412(5) British Columbia................................................................... 413

5. Form of Statutory Mortgage

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xix (RTL) (Rel. 9, 2014)

(1) Prefatory ............................................................................. 424(2) Guarantor’s liability............................................................... 424.1(3) Insertion of special covenants .................................................. 425(4) Implied covenant for further assurances ..................................... 426(5) Mortgagor’s usual covenants ................................................... 427(6) “Due on sale” clause.............................................................. 428(7) Manner of registration............................................................ 429(8) Common law form: when registrable......................................... 430(9) Mortgage to secure purchase price of chattels ............................. 431

6. Remedies of Mortgagee — Part 1(1) Prefatory ............................................................................. 432(2) Possession ........................................................................... 432.1(3) Contractual power of sale

(a) Prefatory ................................................................... 433(i) British Columbia................................................ 434

A. Prior to Land Title Amendment Act, 1989 ...... 434B. After Land Title Amendment Act, 1989.......... 434.1

(ii) Ontario ............................................................ 435(b) Injunctive relief against exercise of power........................ 436(c) Exercise of power of sale after discontinuance

foreclosure action........................................................ 437(d) Sale proceedings prevent separate redemption action .......... 438(e) After order nisi power suspended ................................... 439(f) Notice

(i) Prefatory .......................................................... 440(ii) Persons to be served ........................................... 441(iii) Method and length of notice................................. 442(iv) Duty to act in good faith ..................................... 442.1

(g) Conduct of sale(i) Prefatory .......................................................... 443(ii) Defective sales .................................................. 444

(h) When exercise of power complete .................................. 445(i) Proceeds of sale.......................................................... 446(j) Protection of bona fide purchaser.................................... 447(k) When exercise of power prohibited................................. 448(l) Compared with sale after final foreclosure order ................ 449

(4) Foreclosure and judicial sale in British Columbia ........................ 450(a) Foreclosure

(i) Prefatory .......................................................... 450(ii) Defences .......................................................... 451(iii) Summary judgment ............................................ 452(iv) Redemption period ............................................. 453(v) Order nisi ......................................................... 454(vi) Setting aside order nisi ........................................ 455(vii) Extending redemption period ................................ 456(viii) Personal judgment .............................................. 457(ix) Redemption

A. General .................................................... 458B. Statutory right to assignment of mortgage ....... 458.1

(x) Subordination agreement ..................................... 459


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(x) Subordination agreement ..................................... 459(xi) Stay of execution pending appeal .......................... 460(xii) Order absolute ................................................... 461(xiii) Effect of order absolute ....................................... 462(xiv) Appointment of receiver ...................................... 462.1

(b) Judicial sale(i) Prefatory .......................................................... 463(ii) British Columbia................................................ 464

A. Factors to be considered on application .......... 465B. Order for sale ............................................ 466C. Approval of sale ........................................ 467D. Mortgagee as purchaser at court-ordered

sale ......................................................... 467.1E. Effect of approval of sale............................. 468F. Conduct of sale ......................................... 468.1G. Collapse of sale ......................................... 468.2

(4A) Foreclosure and judicial sale in Ontario ..................................... 468.3(4B) Foreclosure and judicial sale in Nova Scotia ............................... 468.4(5) Sale and foreclosure in Alberta, Saskatchewan and the

Territories(a) Prefatory ................................................................... 469(b) Proceedings to be taken in court .................................... 470(c) Restrictions on mortgagee’s remedies

(i) Prefatory .......................................................... 471(ii) Alberta ............................................................ 472

A. Crown and Corporate Mortgages ................... 472.1B. Guarantors ................................................ 472.2

(iii) Saskatchewan .................................................... 473A. The Limitation of Civil Rights Act ................ 473.1B. The Land Contracts (Action) Act................... 473.2C. The Saskatchewan Farm Security Act............. 473.3D. The Home Owners’ Protection Act ................ 473.4E. The Farm Debt Mediation Act ...................... 473.5

(iv) [Deleted](d) Sale and Foreclosure

(i) Alberta ............................................................ 475(ii) Saskatchewan .................................................... 476

(e) Stay of proceedings(i) Alberta ............................................................ 477(ii) Saskatchewan .................................................... 478

(f) Extending time for redemption(i) Alberta ............................................................ 479(ii) Saskatchewan .................................................... 480

(6) Effect of final foreclosure order(a) Prefatory ................................................................... 481(b) Alberta ..................................................................... 482(c) Saskatchewan ............................................................. 483

(7) Evidence that final order subsisting........................................... 484(8) Assignment of leases and rents ................................................ 484.1

7. Reopening Final Order of Foreclosure

CONTENTS

xxi (RTL) (Rel. 11, 2013)

(1) Jurisdiction .......................................................................... 485(2) Terms on which judicial discretion exercised .............................. 486

8. Remedies of Mortgagee — Part 2 (Manitoba)(1) Generally ............................................................................ 486.1(1.1) Power of sale in Manitoba

(a) Prefatory ................................................................... 487(b) Jurisdiction ................................................................ 488(c) Farm Debt Mediation Act ............................................. 488.1(d) Statutory sale proceedings............................................. 489(e) Effect of lis pendens .................................................... 490(f) Filing of notice with district registrar .............................. 491(g) The notice ................................................................. 492(h) Persons to be given notice ............................................ 493(i) Service of notice ......................................................... 494(j) Covenant other than for payment.................................... 495(k) Application for order authorizing sale.............................. 496(l) Mortgagor’s rights before sale ....................................... 497(m) Manner of sale ........................................................... 498(n) Reserved bid .............................................................. 499(o) Mortgagor’s rights after sale.......................................... 500(p) The transfer ............................................................... 501(q) The rule in Otter v. Lord Vaux ....................................... 502(r) Application of proceeds of sale ...................................... 503

(2) Extra-judicial foreclosure in Manitoba(a) Prefatory ................................................................... 504(c) Family Farm Protection Act .......................................... 504.1(c) The application........................................................... 505(d) Notice to redeem......................................................... 506(e) Issue of foreclosure order ............................................. 507(f) Effect of foreclosure order ............................................ 508(g) Exoneration of registrar ................................................ 509(h) Costs ........................................................................ 510

8A. Sealed Contract Rule ..................................................................... 510.19. The Mortgagee’s Right to Take Possession......................................... 51110. Appointment of Receiver ................................................................ 511.111. Wrongful Impairment of Security ..................................................... 511.212. Attornment Clauses

(1) Prefatory ............................................................................. 512(2) Alberta ............................................................................... 513(3) Manitoba............................................................................. 514(4) Saskatchewan ....................................................................... 515(5) British Columbia................................................................... 516(6) Ontario ............................................................................... 517

13. Merger........................................................................................ 51813A. Redemption ................................................................................. 518.114. Acceleration................................................................................. 51915. Tacking

(1) Common law tabula in naufragio ............................................. 520(2) Common law tacking of further advances................................... 521


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CONTENTS

xxiii (RTL) (Rel. 4, 2011)

(3) Statutory recognition of doctrine(a) Prefatory ............................................................ 522(b) Alberta .............................................................. 523(c) British Columbia .................................................. 524(d) Manitoba ........................................................... 525(e) Ontario .............................................................. 526(f) Law of Property Act, 1925, s. 94 .............................. 527

(4) Mortgagee not bound to make further advances ...................... 52816. Consolidation ....................................................................... 52917. Marshalling and Apportionment ................................................ 53018. Transfer by Mortgagor of Mortgaged Land

(1) Prefatory ...................................................................... 531(2) Alberta and Manitoba ...................................................... 531.1(3) British Columbia ............................................................ 532(4) Ontario ........................................................................ 533(5) Saskatchewan ................................................................ 533.1

19. Transfer by Mortgagee of Mortgage(1) Prefatory ...................................................................... 534(2) Transferee takes subject to equities and the state of the account

.................................................................................. 535(3) Sub-mortgage or sub-charge .............................................. 536

20. Discharge of Mortgage(1) When mortgage statute barred ........................................... 537(2) Unconscionable transactions legislation ................................ 538(3) Payment of mortgage moneys ............................................ 538.1

(a) Failure to comply with statutory maximum lending limits........................................................................ 538.2

(b) Amount owing .................................................... 538.3(4) Form of discharge .......................................................... 539(5) Effect of discharge when registered ..................................... 540(5A) Subrogation .................................................................. 540.1(6) Discharge subsequently declared void .................................. 541(7) Discharge of mortgage by court order .................................. 542(8) Where discharge by mortgagee unobtainable ......................... 543(9) Cancellation of mortgage created by vendor .......................... 544(10) Discharge versus transfer of mortgage .................................. 545(11) Discharge where there is statutory presumption that money

advanced on joint account ................................................ 546(12) Mortgage discharge executed in blank ................................. 547(13) Discharge of annuity on death of annuitant ............................ 548(14) Inadvertent discharge of mortgage ...................................... 549

