Updates

1. Trusts of Land and Appointment of Trustees Act 1996 (1996 c 47)

SCHEDULE 1 Provisions consequential on section 2

Minors

1

(1)     Where after the commencement of this Act a person purports to convey a legal estate in land to a minor, or two or more minors, alone, the conveyance—

(a)     is not effective to pass the legal estate, but

(b)     operates as a declaration that the land is held in trust for the minor or minors (or if he purports to convey it to the minor or minors in trust for any persons, for those persons).

(2)     Where after the commencement of this Act a person purports to convey a legal estate in land to—

(a)     a minor or two or more minors, and

(b)     another person who is, or other persons who are, of full age,

the conveyance operates to vest the land in the other person or persons in trust for the minor or minors and the other person or persons (or if he purports to convey it to them in trust for any persons, for those persons).

(3)     Where immediately before the commencement of this Act a conveyance is operating (by virtue of section 27 of the Settled Land Act 1925) as an agreement to execute a settlement in favour of a minor or minors—

(a)     the agreement ceases to have effect on the commencement of this Act, and

(b)     the conveyance subsequently operates instead as a declaration that the land is held in trust for the minor or minors.

2

Where after the commencement of this Act a legal estate in land would, by reason of intestacy or in any other circumstances not dealt with in paragraph 1, vest in a person who is a minor if he were a person of full age, the land is held in trust for the minor.

Family charges

3

Where, by virtue of an instrument coming into operation after the commencement of this Act, land becomes charged voluntarily (or in consideration of marriage [or the formation of a civil partnership]) or by way of family arrangement, whether immediately or after an interval, with the payment of—

(a)     a rentcharge for the life of a person or a shorter period, or

(b)     capital, annual or periodical sums for the benefit of a person,

the instrument operates as a declaration that the land is held in trust for giving effect to the charge.

Charitable, ecclesiastical and public trusts

4

(1)     This paragraph applies in the case of land held on charitable, ecclesiastical or public trusts (other than land to which the Universities and College Estates Act 1925 applies).

(2)     Where there is a conveyance of such land—

(a)     if neither [section 122(2) nor section 125(1) of the Charities Act 2011] applies to the conveyance, it shall state that the land is held on such trusts, and

(b)     [if section 122(2) or 125(1) of that Act applies to the conveyance but has not been complied with] and a purchaser has notice that the land is held on such trusts, he must see that any consents or orders necessary to authorise the transaction have been obtained.

(3)     Where any trustees or the majority of any set of trustees have power to transfer or create any legal estate in the land, the estate shall be transferred or created by them in the names and on behalf of the persons in whom it is vested.

Entailed interests

5

(1)     Where a person purports by an instrument coming into operation after the commencement of this Act to grant to another person an entailed interest in real or personal property, the instrument—

(a)     is not effective to grant an entailed interest, but

(b)     operates instead as a declaration that the property is held in trust absolutely for the person to whom an entailed interest in the property was purportedly granted.

(2)     Where a person purports by an instrument coming into operation after the commencement of this Act to declare himself a tenant in tail of real or personal property, the instrument is not effective to create an entailed interest.

Property held on settlement ceasing to exist

6

Where a settlement ceases to be a settlement for the purposes of the Settled Land Act 1925 because no relevant property (within the meaning of section 2(4)) is, or is deemed to be, subject to the settlement, any property which is or later becomes subject to the settlement is held in trust for the persons interested under the settlement.

2. Commonhold and Leasehold Reform Act 2002 (2002 c 15)

13 Joint unit-holders

(1)     Two or more persons are joint unit-holders of a commonhold unit if they are entitled to be registered as proprietors of the freehold estate in the unit (whether or not they are registered).

(2)     In the application of the following provisions to a unit with joint unit-holders a reference to a unit-holder is a reference to the joint unit-holders together—

(a)     . . .

(b)     section 15(1). . .,

(c)     . . .

(d)     section 20(1),

(e)     section 23(1),

(f)     section 35(1)(b), [and]

(g)     . . .

(h)     . . .

(i)     section 47(2).

(3)     In the application of the following provisions to a unit with joint unit-holders a reference to a unit-holder includes a reference to each joint unit-holder and to the joint unit-holders together—

(a)     section 1(1)(c),

[(aa)     section 14(3),

(ab)     section 15(3),]

(b)     section 16,

[(ba)     section 19(2) and (3),]

(c)     section 31(1)(b), (3)(b), (5)(j) and (7),

(d)     section 32(4)(a) and (c),

(e)     section 35(1)(a), (2) and (3),

(f)     section 37(2),

[(fa)     section 38(1),

[(faa)     section 38A(1),]

(fb)     section 39(2),]

(g)     section 40(1),and

(h)     section 58(3)(a).

