# Document parsed from: Property_Law_Act_2007.pdf ## Page 1 Version as at 5 April 2025 # Property Law Act 2007 # Public Act 2007 No 91 Date of assent: 4 October 2007 Commencement: see section 2 # Contents | Section | Title | Page | | ------- | ------------------------------------------------------------------------ | ---- | | 1 | Title | 17 | | 2 | Commencement | 17 | | Part 1 | | | | 3 | Purpose | 17 | | 4 | Interpretation | 17 | | 5 | Meaning of certain references | 27 | | 6 | Attorney or agent may act | 27 | | 6A | Transitional, savings, and related provisions | 27 | | 7 | Act binds the Crown | 28 | | 8 | Application | 28 | | 8A | Act subject to application of Cape Town Convention and Aircraft Protocol | 28 | Note: The Parliamentary Counsel Office has made editorial and format changes to this version using the powers under subpart 2 of Part 3 of the Legislation Act 2019. Note 4 at the end of this version provides a list of the amendments included in it. This Act is administered by the Ministry of Justice. 1 ### Images from page 1: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_1.jpg` (full page screenshot) ## Page 2 # Property Law Act 2007 Version as at 5 April 2025 # Part 2 # General rules relating to dispositions, instruments, transactions, and property # Subpart 1—Deeds, powers of appointment, disclaimers, and powers of attorney | 9 | Deed must be in writing, executed, and delivered | 29 | | -- | ------------------------------------------------------------------------ | -- | | 10 | When deed comes into force | 30 | | 11 | Alterations after deed executed | 30 | | 12 | Attorney executing deed | 31 | | 13 | Contracts and other obligations entered into by bodies corporate | 31 | | 14 | Construction of supplementary or annexed deed | 31 | | 15 | Receipt for consideration in body of deed | 31 | | 16 | Powers of appointment | 31 | | 17 | Disclaimer of land | 32 | | 18 | Specific performance of voluntary promises made by deed | 32 | | 19 | Powers of attorney | 32 | | 20 | Power of attorney continues in force until notice of revocation received | 32 | | 21 | Irrevocable powers of attorney | 33 | | 22 | Person between 18 and 20 years may do certain things | 34 | | 23 | Construction of instruments | 34 | # Subpart 2—Writing required in certain cases | 24 | Contracts for disposition of land not enforceable unless in writing | 34 | | --- | ---------------------------------------------------------------------------- | -- | | 25 | Writing required for certain dispositions of interests in land | 35 | | 26 | Doctrine of part performance not affected | 35 | | 27 | Contracts of guarantee must be in writing | 35 | | 27A | Writing required for discharge of debt by acceptance of part in satisfaction | 36 | # Subpart 3—Sales and other similar transactions # Sale and purchase of land | 28 | Restriction on vendor’s right to cancel agreement, etc, if purchaser in possession | 36 | | -- | ---------------------------------------------------------------------------------------------------- | -- | | 29 | Requirements for vendor’s notice to purchaser | 37 | | 30 | Defects that do not invalidate vendor’s notice or prevent purchaser offering reasonable compensation | 38 | | 31 | Section 28 does not prevent or limit claims for damages | 38 | | 32 | Instruments have no effect so far as they conflict with section 28, 29, 30, or 31 | 38 | | 33 | Relief against cancellation of agreement for sale of land | 38 | | 34 | Section 33 replaces all other jurisdiction to grant relief | 39 | | 35 | Application for relief not to constitute admission | 39 | ### Images from page 2: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_2.jpg` (full page screenshot) ## Page 3 Version as at 5 April 2025 # Property Law Act 2007 # 36 Instruments have no effect so far as they conflict with section 33 or 39 # 37 Purchaser may apply for order requiring refund of deposit, etc, in respect of certain agreements # 38 Court awarding damages against purchaser must take into account relief granted under section 37 # 39 Agreements have no effect so far as they conflict with section 37 or 38 # 40 Purchaser of lease must treat lease conditions as having been observed if vendor produces copy of rent receipt # 41 Vendor must ensure record of title not limited or qualified as to title (whether or not also limited or qualified as to parcels) # Miscellaneous provisions # 42 Auction sales of property other than goods [Repealed] # 43 Later title not invalid because of defect in court order # 44 