21. Interest(1) Prefatory ...................................................................... 550(2) Section 2 of Interest Act ................................................... 551(3) Section 3 of Interest Act ................................................... 552(4) Sections 4 and 5 of Interest Act .......................................... 553(5) Sections 6 and 7 of Interest Act .......................................... 554(6) Section 8 of Interest Act ................................................... 555(7) Section 9 of Interest Act ................................................... 555.1(8) Section 10 of Interest Act ................................................. 555.2


xxiv

(9) Sections 11 to 14 of Interest Act ......................................... 555.3(10) Mortgagor’s entitlement to discharge ................................... 555.4(11) Waiver or contracting out ................................................. 555.5(12) Criminal interest rate ....................................................... 555.6

22. Postponement of Chargee’s Registered Priority ............................. 55622A. Priorities ............................................................................. 556.123. Variation of Terms of Mortgage ................................................ 55724. Novation ............................................................................. 558

Chapter 14 Caveats1. Purpose and Classification

(1) Purpose ....................................................................... 559(2) Classification ................................................................ 560

2. Caveats Against Bringing Land Under the Act(1) Prefatory ...................................................................... 561(2) Unpatented land ............................................................. 562(3) Time limit for lodgment ................................................... 563(4) Lapse .......................................................................... 564(5) Second caveat ............................................................... 565(6) Caveator must claim interest in land .................................... 566(7) Effect of withdrawal of application ..................................... 567

3. Registrar’s Caveat(1) Purpose ....................................................................... 568(2) Procedure not exclusive ................................................... 569(3) Jurisdiction to be exercised cautiously .................................. 570(4) Lapse, withdrawal and discharge ........................................ 571

4. Order of Court Prohibiting Dealing ............................................ 5725. Caveats Against Dealings

(1) Purpose ....................................................................... 573(2) Title to land affected must be under Act ............................... 574(3) Persons other than the registrar who may lodge a caveat ........... 575(4) Registered owner may lodge caveat ..................................... 576(5) Form and content of caveat ............................................... 577

(a) Name of caveator ................................................. 578(b) Addition of caveator ............................................. 579(c) Description of land ............................................... 580(d) Address at which notices may be served ..................... 581(e) Signature of caveator ............................................. 582(f) History of claims .................................................. 582.1

(6) Claim must amount to an interest in land(a) Prefatory ............................................................ 583(b) Registrar to notify person affected ............................ 584(c) Registrar’s acceptance or rejection of caveat ................ 585(d) The single claim ................................................... 586(e) Multiple claims .................................................... 587

(7) List of caveatable interests ................................................ 588(a) Easements .......................................................... 589(b) Specially enforceable agreement to grant a lease ........... 590(c) Agreement to execute a mortgage ............................. 591(cc) Agreement for the sale of land ................................. 591.1(d) Mortgage ........................................................... 592

CONTENTS

(RTL) (Rel. 4, 2011)xxvi.1

(5) Hardship ...................................................................... 6699. Lis Pendens Registered “Without Reasonable Cause” ..................... 670

Chapter 16 Transmission1. Prefatory ............................................................................. 6712. Transmission on Death

(1) Prefatory ...................................................................... 672(2) Registration in name of personal representative ...................... 673

(Continued on page xxvii)

(1) Prefatory ............................................................................ 756(2) Deferred and immediate indefeasibility

(a) Jargon or doctrine...................................................... 757(b) Deferred indefeasibility and forgery .............................. 758(c) The volunteer ............................................................ 759

(d) Immediate indefeasibility and forgery............................ 760(3) Forgeries ............................................................................ 761(4) Void discharge of mortgage ................................................... 762(5) Dealing with registered owner or applicant for registration......... 763

(6) Void instrument versus unregistered equitable interest................ 7643. Ejectment — Action for the Recovery of Land................................. 7654. Contracts and Trusts Binding Registered Owner ............................... 766

5. Corrections by Registrar(1) Prefatory ............................................................................ 767(2) “Without prejudicing rights acquired bona fide for value” .......... 768

(3) Power is discretionary........................................................... 769(4) Where entry fraudulently obtained.......................................... 770(5) Limitation statutes as affecting power ..................................... 771(6) Effect of correction by registrar.............................................. 772

(7) Manner of making correction ................................................ 7736. Correction by Order of Court ........................................................ 774

Chapter 18 Statutory Exceptions to Indefeasibility of Title

1. Prefatory .................................................................................... 775

2. Crown Exceptions and Reservations(1) Prefatory ............................................................................ 776(2) Acts not uniform ................................................................. 777(3) Absence in Act of statutory exception ..................................... 778

(4) Expanding operation of Act(a) Crown land............................................................... 779(b) Matters affecting use and enjoyment ............................. 780

(5) Registration ........................................................................ 781(6) Registrar’s power to correct errors in the register...................... 782(7) The Soldier Settlement Act .................................................... 783

(8) Sand and gravel ................................................................... 784(9) Mutual mistake ................................................................... 785

3. Prior Certificate of Title or Grant................................................... 786

4. Misdescription of Parcels or of Boundaries ...................................... 7875. Any Public Highway

(1) Prefatory ............................................................................ 788(2) Title

(a) Ad medium filum viae rule............................................ 789(b) Alberta..................................................................... 790(c) British Columbia........................................................ 791

(d) Manitoba and Saskatchewan ....................................... 792(e) Ontario .................................................................... 792.1(f) Prince Edward Island ................................................. 792.2

(g) Statutory title ............................................................ 7936. Public Right of Way, Watercourse, Right of Water, or Other Public

Easement

CONTENTS

xxix (RTL) (2012 – Rel. 1)

(1) Public right of way or other public easement............................ 794

(2) “Public . . . watercourse, right of water or other public easement”(a) In general ................................................................. 795(b) Ontario .................................................................... 796

7. Short-term Lease or Agreement for Lease(1) Prefatory ............................................................................ 797(2) The statutory provisions........................................................ 798

(a) Ontario .................................................................... 799

(b) Victoria, Western Australia and Tasmania ..................... 800(c) England — Land Registration Act, 1925 ....................... 801

(3) Option to renew................................................................... 802

(4) Option to purchase............................................................... 803(5) Registrability of short-term lease ............................................ 804(6) Deemed registration ............................................................. 805

(7) Transfer of reversion ............................................................ 806(8) Residential Tenancies Acts .................................................... 807

8. Expropriation(1) Prefatory ............................................................................ 808

(2) Expropriation Act, R.S.C. 1952, c. 106(a) Prefatory .................................................................. 809(b) Vesting of title ........................................................... 810

(3) Expropriation Act, R.S.C. 1985, c. E-21(a) Prefatory .................................................................. 811(b) Vesting of title ........................................................... 812

(4) Provincial legislation(a) Prefatory .................................................................. 813(b) Notice of intention to expropriate................................. 814

(b.1) Abandonment of intended expropriation ....................... 814.1(c) Confirmation and vesting of title .................................. 815(d) Mines and minerals .................................................... 816(e) Proof of signatures of expropriating and confirming

authorities................................................................. 817(5) Certificate of title to expropriated land

(a) Statutory provisions ................................................... 818

(b) British Columbia........................................................ 819(6) Unregistered land................................................................. 820(7) Former owner’s right of first refusal after expropriation ............ 821

9. Easements(1) Prefatory ............................................................................ 822(2) Statutory provisions

(a) Alberta and Saskatchewan........................................... 823(b) British Columbia........................................................ 824(c) Manitoba, Victoria and Western Australia..................... 825(d) Ontario .................................................................... 826

(d.1) Quebec ..................................................................... 826.1(e) Australia and New Zealand ......................................... 827

(3) Definition ........................................................................... 828

(4) Essential characteristics ......................................................... 829(4A) Other methods of granting an easement, including the implied

grant .................................................................................. 829.1


xxx

(5) Owner may grant easement to himself ....................................... 830(6) Applicability of perpetuity rule ................................................ 831(7) Prescription and Abandonment

(a) Prescription................................................................ 832(b) Abandonment ............................................................. 832.1

(8) Statutory easements(a) Prefatory ................................................................... 833(b) The statutory provisions ............................................... 834

(8A) Enforcement......................................................................... 834.1(9) Party wall agreements ............................................................ 835(9A) Fences ................................................................................ 835.1(10) Profit a prendre .................................................................... 836(11) Statutory jurisdiction of court to cancel or modify ....................... 837(12) Subdivision of dominant tenement ............................................ 838(13) Tax sale titles....................................................................... 839(14) Registration ......................................................................... 840

10. Unpaid Taxes ............................................................................... 84111. Adverse Possession and Limitation

(1) Prefatory ............................................................................. 842(2) Alberta

(a) The statutory provisions ............................................... 843(b) Bona fide purchaser for value ........................................ 844

(3) British Columbia................................................................... 845(4) Manitoba............................................................................. 846(5) Saskatchewan ....................................................................... 847(6) Ontario ............................................................................... 848(6A) Newfoundland and Labrador ................................................... 848.1(6B) Nova Scotia ......................................................................... 848.2(6C) New Brunswick .................................................................... 848.3(6D) Prince Edward Island ............................................................. 848.4(7) England .............................................................................. 849(8) The assurance fund................................................................ 850