(4)     Regulations under this Part which refer to a unit-holder shall make provision for the construction of the reference in the case of joint unit-holders.

(5)     Regulations may amend subsection (2) or (3).

(6)     Regulations may make provision for the construction in the case of joint unit-holders of a reference to a unit-holder in—

(a)     an enactment,

(b)     a commonhold community statement,

(c)     the [articles of association] of a commonhold association, or

(d)     another document.

14 Use and maintenance [, maintenance and building safety]

(1)     A commonhold community statement must make provision regulating the use of commonhold units.

(2)     A commonhold community statement must make provision imposing duties in respect of the insurance, repair and maintenance of each commonhold unit.

(3)     A duty under subsection (2) may be imposed on the commonhold association or the unit-holder.

[(4)     A commonhold community statement for a higher-risk commonhold must make provision requiring the commonhold association to comply with its duties under Part 4 of the Building Safety Act 2022, or regulations made under that Part of the Act, in relation to each commonhold unit.]

26 Use and maintenance [, maintenance and building safety]

[(1)]     A commonhold community statement must make provision—

(a)     regulating the use of the common parts;

(b)     requiring the commonhold association to insure the common parts;

(c)     requiring the commonhold association to repair and maintain the common parts.

[(2)     A commonhold community statement for a higher-risk commonhold must make provision requiring the commonhold association to comply with its duties under Part 4 of the Building Safety Act 2022, or regulations made under that Part of that Act, in relation to the common parts.]

Commonhold community statement

31 Form and content: general

(1)     A commonhold community statement is a document which makes provision in relation to specified land for—

(a)     the rights and duties of the commonhold association, and

(b)     the rights and duties of the unit-holders.

(2)     A commonhold community statement must be in the prescribed form.

(3)     A commonhold community statement may—

(a)     impose a duty on the commonhold association;

(b)     impose a duty on a unit-holder;

(c)     make provision about the taking of decisions in connection with the management of the commonhold or any other matter concerning it.

(4)     Subsection (3) is subject to—

(a)     any provision made by or by virtue of this Part, and

(b)     any provision of the [articles] of the commonhold association.

(5)     In subsection (3)(a) and (b) “duty” includes, in particular, a duty—

(a)     to pay money;

(b)     to undertake works;

(c)     to grant access;

(d)     to give notice;

[(da)     to give information;

(db)     to apply for grants or other funding;]

(e)     to refrain from entering into transactions of a specified kind in relation to a commonhold unit;

(f)     to refrain from using the whole or part of a commonhold unit for a specified purpose or for anything other than a specified purpose;

(g)     to refrain from undertaking works (including alterations) of a specified kind;

(h)     to refrain from causing nuisance or annoyance;

(i)     to refrain from specified behaviour;

(j)     to indemnify the commonhold association or a unit-holder in respect of costs arising from the breach of a statutory requirement.

(6)     Provision in a commonhold community statement imposing a duty to pay money (whether in pursuance of subsection (5)(a) or any other provision made by or by virtue of this Part) may include provision for the payment of interest in the case of late payment.

(7)     A duty conferred by a commonhold community statement on a commonhold association or a unit-holder shall not require any other formality.

(8)     A commonhold community statement may not provide for the transfer or loss of an interest in land on the occurrence or non-occurrence of a specified event.

(9)     Provision made by a commonhold community statement shall be of no effect to the extent that—

(a)     it is prohibited by virtue of section 32,

(b)     it is inconsistent with any provision made by or by virtue of this Part,

(c)     it is inconsistent with anything which is treated as included in the statement by virtue of section 32, or

(d)     it is inconsistent with the [articles of association] of the commonhold association.

32 Regulations

(1)     Regulations shall make provision about the content of a commonhold community statement.

(2)     The regulations may permit, require or prohibit the inclusion in a statement of—

(a)     specified provision, or

(b)     provision of a specified kind, for a specified purpose or about a specified matter.

(3)     The regulations may—

(a)     provide for a statement to be treated as including provision prescribed by or determined in accordance with the regulations;

(b)     permit a statement to make provision in place of provision which would otherwise be treated as included by virtue of paragraph (a).

(4)     The regulations may—

(a)     make different provision for different descriptions of commonhold association or unit-holder;

(b)     make different provision for different circumstances;

(c)     make provision about the extent to which a commonhold community statement may make different provision for different descriptions of unit-holder or common parts.

(5)     The matters to which regulations under this section may relate include, but are not limited to—

(a)     the matters mentioned in sections 11, 14, 15, 20, 21, 25, 26, 27, 38, [38A,] 39 and 58, and

(b)     any matter for which regulations under section 37 may make provision.

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