Certain instruments authorise payment to practitioner instead of party for whom practitioner acts # Subpart 4—Apportionment of periodical payments between vendors and purchasers # 45 Apportionments in respect of time # 46 Payment and recovery of apportioned part of periodical payment # 47 Apportionment of rent from property # Subpart 5—Assignment of things in action # 48 Interpretation # 49 Application of subpart # 50 How thing in action assigned # 51 Further consequences of assignment of thing in action # 52 Further provisions about assignments # 53 Assignment of amounts payable in future # Subpart 5A—Assignment of securities and rights of creditor to surety who pays debt # 53A Interpretation # 53B Surety who pays debt entitled to assignment of all securities held by creditor # 53C Rights of surety # 53D Rights of co-sureties, etc, as between themselves # Subpart 6—Other transactions # 54 Effect of no registration clause # 55 Tenants in common may declare that they are joint tenants # 56 Person may dispose of property to himself, herself, or itself ### Images from page 3: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_3.jpg` (full page screenshot) ## Page 4 Version as at Property Law Act 2007 5 April 2025 # Subpart 7—Abolition and modification of common law rules relating to property | 57 | Feudal incidents of estate in fee simple abolished | 49 | | --- | --------------------------------------------------------------------------- | -- | | 58 | Abolition of obsolete estates and rules | 49 | | 59 | Future estates and interests | 50 | | 59A | Transitional provision for maximum duration of future estates and interests | 50 | | 60 | Doctrine of interesse termini abolished | 50 | | 61 | Life estate in leasehold estate | 50 | | 62 | Creation and disposition of estates and interests in property | 51 | | 63 | Contingent remainders and interests | 51 | | 64 | When gifts over cease to be capable of taking effect | 51 | | 65 | Meaning of heirs and similar words | 52 | | 66 | Future interests to carry accumulated income | 52 | | 67 | Vendor has no lien | 53 | | 68 | Voluntary waste or equitable waste by life tenant or lessee | 53 | | 69 | Voluntary or equitable waste by co-owner | 53 | | 70 | Permissive waste abolished | 53 | | 71 | Release of part of land from rentcharge | 53 | | 72 | Body corporate may hold property as joint tenant | 54 | | 73 | Release and disclaimer of powers | 54 | | 74 | Power to appoint among different objects | 55 | | 74A | Recovery of payments made under mistake of law | 55 | | 74B | Payments made under mistake of law or fact not always recoverable | 55 | # Part 3 Mortgages # Subpart 1—General provisions | 75 | Application of Part | 56 | | -- | ------------------------------------------------------------------------------------------------------------------------------------------- | -- | | 76 | Application of sections 79, 92, 94, 95, and 96 | 56 | | 77 | Non-application of Part to security interests in consumer goods | 56 | | 78 | Provisions of Part are supplementary, but subject, to Personal Property Securities Act 1999 in relation to mortgages over personal property | 56 | # Subpart 2—Form and effect of mortgages | 79 | Mortgage over land to take effect as charge | 57 | | -- | -------------------------------------------------------- | -- | | 80 | No mortgage over land by deposit of instruments of title | 57 | | 81 | Right of mortgagor to bring proceeding against mortgagee | 57 | | 82 | Effect of advance on joint account | 57 | # Discharge, assignment, and variation of mortgages | 83 | Discharge of mortgage | 58 | | -- | ---------------------- | -- | | 84 | Assignment of mortgage | 58 | ### Images from page 4: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_4.jpg` (full page screenshot) ## Page 5 Version as at 5 April 2025 # Property Law Act 2007 # 85 Variation of mortgage 59 # 86 Effect of mortgage variation instrument 60 # Advances for protection and realisation of security # 87 Mortgage secures advances for protection and realisation of security 60 # 88 Priority extends to advances for protection and realisation of security 61 # Priority for further advances # 89 Priority of security for advances after subsequent mortgage comes into operation 61 # 90 Advance of specified principal amount after subsequent mortgage 61 # 91 Priority extends to further advances if mortgagee does not have actual notice of subsequent mortgage or is obliged to make further advances 62 # 92 Priority extends to further advances