11A. Timber Lands............................................................................... 850.112. Improvements on Another’s Land under Mistake of Title

(1) Prefatory ............................................................................. 851(2) The statutory provisions ......................................................... 852(3) Who may apply for statutory relief ........................................... 853(4) Lasting improvements ............................................................ 854(5) Belief: referable to mistake of title or mistake of identity? ............. 855(6) Remedies ............................................................................ 856(7) Acquiring registered title to the retained land.............................. 857(8) Special enactments dealing with encroachments

(a) Manitoba................................................................... 858(b) British Columbia......................................................... 859

(9) Non-statutory equitable relief................................................... 86013. Special Exceptions Peculiar to a Particular Act

(1) Prefatory ............................................................................. 861(2) Alberta ............................................................................... 862(3) British Columbia................................................................... 863(4) Manitoba............................................................................. 864

CONTENTS

xxxi (RTL) (Rel. 5, 2013)

(5) Saskatchewan ....................................................................... 865(6) Ontario ............................................................................... 866(7) England .............................................................................. 867

14. “Landlocked” Land ....................................................................... 868

Chapter 19 Fraud1. Fraud - The Major Exception to Indefeasibility of Title

(1) Prefatory ............................................................................. 870(2) Some cases in which fraud proved............................................ 871(3) Some cases in which fraud not proved....................................... 872(4) Gibbs v. Messer .................................................................... 873(5) Assets Co. v. Mere Roihi ......................................................... 874(6) Volunteer

(a) Where competing claim registered .................................. 875(b) Where competing claim unregistered ............................... 876

(7) Principal and agent................................................................ 877(8) Duress and undue influence..................................................... 878

2. Notice and Fraud .......................................................................... 8793. The Bona Fide Purchaser for Value .................................................. 8804. No Imputation of Fraud Because of Knowledge, Simpliciter, of

Unregistered Interest ...................................................................... 881(1) Dealing with registered owner ................................................. 882(2) When does notice cease to bind bona fide purchaser for value? ...... 883

5. The Unregistered Lease Cases(1) Prefatory ............................................................................. 884(2) Alberta ............................................................................... 885(3) British Columbia................................................................... 886

Chapter 20 Builders’ Construction and Mechanics’ Lien Legislation1. Prefatory ..................................................................................... 8872. Nature of Lien

(1) A statutory creation ............................................................... 888(2) Co-owners ........................................................................... 889(3) Avoidance or circumvention of Act .......................................... 890(4) Minimum amount of lien, advance payments and registrability ....... 891

3. The Statutory Requirements(1) Prefatory ............................................................................. 892(2) Registration of the claim......................................................... 893

(a) Property affected......................................................... 894(b) Highways .................................................................. 895(c) Leasehold interest ....................................................... 896(d) Crown federal land...................................................... 897(e) Crown provincial land.................................................. 897(f) Where registered ......................................................... 899(g) The certificate of lis pendens ......................................... 900

4. Registrar’s Duties.......................................................................... 9015. Priorities

(1) Prior registration of claim of lien.............................................. 902(2) Prior registration of conveyance or mortgage

(a) Saskatchewan ............................................................. 903(b) Alberta, British Columbia and Manitoba .......................... 904


xxxii

(c) Construction Lien Act, R.S.O. 1990, c. C.30(i) The general principle .......................................... 905(ii) The “building mortgage” ..................................... 906(iii) “Non-building mortgage’’, inter alia, registered

after first lien arising .......................................... 907(iv) ’’Non-building mortgage’’, inter alia, registered

prior to first lien arisingA. General priority ......................................... 908B. Subsequent advances ................................... 909C. The statutory “home buyer”.......................... 910

(3) Judgments and executions....................................................... 911(a) Sheltering .................................................................. 911.1

(4) Bankruptcy .......................................................................... 911.26. Condominium Legislation ............................................................... 9127. Assignment and Transmission of Claim of Lien .................................. 9138. Postponement ............................................................................... 9149. Expiry of Unregistered Claim of Lien ............................................... 91510. Expiry of Registered Claim of Lien .................................................. 91611. Extra-judicial Notice to Claimant to Commence Action

(1) Given by the owner ............................................................... 917(2) Notice, on request, given by the registrar ................................... 918

12. Discontinuance of Action................................................................ 91913. Dismissal of Action ....................................................................... 92014. Discharge of Lien ......................................................................... 92115. Withdrawal of Claim of Lien........................................................... 92216. Wrongful Registration of Claim of Lien............................................. 92317. Removal by Court of Claim of Lien on Payment or on Security

Being Given ................................................................................ 92418. Sale By or With Approval of the Court ............................................. 92519. Foreclosure .................................................................................. 92620. Bankruptcy .................................................................................. 926.1

Chapter 21 Judgments and Writs of Execution1. Prefatory ..................................................................................... 9272. Certificate of Judgment

(1) British Columbia: prior to 31st October 1979.............................. 928(2) British Columbia: after 30th October 1979

(a) Prefatory ................................................................... 929(b) Registration ............................................................... 930(c) Effect of registration .................................................... 931(d) Assignment................................................................ 932(e) Death of judgment creditor ........................................... 933(f) Death of judgment debtor ............................................. 934(g) Postponement of registered judgment or writ of

execution................................................................... 935(h) Expiry of judgments .................................................... 936(i) Release ..................................................................... 937(j) Identity of judgment debtor ........................................... 938

3. Writ of Execution(1) Definition ............................................................................ 939

CONTENTS

xxxiii (RTL) (Rel. 5, 2013)

(2) No execution against land if debt less than statutory minimum ....... 940(3) Receipt by registrar of writ ..................................................... 941(4) When debtor’s land bound by writ............................................ 942(5) Entry of writ in records of land titles office ................................ 943(6) Assignment.......................................................................... 944(7) Bail Act and Legal Aid Services Act, 1998 (Ontario) ................... 945(8) Expiry of writs of execution .................................................... 946(9) Priority of writ of execution issued on a judgment in the action...... 947(10) Satisfaction or discharge of writ ............................................... 948

4. Land — Ambit of Exigibility(1) Alberta ............................................................................... 949(2) Unregistered land .................................................................. 950(3) Saskatchewan ....................................................................... 951(4) Manitoba............................................................................. 952(5) Ontario ............................................................................... 953(6) Nova Scotia ......................................................................... 953.1

5. The “Similar or Identical Name” Problem(1) British Columbia................................................................... 954(2) Alberta and Saskatchewan....................................................... 955(3) Manitoba............................................................................. 956(4) Ontario ............................................................................... 957

6. Sale of Land by Sheriff(1) Prefatory ............................................................................. 958(2) Alberta and Saskatchewan....................................................... 959(3) British Columbia................................................................... 960(4) Manitoba............................................................................. 961(5) Ontario ............................................................................... 962

7. Sale by Sheriff of Registered Mortgage ............................................. 9638. No Severance of Joint Tenancy by Registration of Writ of Execution

or Judgment ................................................................................. 9649. Priority of Unregistered Mortgage over Registered Writ or Certificate

of Judgment ................................................................................. 96510. The So-called “Matrimonial Judgment” ............................................. 96611. Dower ........................................................................................ 96712. Priority of Floating Charge over Registered Judgment .......................... 96813. Judgment or Writ of Execution against Beneficiary .............................. 96914. Partnership Property ...................................................................... 97015. Writ of Extent .............................................................................. 971

Chapter 22 Compensation1. The Assurance Fund

(1) General ............................................................................... 972(2) British Columbia................................................................... 972.1

2. Compare with “Title Insurance” ....................................................... 9733. Sources of the Fund....................................................................... 9744. The Statutory Conditions ................................................................ 9755. Mistake of Registrar ...................................................................... 9766. Deprivation of Land or Interest in It ................................................. 9777. Deprivation Consequent on Fraud..................................................... 978

(1) The voidable transaction......................................................... 979


xxxiv

(2) The forgery....................................................................... 9808. Deprivation Consequent on Bringing Land under the Act .................. 9819. Deprivation Consequent on Registration of Another Person as

Owner .................................................................................... 98210. Deprivation by Error, Omission or Misdescription ........................... 98311. Paragraph deleted.12. Reliance on Automated Index (Ontario) ......................................... 98513. Protection of Bona Fide Purchaser for Value .................................. 98614. Omission, Mistake or Misfeasance of Registrar ............................... 987

(1) Error of judgment .............................................................. 988(2) Official searches of register .................................................. 989

15. The Statutory Defendants............................................................ 99016. Claimant Required to Give Notice of Intended Action ...................... 99117. No Premature Entry of Final Judgment .......................................... 99218. When Costs Payable by Claimant ................................................. 99319. Admission or Compromise of Claim Without Action ........................ 99420. When Registrar Entitled to Assignment of Claimants’ Judgment ......... 99521. Limitation of Actions................................................................. 99622. Mines and Minerals ................................................................... 99723. Circumstances Excluding Liability

