The K-Zone: interest (land and property)

A person with an interest in land or property has some right to the enjoyment of that property. Such interests range from the right of a shopper to enter a supermarket, to the right of a freehold houseowner to dispose of his property as he sees fit and to receive rent from his tenants.

Although the term is not well defined, it is possible to categorise interests in a number of different ways. Two important distinctions are between `equitable' and `legal' interests, and between interests that create an EstateInLand and those that do not.

Legal and equitable interests

A legal interest is controlled by the common law or by specific legislation, particularly the LawOfPropertyAct1925. An equitable interest is controlled by the practices of Equity. Historically actions for damages arising out of legal interests could be pursued in the ordinary common law courts, while actions on the basis of equitable interests required the intervention of the courts of equity. In the latter case, it would be necessary to show that the claim had some special grounds for being made in equity, rather than in law. These days, of course, the distinction between law and equity is blurred, if not dissolved, but the different interests continue to exist and to receive different treatment in court. Indeed, since 1925 the important of equity has increased, as the number of legal estates in land has been reduced to only two.

Estates and other interests

Not all interests in land create an EstateInLand. For example, many domestic accomodation arrangements are better described as licences (see: Licence). An estate is not particularly easy to define, but estates may broadly be distinguished from licences and other interests in a number of ways. See the entry for EstateInLand for a more detailed discussion.

LandAndPropertyLaw