up to stated priority limit 62 # 93 Interpretation for purposes of sections 91 and 92 63 # 94 Transitional provisions for further advances 63 # Subpart 3—Covenants, conditions, and powers implied in mortgages # 95 Covenants implied in mortgages over land 64 # 96 Covenants implied in mortgages over goods (except inventory) 64 # Subpart 4—Redemption of mortgages # 97 Equity of redemption 64 # 98 Amounts secured include interest for unexpired portion of term 65 # 99 Mortgagor or other person seeking to redeem must give notice or pay interest in certain circumstances 65 # 100 Requirement to pay interest subject to credit contract legislation 65 # 101 Terms in instrument of no effect if less favourable 66 # 102 Request to mortgagee to transfer mortgage 66 # 103 Mortgagee must transfer mortgage after receiving request 66 # 104 Right to inspect instruments of title 66 # 105 Restriction on consolidation 66 # 106 Instruments have no effect so far as they conflict with section 102, 103, 104, or 105 67 # 107 Application for order of court directing sale of mortgaged property 67 # 108 Court may make order directing sale of mortgaged property 68 # 109 Redemption when mortgagee cannot be found, etc 68 # 110 Redemption by order of court 68 # 111 Certificates and orders operate as discharge of mortgage 69 # 112 Redemption by payment to Public Trust 70 # 113 Instruments of title must be delivered on production of Public Trust’s receipt or certificate 71 5 ### Images from page 5: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_5.jpg` (full page screenshot) ## Page 6 # Property Law Act 2007 Version as at 5 April 2025 # 114 Public Trust not liable if acts reasonably and in good faith # 115 Court may order discharge of mortgage if periodical payments secured are otherwise provided for # 116 Certificate operates as discharge of mortgage # Subpart 5—Restrictions on exercise of mortgagees’ powers # 117 Foreclosure abolished # 118 Mortgagee accepting interest after expiry of term not to call up without notice # 119 Notice must be given to current mortgagor of mortgaged land of exercise of powers, etc # 120 Form of notice under section 119 # 120A COVID-19 outbreak extension of remedial period: application [Repealed] # 120B COVID-19 outbreak extension of remedial period: extension [Repealed] # 120C COVID-19 outbreak extension of remedial period: notices [Repealed] # 120D COVID-19 outbreak extension of remedial period: enforcement [Repealed] # 120E COVID-19 outbreak extension of remedial period: proceedings [Repealed] # 121 Copy of notice under section 119 must be served on former mortgagor, covenantor, subsequent mortgagee, and caveator # 122 Notice of intention to recover deficiency in relation to mortgages over land # 123 Instruments have no effect so far as they conflict with section 119, 120, 121, or 122 # 124 Conditional sale of land permitted before expiry of notice # 125 Notice not required before exercising certain powers under mortgage debenture # 126 Court may grant leave to enter into possession of land, etc # 127 Transitional provisions for notices given or served before commencement of Act # 128 Notice must be given to current mortgagor of mortgaged goods of exercise of powers # 129 Form of notice under section 128(1) # 129A COVID-19 outbreak extension of remedial period: application [Repealed] # 129B COVID-19 outbreak extension of remedial period: extension [Repealed] # 129C COVID-19 outbreak extension of remedial period: notices [Repealed] # 129D COVID-19 outbreak extension of remedial period: enforcement [Repealed] ### Images from page 6: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_6.jpg` (full page screenshot) ## Page 7 Version as at 5 April 2025 # Property Law Act 2007 # 129E COVID-19 outbreak extension of remedial period: proceedings [Repealed] # 130 Copy of notice under section 128 must be served on former mortgagor, covenantor, and subsequent mortgagee # 131 Instruments have no effect so far as they conflict with section 128, 129, or 130 # 132 Notice of intention to recover deficiency in relation to mortgages over goods # 133 Instruments have no effect so far as they conflict with section 132 # 134 Conditional sale of goods permitted before expiry of notice # 135 Notice concerning goods not required in certain cases # 136 Court may grant leave to exercise power of sale of goods or to claim deficiency # Subpart 6—Mortgagees in possession # Entry into possession # 137 Exercise of power to enter into possession # 138 