(1) Prefatory .......................................................................... 998(2) Breach of trust................................................................... 999(3) Double grants.................................................................... 1000(4) Misdescription................................................................... 1001(5) Shortage of acreage ............................................................ 1002(6) Equitable mortgage by deposit of duplicate certificate................ 1003(7) Provisional or substitute certificate of title............................... 1004(8) Expropriation .................................................................... 1005(9) Improper exercise of power of sale ........................................ 1006(10) Insufficient identification of execution debtor........................... 1007(11) Disclaimer of lease by trustee in bankruptcy ............................ 1008(12) Determination of lease ........................................................ 1009(13) Defect in foreclosure proceedings .......................................... 1010(14) Knowledge of registrar’s act allegedly causing damage .............. 1011(15) Contributory negligence ...................................................... 1012(16) Statutory exceptions to indefeasibility of title........................... 1013

24. The Infant Trustee..................................................................... 101425. Measure of Damages ................................................................. 101526. Right of Action under the Dower Act (Alberta)

(1) Prefatory .......................................................................... 1016(2) The remedy ...................................................................... 1017(3) Effect of payment by married person of judgment..................... 1018(4) Where judgment against married person not paid ...................... 1019

27. Covenant to Indemnify Assurance Fund......................................... 102028. New Home Warranties Plan ........................................................ 1021

PageAppendix 1 Manitoba Forms ......................................................................... 23-2Appendix 2 British Columbia Forms for Manual Filing....................................... BC-1Appendix 3 Alberta Forms.......................................................................... ALTA-1

CONTENTS

xxxv (RTL) (Rel. 2, 2016)

Appendix 4 Ontario Forms............................................................................ ONT-1Appendix 5 Nova Scotia Forms ....................................................................... NS-1Land Registry Offices .................................................................................. LRO-1Proof of Facts ........................................................................................ PROOF-1Words & Phrases ........................................................................................ WP-1Index........................................................................................................ I-1


xxxvi

CONTENTS OF VOLUME 2

Para.

Chapter 10 Restrictive Covenants1. The Doctrine of Restrictive Covenants

(1) Prefatory ............................................................................. 329(2) Classification ....................................................................... 330(3) Interest in land ..................................................................... 331(4) Creation

(a) Common law ............................................................. 332(b) Building scheme ......................................................... 333(c) Statute ...................................................................... 334

(5) Construction ........................................................................ 335(6) Expiry ................................................................................ 335(7) Registration ......................................................................... 336

(a) Restrictive covenants other than those created by“building scheme”....................................................... 337

(b) Building scheme ......................................................... 338(c) British Columbia......................................................... 339

(2) Discharge or Modification Inter Partes ...................................... 3403. Discharge or Modification by Court

(1) Alberta ............................................................................... 341(2) Manitoba............................................................................. 342(3) Saskatchewan ....................................................................... 343(4) British Columbia

(a) The legislation............................................................ 344(b) “a person interested in land”.......................................... 345(c) “the application is not premature”................................... 346(d) “change in character of neighbourhood”........................... 347(e) “obsolete”.................................................................. 348(f) “reasonable use of the land will be impeded without

practical benefit toothers”...................................................................... 349

(g) The “floodgate objection” ............................................. 350(h) Compensation............................................................. 352

(5) Ontario4. Statutory Covenants Not Requiring Dominant Tenement ....................... 3535. Discriminatory Covenants ............................................................... 354

Chapter 11 Powers of Attorney1. Prefatory ..................................................................................... 3552. Deposit of Power of Attorney with Registrar ...................................... 3563. “Registrations” of Power of Attorney ................................................ 3574. Capacity...................................................................................... 3585. After-acquired Land....................................................................... 3596. Revocation .................................................................................. 3607. Personal Representative or Trustee — Appointment By ........................ 3618. Irrevocable Power of Attorney ......................................................... 363

iii (RTL) (Rel. 9, 2014)

9. Execution and Attestation ............................................................... 36310. Construction ................................................................................ 364

Chapter 12 Leases1. Prefatory ..................................................................................... 3652. “Leases” Defined .......................................................................... 3663. Term .......................................................................................... 3674. Perpetuity as Affecting Lease and Renewal of Lease ............................ 3685. Execution of Statutory Form Lease ................................................... 3696. Production of Duplicate Certificate of Title ........................................ 3707. The Statutory Form ....................................................................... 3718. The “Short-term” Lease and Agreement for Lease................................ 3729. Duty of Lessor to Deliver Registrable Instrument ................................ 37310. Land Description .......................................................................... 37411. Manner of Registration................................................................... 37512. Unregistered Lease Not Requiring Registration ................................... 37613. Parties ........................................................................................ 37714. Option to Purchase

(1) Prefatory ............................................................................. 378(2) Statutory provision ................................................................ 379(3) Perpetuity rule ...................................................................... 380

15. Right of First Refusal .................................................................... 38116. Option to Renew........................................................................... 38216A. Relief from Forfeiture .................................................................... 382.117. Lessee’s Implied Covenants ............................................................ 38318. Lessee’s Covenants (Short Forms) .................................................... 38419. Lessor’s Implied Powers................................................................. 38519A. Restrictive Covenants..................................................................... 385.120. Extension, Modification or Variation of Lease .................................... 38621. Covenant Against Assigning or Subletting.......................................... 38722. Lease of Mortgaged Land ............................................................... 38823. Lease by Vendor........................................................................... 38924. Lease by Crown Federal ................................................................. 39025. Bankruptcy of Tenant .................................................................... 39126. Surrender by Instrument Inter Vivos .................................................. 39227. Surrender by Operation of Law........................................................ 39327A. Termination of Lease ..................................................................... 393.128. Effluxion of Time or the Happening of an Event ................................. 39429. Registrar’s Power to Determine Lease ............................................... 39530. Merger........................................................................................ 39630A. Quiet Enjoyment ........................................................................... 396.131. Transfer of Lease

(a) In general .................................................................. 397(b) Sub-lease................................................................... 397.1

32. Transmission on Death................................................................... 39833. Assignment of Rents...................................................................... 399


iv

Chapter 13 Mortgages1. Prefatory ..................................................................................... 4002. Accession and Fixtures................................................................... 400.13. Equitable Mortgages

(1) Prefatory ............................................................................. 401(2) Definition of equitable mortgage .............................................. 402(3) To execute, when required, a legal mortgage .............................. 403(4) Specified property to stand as security....................................... 404(5) Deposit of duplicate certificate of title

(a) The doctrine............................................................... 405(b) Caveatable interest ...................................................... 406

(6) Applicability of rule in Jellett v. Wilkie ...................................... 407(7) Remedy of equitable mortgagee ............................................... 408(8) Transfer absolute in form........................................................ 409

4. Statutory Mortgage(1) Compared with common law mortgage ...................................... 410(2) The statutory provisions ......................................................... 411(3) Ontario ............................................................................... 411.1(4) Clog on right to redeem ......................................................... 412(5) British Columbia................................................................... 413

[Paras. 414 to 423 deleted.]5. Form of Statutory Mortgage

(1) Prefatory ............................................................................. 424(2) Guarantor’s liability............................................................... 424.1(3) Insertion of special covenants .................................................. 425(4) Implied covenant for further assurances ..................................... 426(5) Mortgagor’s usual covenants ................................................... 427(6) “Due on sale” clause.............................................................. 428(7) Manner of registration............................................................ 429(8) Common law form: when registrable......................................... 430(9) Mortgage to secure purchase price of chattels ............................. 431

6. Remedies of Mortgagee — Part 1(1) Prefatory ............................................................................. 432(2) Possession ........................................................................... 432.1(3) Contractual power of sale

(a) Prefatory ................................................................... 433(i) British Columbia................................................ 434

A. Prior to Land Title Amendment Act, 1989 ...... 434B. After Land Title Amendment Act, 1989.......... 434.1

(ii) Ontario ............................................................ 435(b) Injunctive relief against exercise of power........................ 436(c) Exercise of power of sale after discontinuance

foreclosure action........................................................ 437(d) Sale proceedings prevent separate redemption action .......... 438(e) After order nisi power suspended ................................... 439(f) Notice

(i) Prefatory .......................................................... 440(ii) Persons to be served ........................................... 441(iii) Method and length of notice................................. 442

CONTENTS

v (RTL) (Rel. 11, 2013)

(iv) Duty to act in good faith ..................................... 442.1(g) Conduct of sale

(i) Prefatory .......................................................... 443(ii) Defective sales .................................................. 444

(h) When exercise of power complete .................................. 445(i) Proceeds of sale and accounting ..................................... 446(j) Protection of bona fide purchaser.................................... 447(k) When exercise of power prohibited................................. 448(l) Compared with sale after final foreclosure order ................ 449

(4) Foreclosure and judicial sale in British Columbia(a) Foreclosure

(i) Prefatory .......................................................... 450(ii) Defences .......................................................... 451(iii) Summary judgment ............................................ 452(iv) Redemption period ............................................. 453(v) Order nisi ......................................................... 454(vi) Setting aside order nisi ........................................ 455(vii) Extending redemption period ................................ 456(viii) Personal judgment .............................................. 457(ix) Redemption