Mortgagee may not enter into or take physical possession if mortgagee has consented to lease # 139 When mortgagee becomes mortgagee in possession # 140 Mortgagees in possession of accounts receivable # Powers and obligations of mortgagees in possession # 141 Mortgagee in possession of leasehold estate or interest in land or of leased goods # 142 Mortgagee in possession of land may enter into lease # 143 Terms and conditions of lease entered into by mortgagee in possession # 144 Extent to which lease of land entered into by mortgagee in possession is binding on certain persons # 145 Mortgagee in possession may enter into lease of mortgaged land together with other land # 146 Registrar-General or other person need not inquire whether occasion has arisen authorising mortgagee to enter into lease # 147 Mortgagee in possession of land may exercise powers under lease # 148 Mortgagee in possession may manage land, goods, or accounts receivable # 149 Mortgagee in possession of land may harvest crops and timber # 150 Mortgagee in possession may protect or repair mortgaged land or goods # 151 Mortgagee in possession of land liable for waste # 152 Application of income received by mortgagee in possession # 153 Preferential claims # 154 Transitional provisions relating to preferential claims # 155 Mortgagee in possession to account to current mortgagor 7 ### Images from page 7: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_7.jpg` (full page screenshot) ## Page 8 # Property Law Act 2007 Version as at 5 April 2025 # 156 Notice of entry into possession of mortgaged land or goods # 157 Address to which notice to current mortgagor must be sent # 158 Public notice # 159 Current mortgagor to make information available and give reasonable assistance to mortgagee in possession # 160 Accounting records # 161 Mortgagee in possession must keep money relating to land, goods, or accounts receivable separate from other money # 162 First report by mortgagee in possession # 163 Further reports by mortgagee in possession # 164 Extension of time for preparing reports # 165 Persons entitled to receive reports # 166 Persons entitled to inspect reports # 167 Duty to notify breaches of other Acts # Withdrawal from possession # 168 Withdrawal of mortgagee from possession # 169 Mortgagee who has withdrawn from possession not entitled to receive income after withdrawal # 170 Withdrawal with consent of court # 171 Withdrawal by direction of court # 172 Restriction on re-entry into possession after withdrawal # 173 Notice that mortgagee has withdrawn from possession # Protection for directors # 174 Defences available to directors in proceedings for offences under this subpart # Application of various provisions to mortgagees who entered into possession before 1 January 2008 # 175 Application of various provisions to mortgagees who entered into possession before commencement of Act # Subpart 7—Mortgagees’ power of sale # Exercise of power of sale # 176 Duty of mortgagee exercising power of sale # 177 No defence or indemnity # 178 Powers incidental to power of sale # 179 Mortgagee may adopt agreement for sale and purchase # 180 Court may authorise land and minerals to be dealt with separately # 181 Powers incidental to power to sell land, mines, or minerals # 182 Sale together with other property at single price # 183 Mortgagee may transfer or assign mortgaged property to purchaser # 184 Protection of purchaser at sale by mortgagee # 185 Application of proceeds of sale of mortgaged property 8 ### Images from page 8: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_8.jpg` (full page screenshot) ## Page 9 Version as at 5 April 2025 # Property Law Act 2007 # 186 Payment of surplus to the Crown if current mortgagor cannot be found # 187 Sale by mortgagee through Registrar # 188 Application for sale under section 187 # 189 Vendor mortgagee must nominate discharge sum # 190 Registrar to arrange sale # 191 Advertising of sale # 192 Registrar may consent to correction of defect or error # 193 Withdrawal of land from sale # 194 Registrar’s fees, expenses, and commission # 195 Current mortgagor or other person may redeem on payment of nominated discharge sum # 196 Mortgagee may purchase at sale through Registrar # 197 Effect of transfer executed or registered under section 196 # 198 Registration of transfer instrument # 199 Applications for sale of mortgaged land by Registrar made before commencement of Act # 200 Sale by mortgagee through court # 201 Application for assistance