A. General .................................................... 458B. Statutory right to assignment of mortgage ....... 458.1

(x) Subordination agreement ..................................... 459(xi) Stay of execution pending appeal .......................... 460(xii) Order absolute ................................................... 461(xiii) Effect of order absolute ....................................... 462(xiv) Appointment of receiver ...................................... 462.1

(b) Judicial sale(i) Prefatory .......................................................... 463(ii) British Columbia................................................ 464

A. Factors to be considered on application .......... 465B. Order for sale ............................................ 466C. Approval of sale ........................................ 467D. Mortgagee as purchaser at court-ordered

sale ......................................................... 467.1E. Effect of approval of sale............................. 468F. Conduct of sale ......................................... 468.1G. Collapse of sale ......................................... 468.2

(4A) Foreclosure and judicial sale in Ontario ..................................... 468.3(4B) Foreclosure and judicial sale in Nova Scotia ............................... 468.4(5) Sale and foreclosure in Alberta, Saskatchewan and the Territories

(a) Prefatory ................................................................... 469(b) Proceedings to be taken in court .................................... 470(c) Restrictions on mortgagee’s remedies

(i) Prefatory .......................................................... 471(ii) Alberta ............................................................ 472

A. Crown and Corporate Mortgages ................... 472.1B. Guarantors ................................................ 472.2

(iii) Saskatchewan .................................................... 473A. The Limitation of Civil Rights Act ................ 473.1


vi

B. The Land Contracts (Action) Act................... 473.2C. The Saskatchewan Farm Security Act............. 473.3D. The Home Owners’ Protection Act ................ 473.4

(Continued on page vii)

CONTENTS

vi.1 (RTL) (Rel. 11, 2013)

CONTENTS

vii (RTL) (Rel. 10, 2010)

E. The Farm Debt Mediation Act ................. 473.5(iv) [Deleted] .................................................... 474

(d) Sale and foreclosure(i) Alberta ...................................................... 475(ii) Saskatchewan .............................................. 476

(e) Stay of proceedings(i) Alberta ...................................................... 477(ii) Saskatchewan .............................................. 478

(f) Extending time for redemption(i) Alberta ...................................................... 479(ii) Saskatchewan .............................................. 480

(6) Effect of final foreclosure order(a) Prefatory ............................................................ 481(b) Alberta .............................................................. 482(c) Saskatchewan ...................................................... 483

(7) Evidence that final order subsisting ..................................... 484(8) Assignment of leases and rents ........................................... 484.1

7. Reopening Final Order of Foreclosure(1) Jurisdiction ................................................................... 485(2) Terms on which judicial discretion exercised ......................... 486

8. Remedies of Mortgagee — Part 2 (Manitoba)(1) Generally ..................................................................... 486.1(1.1) Power of sale in Manitoba

(a) Prefatory ............................................................ 487(b) Jurisdiction ......................................................... 488(c) Farm Debt Mediation Act ....................................... 488.1(d) Statutory sale proceedings ...................................... 489(e) Effect of lis pendens .............................................. 490(f) Filing of notice with district registrar ......................... 491(g) The notice .......................................................... 492(h) Persons to be given notice ....................................... 493(i) Service of notice .................................................. 494(j) Covenant other than for payment .............................. 495(k) Application for order authorizing sale ........................ 496(l) Mortgagor’s rights before sale ................................. 497(m) Manner of sale ..................................................... 498(n) Reserved bid ....................................................... 499(o) Mortgagor’s rights after sale .................................... 500(p) The transfer ........................................................ 501(q) The rule in Otter v. Lord Vaux ................................. 502(r) Application of proceeds of sale ................................ 503

(2) Extra-judicial foreclosure in Manitoba(a) Prefatory ............................................................ 504(b) Family Farm Protection Act .................................... 504.1(c) The application .................................................... 505(d) Notice to redeem .................................................. 506(e) Issue of foreclosure order ....................................... 507(f) Effect of foreclosure order ...................................... 508(g) Exoneration of registrar ......................................... 509(h) Costs ................................................................ 510


viii

8A. Sealed Contract Rule .............................................................. 510.19. The Mortgagee’s Right to Take Possession .................................. 51110. Appointment of Receiver ........................................................ 511.111. Wrongful Impairment of Security .............................................. 511.212. Attornment Clauses

(1) Prefatory ...................................................................... 512(2) Alberta ........................................................................ 513(3) Manitoba ..................................................................... 514(4) Saskatchewan ................................................................ 515(5) British Columbia ............................................................ 516(6) Ontario ........................................................................ 517

13. Merger ............................................................................... 51813A. Redemption ........................................................................... 518.1

14. Acceleration ........................................................................ 51915. Tacking ..............................................................................

(1) Common law tabula in naufragio ....................................... 520(2) Common law tacking of further advances ............................. 521(3) Statutory recognition of doctrine

(a) Prefatory ............................................................ 522(b) Alberta .............................................................. 523(c) British Columbia .................................................. 524(d) Manitoba ........................................................... 525(e) Ontario .............................................................. 526(f) Law of Property Act, 1925, s. 94 .............................. 527

(4) Mortgagee not bound to make further advances ...................... 52816. Consolidation ....................................................................... 52917. Marshalling and Apportionment ................................................ 53018. Transfer by Mortgagor of Mortgaged Land

(1) Prefatory ...................................................................... 531(2) Alberta and Manitoba ...................................................... 531.1(3) British Columbia ............................................................ 532(4) Ontario ........................................................................ 533(5) Saskatchewan ................................................................ 533.1

19. Transfer by Mortgagee of Mortgage(1) Prefatory ...................................................................... 534(2) Transferee takes subject to equities and the state of the account ... 535(3) Sub-mortgage or sub-charge .............................................. 536

20. Discharge of Mortgage(1) When mortgage statute barred ........................................... 537(2) Unconscionable transactions legislation ................................ 538(3) Payment of mortgage moneys ............................................ 538.1

(a) Failure to comply with statutory maximum lending limits........................................................................ 538.2

(b) Amount owing .................................................... 538.3(4) Form of discharge .......................................................... 539(5) Effect of discharge when registered ..................................... 540(5A) Subrogation .................................................................. 540.1(6) Discharge subsequently declared void .................................. 541(7) Discharge of mortgage by court order .................................. 542(8) Where discharge by mortgagee unobtainable ......................... 543

CONTENTS

ix (RTL) (Rel. 10, 2010)

(9) Cancellation of mortgage created by vendor .......................... 544(10) Discharge versus transfer of mortgage .................................. 545(11) Discharge where there is statutory presumption that

money advanced on joint account ....................................... 546(12) Mortgage discharge executed in blank ................................. 547(13) Discharge of annuity on death of annuitant ............................ 548(14) Inadvertent discharge of mortgage ...................................... 549

21. Interest Act(1) Prefatory ...................................................................... 550(2) Section 2 of Interest Act ................................................... 551(3) Section 3 of Interest Act ................................................... 552(4) Sections 4 and 5 of Interest Act .......................................... 553(5) Sections 6 and 7 of Interest Act .......................................... 554(6) Section 8 of Interest Act ................................................... 555(7) Section 9 of Interest Act ................................................... 555.1(8) Section 10 of Interest Act ................................................. 555.2(9) Sections 11 to 14 of Interest Act ......................................... 555.3(10) Mortgagor’s entitlement to discharge ................................... 555.4(11) Waiver or contracting out ................................................. 555.5(12) Criminal interest rate ....................................................... 555.6

22. Postponement of Chargee’s Registered Priority ............................. 55622A. Priorities ............................................................................. 556.123. Variation of Terms of Mortgage ................................................ 55723A. Insurance ............................................................................ 557.124. Novation ............................................................................. 558

Chapter 14 Caveats1. Purpose and Classification

(1) Purpose ....................................................................... 559(2) Classification ................................................................ 560

2. Caveats Against Bringing Land Under the Act(1) Prefatory ...................................................................... 561(2) Unpatented land ............................................................. 562(3) Time limit for lodgment ................................................... 563(4) Lapse .......................................................................... 564(5) Second caveat ............................................................... 565(6) Caveator must claim interest in land .................................... 566(7) Effect of withdrawal of application ..................................... 567

3. Registrar’s Caveat(1) Purpose ....................................................................... 568(2) Procedure not exclusive ................................................... 569(3) Jurisdiction to be exercised cautiously .................................. 570(4) Lapse, withdrawal and discharge ........................................ 571

4. Order of Court Prohibiting Dealing ............................................ 5725. Caveats Against Dealings

(1) Purpose ....................................................................... 573(2) Title to land affected must be under Act ............................... 574(3) Persons other than the registrar who may lodge a caveat ........... 575(4) Registered owner may lodge caveat ..................................... 576(5) Form and content of caveat ............................................... 577


x

(a) Name of caveator ................................................. 578(b) Addition of caveator ............................................. 579(c) Description of land ............................................... 580(d) Address at which notices may be served ..................... 581(e) Signature of caveator ............................................. 582(f) History of claims .................................................. 582.1

(6) Claim must amount to an interest in land(a) Prefatory ............................................................ 583(b) Registrar to notify person affected ............................ 584(c) Registrar’s acceptance or rejection of caveat ................ 585(d) The single claim ................................................... 586(e) Multiple claims .................................................... 587

(7) List of caveatable interests ................................................ 588(a) Easements .......................................................... 589(b) Specially enforceable agreement to grant a lease ........... 590(c) Agreement to execute a mortgage ............................. 591(cc) Agreement for the sale of land ................................. 591.1(d) Mortgage ........................................................... 592(e) Transfer of a mortgage ........................................... 593(f) Equitable mortgage by deposit of duplicate certificate of

title ................................................................... 594(g) Beneficial interest under a trust ................................ 595(h) Restrictive covenant .............................................. 596(i) Sale of standing timber .......................................... 597(j) Interest of person claiming by adverse possession ......... 598(k) Option to purchase ................................................ 599(l) Mortgage brokerage fee ......................................... 600(m) Unregistered transfer ............................................. 601(n) Specified loans authorized by the Bank Act (Canada) ..... 602(o) Judgment creditor as caveator .................................. 603(p) Renewal of mortgaged lease .................................... 604(q) Purchaser’s lien ................................................... 605(r) Vendor’s lien ...................................................... 606(s) Petroleum and natural gas leases ............................... 606.1(t) Rent accruing due ................................................. 606.2(u) Dower rights ....................................................... 606.3(v) Aboriginal title .................................................... 606.4(w) Leases ............................................................... 606.5(x) Pledging of assets ................................................. 606.6

(8) List of uncaveatable claims ............................................... 607(9) Liens .......................................................................... 608(10) Caveator claiming adverse possession against registered owner .. 609(11) Statutory right of execution creditor to set aside registration ....... 610(12) Statutory prohibition against lodgment of caveat ..................... 611(13) Minerals

(a) Prefatory ............................................................ 612(b) Railway Act (Canada) ........................................... 613(c) Soldier Settlement Act ........................................... 614(d) Profit a prendre ................................................... 615(e) Royalty ............................................................. 616

CONTENTS

xi (RTL) (Rel. 10, 2010)

(f) Unit operation, agreement for .................................. 616.1(g) Oil and gas ......................................................... 616.2

6. Postponement of Caveat .......................................................... 6177. Transfer of Caveat ................................................................. 6188. Cessation of Caveat

(1) Prefatory ...................................................................... 619(2) Lapse of private caveat .................................................... 620

(a) Notice to caveator ................................................ 621(b) Manner of service ................................................. 622

(3) Extension of time for proceeding on caveat ........................... 623(4) Discharge by order of court

(a) Application to court .............................................. 624(b) Technical objections ............................................. 625(c) Basic approach taken by court ................................. 626

(5) Declaration of court as to extent of caveator’s rights ................ 6279. Withdrawal of Caveat

(1) Prefatory ...................................................................... 628(2) Summary court procedure for withdrawal of caveat ................. 629

10. Vexatious Caveats ................................................................. 63011. Merger of Caveat .................................................................. 63112. Second Caveat ...................................................................... 63213. Caveat Operating, Inter Alia, as Statutory Charge .......................... 63314. Effect of Caveat

(1) Prefatory ...................................................................... 634(2) “Subject to the claim of the caveator” .................................. 635(3) Effect of subsequent caveat on pending registration ................. 636(4) Alberta and Manitoba ...................................................... 637(5) Saskatchewan ................................................................ 638(6) British Columbia ............................................................ 639

15. Caution under Ontario Act(1) Prefatory ...................................................................... 640(2) First registration

(a) Application for caution .......................................... 641(b) Unpatented land ................................................... 642(c) Service of notice on cautioner .................................. 643

(3) Caution against dealings(a) Application for caution .......................................... 644(b) Effect of caution .................................................. 645

(4) Second caution .............................................................. 646(5) Caution by registered owner .............................................. 647(6) Vexatious caution ........................................................... 648(7) Cessation of caveat ......................................................... 649(8) Restrictions .................................................................. 650

Chapter 15 Lis Pendens1. Prefatory ............................................................................. 6512. The Doctrine of Lis Pendens .................................................... 6523. Common Law Doctrine Inconsistent with Torrens System ................ 6534. The Question of Alienation Pendente Lite .................................... 6545. The Statutory Provisions ......................................................... 655


xii

(1) Foreclosure proceedings ................................................... 656(2) Restrictive covenant ........................................................ 657(3) Family Relations Act (B.C.) .............................................. 658(4) Fraudulent preferences legislation

(a) Generally ........................................................... 659(b) Creditor without judgment ...................................... 660

(5) Change of parties ........................................................... 661(6) Registrar’s duty ............................................................. 662

6. Receipt by Registrar of Lis Pendens While Alienee’s Application toRegister Pending ................................................................... 663

7. Where Purchaser Has Not Made Full Payment .............................. 6647A. Mortgagor’s Rights In Mortgage Redemption Case ........................ 664.17B. Interest In Land .................................................................... 664.28. Cancelling or Vacating Registration

(1) Prefatory ...................................................................... 665(2) Where action discontinued ................................................ 666(3) Where action dismissed ................................................... 667(4) Where action neither discontinued nor dismissed .................... 668(5) Hardship ...................................................................... 669

9. Lis Pendens Registered “Without Reasonable Cause” ..................... 670

Chapter 16 Transmission1. Prefatory ............................................................................. 6712. Transmission on Death

(1) Prefatory ...................................................................... 672(2) Registration in name of personal representative ...................... 673(3) Application to register ..................................................... 674(4) Manner of registration ..................................................... 675(5) Doctrine of relation back .................................................. 676(6) Duties and powers of registrar ........................................... 677(7) Assent or transfer to beneficiary ......................................... 678(8) Sale or other dealing by personal representative ...................... 679(9) Devolution of office of personal representative

(a) Prefatory ............................................................ 680(b) Executors ........................................................... 681(c) Administrators ..................................................... 682

(10) Revocation of grant ........................................................ 683(11) Holograph will .............................................................. 684(12) Ademption ................................................................... 685(13) Joint tenants .................................................................. 686(14) Survivorship legislation ................................................... 687(15) Donatio mortis causa ...................................................... 688

3. Transmission Consequent on Vesting Order ................................. 6894. Registrar’s Refusal to Act on Order ............................................ 6905. Orders Authorizing but not Operating as a Disposition .................... 6916. Vesting by Operation of Statute ................................................ 6927. Transmission Consequent Upon Tax Sale

(1) Prefatory ...................................................................... 693(2) Alberta ........................................................................ 694

(a) Sale by municipality ............................................. 695

CONTENTS

xiii (RTL) (Rel. 10, 2010)

(b) Final acquisition of title by municipality ..................... 696(c) Sale by municipality for cash, on mortgage or on

instalment plan .................................................... 697(d) Minerals ............................................................ 698(e) Local Tax Arrears Consolidation Act ......................... 699

(3) British Columbia ............................................................ 700(4) Manitoba

(a) Prefatory ............................................................ 701(b) Municipal legislation ............................................. 702(c) Real Property Act ................................................. 703

(5) Saskatchewan(a) Prefatory ............................................................ 704(b) Tax lien ............................................................. 705(c) Removal of tax lien ............................................... 706(d) Proceedings to request title ..................................... 707(e) Issuance of certificate of title to municipality ............... 708

(5A) Nova Scotia .................................................................. 709(6) Ontario

(a) Municipal Act, Part XI ........................................... 710(b) Tax arrears certifiate ............................................. 711(c) Notice of registration of the tax arrears certificate .......... 712(d) Cancellation of tax arrears certificate ......................... 713(e) Public sale .......................................................... 714(f) Effect of registration of tax deed or notice of vesting ...... 715(g) Mining rights ...................................................... 716(h) Continuation of proceedings under former Acts ............ 717(i) Provincial Land Tax Act ........................................ 718

(7) Persons ineligible to become tax sale purchasers ..................... 719(8) Assurance fund .............................................................. 720

8. Bankruptcy(1) Prefatory ...................................................................... 721(2) Who may make an assignment ........................................... 722(3) The trustee ................................................................... 723(4) The inspectors ............................................................... 724(5) Property of bankrupt ....................................................... 725(6) Secured creditors ........................................................... 726(7) Judgment and execution creditors ....................................... 727(7A) Matrimonial property ...................................................... 727.1(8) Bankruptcy of joint tenant ................................................ 728(9) Registration of assignment or receiving order ......................... 729(10) Discharge of assignment, receiving order or caution ................ 730(11) “Consolidation order” judgment ......................................... 731

9. Transmission on Owner Becoming Mentally Incompetent(1) Prefatory ...................................................................... 732(2) Vesting of title ............................................................... 733(3) Committee other than Public Trustee ................................... 734(4) Public Trustee ............................................................... 735(5) When guardian or official guardian may act ........................... 736(6) Costs .......................................................................... 737(7) Execution by committee of instruments ................................ 738


xiv

(8) Power of attorney given by principal prior to his becoming apatient ......................................................................... 739

Chapter 17 Registration1. Title by Registration

(1) Prefatory ...................................................................... 740(2) Statutory definitions ........................................................ 741(3) When registration completed ............................................. 742

(a) Pending applications ............................................. 743(b) Actual notice ....................................................... 743.1(c) Equity/Unjust enrichment ....................................... 743.2

(4) Two classes of instrument ................................................. 744(5) The right or claim to registration ........................................ 745(6) The “registered estate” ..................................................... 746

(a) The common law legal estate restored pro tanto ............ 747(7) Unregistered interests ...................................................... 748

(a) Unregistered instruments inter se .............................. 749(8) Trusts ......................................................................... 750(9) The “no-survivorship” concept ........................................... 751(10) Statutes de hors the Torrens Act ......................................... 752(11) Acting on the faith of the register ........................................ 753(12) As giving operation to instrument

(a) Special clauses .................................................... 754(aa) Statutory acceptance of “master form” concept ............. 754.1(b) Technical irregularities .......................................... 755

2. Indefeasibility of Title(1) Prefatory ...................................................................... 756(2) Deferred and immediate indefeasibility

(a) Jargon or doctrine ................................................. 757(b) Deferred indefeasibility and forgery .......................... 758(c) The volunteer ...................................................... 759(d) Immediate indefeasibility and forgery ........................ 760

(3) Forgeries ..................................................................... 761(4) Void discharge of mortgage .............................................. 762(5) Dealing with registered owner or applicant for registration ........ 763(6) Void instrument versus unregistered equitable interest .............. 764

3. Ejectment — Action for the Recovery of Land .............................. 7654. Contracts and Trusts Binding Registered Owner ............................ 7665. Corrections by Registrar

(1) Prefatory ...................................................................... 767(2) “Without prejudicing rights acquired bona fide for value” ......... 768(3) Power is discretionary ..................................................... 769(4) Where entry fraudulently obtained ...................................... 770(5) Limitation statutes as affecting power .................................. 771(6) Effect of correction by registrar .......................................... 772(7) Manner of making correction ............................................. 773

6. Correction by Order of Court .................................................... 774

CONTENTS OF VOLUME 3

Para.Chapter 18 Statutory Exceptions to Indefeasibility of Title1. Prefatory ..................................................................................... 7752. Crown Exceptions and Reservations

(1) Prefatory ............................................................................. 776(2) Acts not uniform................................................................... 777(3) Absence in Act of statutory exception ....................................... 778(4) Expanding operation of Act

(a) Crown land................................................................ 779(b) Matters affecting use and enjoyment ............................... 780

(5) Registration ......................................................................... 781(6) Registrar’s power to correct errors in the register......................... 782(7) The Soldier Settlement Act ..................................................... 783(8) Sand and gravel .................................................................... 784(9) Mutual mistake..................................................................... 785

3. Prior Certificate of Title or Grant ..................................................... 7864. Misdescription of Parcels or of Boundaries......................................... 7875. Any Public Highway

(1) Prefatory ............................................................................. 788(2) Title

(a) Ad medium filum viae rule ............................................. 789(b) Alberta ..................................................................... 790(c) British Columbia......................................................... 791(d) Manitoba and Saskatchewan.......................................... 792(e) Ontario ..................................................................... 792.1(f) Prince Edward Island ................................................... 792.2(g) Statutory title ............................................................. 793

6. Public Right of Way, Watercourse, Right of Water, or Other PublicEasement(1) Public right of way or other public easement .............................. 794(2) “Public . . . watercourse, right of water or other public easement”

(a) In general .................................................................. 795(b) Ontario ..................................................................... 796

7. Short-term Lease or Agreement for Lease(1) Prefatory ............................................................................. 797(2) The statutory provisions ......................................................... 798

(a) Ontario ..................................................................... 799(b) Victoria, Western Australia and Tasmania ........................ 800(c) England — Land Registration Act, 1925.......................... 801

(3) Option to renew.................................................................... 802(4) Option to purchase ................................................................ 803(5) Registrability of short-term lease .............................................. 804(6) Deemed registration............................................................... 805(7) Transfer of reversion.............................................................. 806(8) Residential Tenancies Acts...................................................... 807

8. Expropriation(1) Prefatory ............................................................................. 808

iii (RTL) (Rel. 5, 2012)

(2) Expropriation Act, R.S.C. 1952, c. 106(a) Prefatory ................................................................... 809(b) Vesting of title ........................................................... 810

(3) Expropriation Act, R.S.C. 1985, c. E-21(a) Prefatory ................................................................... 811(b) Vesting of title ........................................................... 812

(4) Provincial legislation(a) Prefatory ................................................................... 813(b) Notice of intention to expropriate ................................... 814(b.1) Abandonment of intended expropriation........................... 814.1(c) Confirmation and vesting of title .................................... 815(d) Mines and minerals ..................................................... 816(e) Proof of signatures of expropriating and confirming

authorities.................................................................. 817(5) Certificate of title to expropriated land

(a) Statutory provisions ..................................................... 818(b) British Columbia......................................................... 819

(6) Unregistered land .................................................................. 820(7) Former owner’s right of first refusal after expropriation ................ 821

9. Easements(1) Prefatory ............................................................................. 822(2) Statutory provisions

(a) Alberta and Saskatchewan............................................. 823(b) British Columbia......................................................... 824(c) Manitoba, Victoria and Western Australia ........................ 825(d) Ontario ..................................................................... 826(d.1) Quebec ..................................................................... 826.1(e) Australia and New Zealand ........................................... 827

(3) Definition ............................................................................ 828(4) Essential characteristics .......................................................... 829(4A) Other methods of granting an easement, including the implied

grant .................................................................................. 829.1(5) Owner may grant easement to himself ....................................... 830(6) Applicability of perpetuity rule ................................................ 831(7) Prescription and Abandonment

(a) Prescription................................................................ 832(b) Abandonment ............................................................. 832.1

(8) Statutory easements(a) Prefatory ................................................................... 833(b) The statutory provisions ............................................... 834

(8A) Enforcement......................................................................... 834.1(9) Party wall agreements ............................................................ 835(9A) Fences ................................................................................ 835.1(10) Profit a prendre .................................................................... 836(11) Statutory jurisdiction of court to cancel or modify ....................... 837(12) Subdivision of dominant tenement ............................................ 838(13) Tax sale titles....................................................................... 839(14) Registration ......................................................................... 840

10. Unpaid Taxes ............................................................................... 84111. Adverse Possession and Limitation


iv

(1) Prefatory ............................................................................. 842(2) Alberta

(a) The statutory provisions ............................................... 843(b) Bona fide purchaser for value ........................................ 844

(3) British Columbia................................................................... 845(4) Manitoba............................................................................. 846(5) Saskatchewan ....................................................................... 847(6) Ontario ............................................................................... 848(6A) Newfoundland and Labrador ................................................... 848.1(6B) Nova Scotia ......................................................................... 848.2(6C) New Brunswick .................................................................... 848.3(6D) Prince Edward Island ............................................................. 848.4(7) England .............................................................................. 849(8) The assurance fund................................................................ 850

11A. Timber Lands............................................................................... 850.112. Improvements on Another’s Land under Mistake of Title

(1) Prefatory ............................................................................. 851(2) The statutory provisions ......................................................... 852(3) Who may apply for statutory relief ........................................... 853(4) Lasting improvements ............................................................ 854(5) Belief: referable to mistake of title or mistake of identity? ............. 855(6) Remedies ............................................................................ 856(7) Acquiring registered title to the retained land.............................. 857(8) Special enactments dealing with encroachments

(a) Manitoba................................................................... 858(b) British Columbia......................................................... 859

(9) Non-statutory equitable relief................................................... 86013. Special Exceptions Peculiar to a Particular Act

(1) Prefatory ............................................................................. 861(2) Alberta ............................................................................... 862(3) British Columbia................................................................... 863(4) Manitoba............................................................................. 864(5) Saskatchewan ....................................................................... 865(6) Ontario ............................................................................... 866(7) England .............................................................................. 867

14. “Landlocked” Land ....................................................................... 868

Chapter 19 Fraud1. Fraud — The Major Exception to Indefeasibility of Title

(1) Prefatory ............................................................................. 870(2) Some cases in which fraud proved............................................ 871(3) Some cased in which fraud not proved ...................................... 872(4) Gibbs v. Messer .................................................................... 873(5) Assets Co. v. Mere Roihi ......................................................... 874(6) Volunteer

(a) Where competing claim registered .................................. 875(b) Where competing claim unregistered ............................... 876

(7) Principal and agent................................................................ 877(8) Duress and undue influence..................................................... 878

CONTENTS

v (RTL) (Rel. 5, 2013)

2. Notice and Fraud .......................................................................... 8793. The Bona Fide Purchaser for Value .................................................. 8804. No Imputation of Fraud Because of Knowledge, Simpliciter, of

Unregistered Interest ...................................................................... 881(1) Dealing with registered owner ................................................. 882(2) When does notice cease to bind bona fide purchaser for value? ...... 883

5. The Unregistered Lease Cases(1) Prefatory ............................................................................. 884(2) Alberta ............................................................................... 885(3) British Columbia................................................................... 886

Chapter 20 Builders’, Construction and Mechanics’ Lien Legislation1. Prefatory ..................................................................................... 8872. Nature of Lien

(1) A statutory creation ............................................................... 888(2) Co-owners ........................................................................... 889(3) Avoidance or circumvention of Act .......................................... 890(4) Minimum amount of lien, advance payments and registrability ....... 891

3. The Statutory Requirements(1) Prefatory ............................................................................. 892(2) Registration of the claim......................................................... 893

(a) Property affected......................................................... 894(b) Highways .................................................................. 895(c) Leasehold interest ....................................................... 896(d) Crown federal land...................................................... 897(e) Crown provincial land.................................................. 898(f) Where registered ......................................................... 899(g) The certificate of lis pendens ......................................... 900

4. Registrar’s Duties.......................................................................... 9015. Priorities

(1) Prior registration of claim of lien.............................................. 902(2) Prior registration of conveyance or mortgage

(a) Saskatchewan ............................................................. 903(b) Alberta, British Columbia and Manitoba .......................... 904(c) Construction Lien Act, R.S.O. 1990, c. C.30

(i) The general principle .......................................... 905(ii) The “building mortgage” ..................................... 906(iii) “Non-building mortgage,” inter alia, registered

after first lienarising ............................................................. 907

(iv) “Non-building mortgage,” inter alia, registeredprior first lien arisingA. General priority ......................................... 908B. Subsequent advances .................................. 909C. The statutory “home buyer” ......................... 910

(3) Judgments and executions....................................................... 911(a) Sheltering .................................................................. 911.1

(4) Bankruptcy .......................................................................... 911.26. Condominium Legislation ............................................................... 9127. Assignment and Transmission of Claim of Lien .................................. 913


vi

8. Postponement ............................................................................... 9149. Expiry of Unregistered Claim of Lien ............................................... 91510. Expiry of Registered Claim of Lien .................................................. 91611. Extra-judicial Notice to Claimant to Commence Action

(1) Given by the owner ............................................................... 917(2) Notice, on request, given by the registrar ................................... 918

12. Discontinuance of Action................................................................ 91913. Dismissal of Action ....................................................................... 92014. Discharge of Lien ......................................................................... 92115. Withdrawal of Claim of Lien........................................................... 92216. Wrongful Registration of Claim of Lien............................................. 92317. Removal by Court of Claim of Lien on Payment or on Security

Being Given ................................................................................ 92418. Sale by or with Approval of the Court............................................... 92519. Foreclosure .................................................................................. 92620. Bankruptcy .................................................................................. 926.1

Chapter 21 Judgments and Writs of Execution1. Prefatory ..................................................................................... 9272. Certificate of Judgment

(1) British Columbia: prior to 31st October 1979.............................. 928(2) British Columbia: after 30th October 1979

(a) Prefatory ................................................................... 929(b) Registration ............................................................... 930(c) Effect of registration .................................................... 931(d) Assignment................................................................ 932(e) Death of judgment creditor ........................................... 933(f) Death of judgment debtor ............................................. 934(g) Postponement of registered judgment or writ of

execution................................................................... 935(h) Expiry of judgments .................................................... 936(i) Release ..................................................................... 937(j) Identity of judgment debtor ........................................... 938

3. Writ of Execution(1) Definition ............................................................................ 939(2) No execution against land if debt less than statutory minimum ....... 940(3) Receipt by registrar of writ ..................................................... 941(4) When debtor’s land bound by writ............................................ 942(5) Entry of writ in records of land titles office ................................ 943(6) Assignment.......................................................................... 944(7) Bail Act and Legal Aid Services Act, 1998 (Ontario) ................... 945(8) Expiry of writs of execution .................................................... 946(9) Priority of writ of execution issued on a judgment in the action...... 947(10) Satisfaction or discharge of writ ............................................... 948

4. Land — Ambit of Exigibility(1) Alberta ............................................................................... 949(2) Unregistered land .................................................................. 950(3) Saskatchewan ....................................................................... 951(4) Manitoba............................................................................. 952

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(5) Ontario ............................................................................... 953(6) Nova Scotia ......................................................................... 953.1

5. The “Similar or Identical Name” Problem(1) British Columbia................................................................... 954(2) Alberta and Saskatchewan....................................................... 955(3) Manitoba............................................................................. 956(4) Ontario ............................................................................... 957

6. Sale of Land by Sheriff(1) Prefatory ............................................................................. 958(2) Alberta and Saskatchewan....................................................... 959(3) British Columbia................................................................... 960(4) Manitoba............................................................................. 961(5) Ontario ............................................................................... 962

7. Sale by Sheriff of Registered Mortgage ............................................. 9638. No Severence of Joint Tenancy by Registration of Writ of Execution

or Judgment ................................................................................. 9649. Priority of Unregistered Mortgage over Registered Writ or Certificate

of Judgment ................................................................................. 96510. The So-called “Matrimonial Judgment” ............................................. 96611. Dower ........................................................................................ 96712. Priority of Floating Charge over Registered Judgment .......................... 96813. Judgment or Writ of Execution against Beneficiary .............................. 96914. Partnership Property ...................................................................... 97015. Writ of Extent .............................................................................. 971

Chapter 22 Compensation1. The Assurance Fund

(1) General ............................................................................... 972(2) British Columbia................................................................... 972.1

2. Compared with “Title Insurance”...................................................... 9733. Sources of the Fund....................................................................... 9744. The Statutory Conditions ................................................................ 9755. Mistake of Registrar ...................................................................... 9766. Deprivation of Land or Interest in It ................................................. 9777. Deprivation Consequent on Fraud..................................................... 978

(1) The voidable transaction......................................................... 979(2) The forgery.......................................................................... 980

8. Deprivation Consequent on Bringing Land under the Act ...................... 9819. Deprivation Consequent on Registration of Another Person as

Owner ........................................................................................ 98210. Deprivation by Error, Omission or Misdescription ............................... 98311. Paragraph deleted12. Reliance on Automated Index (Ontario) ............................................. 98513. Protection of Bona Fide Purchaser for Value ...................................... 98614. Omission, Mistake or Misfeasance of Registrar ................................... 987

(1) Error of judgment ................................................................. 988(2) Official searches of register ..................................................... 989

15. The Statutory Defendants................................................................ 99016. Claimant Required to Give Notice of Intended Action .......................... 991


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17. No Premature Entry of Final Judgment .......................................... 99218. When Costs Payable by Claimant ................................................. 99319. Admission or Compromise of Claim Without Action ........................ 99420. When Registrar Entitled to Assignment of Claimants’ Judgment ......... 99521. Limitation of Actions................................................................. 99622. Mines and Minerals ................................................................... 99723. Circumstances Excluding Liability

(1) Prefatory .......................................................................... 998(2) Breach of trust................................................................... 999(3) Double grants.................................................................... 1000(4) Misdescription................................................................... 1001(5) Shortage of acreage ............................................................ 1002(6) Equitable mortgage by deposit of duplicate certificate................ 1003(7) Provisional or substitute certificate of title............................... 1004(8) Expropriation .................................................................... 1005(9) Improper exercise of power of sale ........................................ 1006(10) Insufficient identification of execution debtor........................... 1007(11) Disclaimer of lease by trustee in bankruptcy ............................ 1008(12) Determination of lease ........................................................ 1009(13) Defect in foreclosure proceedings .......................................... 1010(14) Knowledge of registrar’s act allegedly causing damage .............. 1011(15) Contributory negligence ...................................................... 1012(16) Statutory exceptions to indefeasibility of title........................... 1013

24. The Infant Trustee..................................................................... 101425. Measure of Damages ................................................................. 101526. Right of Action under the Dower Act (Alberta)

(1) Prefatory .......................................................................... 1016(2) The remedy ...................................................................... 1017(3) Effect of payment by married person of judgment..................... 1018(4) Where judgment against married person not paid ...................... 1019

27. Covenant to Indemnify Assurance Fund......................................... 102028. New Home Warranties Plan ........................................................ 1021

PageAppendix 1 Manitoba Forms ........................................................................ MAN-1Appendix 2 British Columbia Forms for Manual Filing......................................... BC-1Appendix 3 Alberta Forms.......................................................................... ALTA-1Appendix 4 Ontario Forms............................................................................ ONT-1Appendix 5 Nova Scotia Forms ....................................................................... NS-1Land Registry Offices .................................................................................. LRO-1Proof of Facts ........................................................................................ PROOF-1

Words & Phrases .................................................................................... WP-1Index.................................................................................................... I-1

CONTENTS

ix (RTL) (Rel. 2, 2016)

REGISTRATION OF TITLE TO LAND -...

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