must be served on certain persons # 202 Miscellaneous matters concerning orders under section 200 # Subpart 8—Liability to mortgagee of person who accepts transfer, assignment, or transmission of land subject to mortgage # 203 Person who accepts transfer, assignment, or transmission of land personally liable to mortgagee # 204 Liability of former mortgagor not extinguished # 205 Administrator or trustee liable only to extent of assets of estate or trust # Part 4 # Leases of land # Subpart 1—General provisions # 206 Application of Part # 207 Interpretation # Subpart 2—Form, duration, and effect of leases # 208 Short-term lease: form # 209 Short-term lease: effect # 210 Implied term of lease if no other term agreed # 211 Obligations of lessee to remain in force if lessee remains in possession of land with lessor’s consent after term of lease has expired # 212 Lease terminating on occurrence of future event ### Images from page 9: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_9.jpg` (full page screenshot) ## Page 10 Version as at Property Law Act 2007 5 April 2025 # 213 Lessee remaining in possession without consent of lessor, or lessor accepting rent, after termination of lease # 214 Notice by joint tenants # 215 Sublease for same or longer term as term of superior lease # 216 Surrender of lease to enable new superior lease to be entered into not to affect sublease # Subpart 3—Covenants, conditions, and powers implied in leases # 217 Application of sections 218 to 220 # 218 Covenants, conditions, and powers implied in all leases # 219 Covenant implied in leases (except unregistered short-term leases) # 220 Covenant implied in unregistered short-term leases # 221 Reference to usual covenants # 222 Time for payment of rent # 223 Effect of covenant to keep premises in good condition # 224 Consent not to be unreasonably withheld or delayed # 225 Application of sections 226 to 228 # 226 Consent to assignment, etc, or change of use # 227 When consent is unreasonably withheld # 228 Damages may be recovered from lessor if consent is unreasonably withheld # 229 Instruments have no effect so far as they conflict with section 225, 226, 227, or 228 # Subpart 4—Effect on leases of transactions concerning reversion # 230 Merger of reversion not to affect remedies # 231 Burden of lessor’s covenants to run with reversion # 232 Rights under lease to which section 233 applies # 233 Benefit of lessee’s covenants to run with reversion # 234 When rights arising from covenants may be exercised # 235 Rights and obligations under lease after severance # 236 Notice of termination of lease after severance # 237 Effect of payment by lessee to assignor of reversion # 238 Effect of acknowledgement by lessee of another person as lessor # Subpart 5—Effect of transfer or assignment of leases # 239 Application of subpart # 240 Transferee or assignee becomes lessee # 241 Transferor or assignor remains liable # 242 Covenant implied in transfer or assignment of lease # Subpart 6—Remedies and relief # Cancellation of leases # 243 Sections 244 to 264 to be code # 244 Cancellation of lease for breach of covenant or condition: general # 245 Cancellation of lease for breach of covenant to pay rent ### Images from page 10: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_10.jpg` (full page screenshot) ## Page 11 Version as at 5 April 2025 # Property Law Act 2007 # 245A COVID-19 outbreak extension of applicable periods: application [Repealed] # 245B COVID-19 outbreak extension of applicable periods: extensions [Repealed] # 245C COVID-19 outbreak extension of applicable periods: notices [Repealed] # 245D COVID-19 outbreak extension of applicable periods: enforcement [Repealed] # 245E COVID-19 outbreak extension of applicable periods: proceedings [Repealed] # 245F COVID-19 outbreak further measures: application [Repealed] # 245G COVID-19 outbreak further measures: covenant implied [Repealed] # 245H COVID-19 outbreak further measures: enforcement [Repealed] # 245I COVID-19 outbreak further measures: proceedings [Repealed] # 246 Cancellation of lease for breach of other covenants # 247 Defects that do not invalidate notice of intention to cancel lease # 248 Application to court for possession of land made before expiry of period of notice of intention to cancel lease # 249 Consequences of serving on lessee notice of intention to cancel lease under section 245 or 246 # 250 Acceptance of rent by lessor after notice of intention to cancel lease given not to operate as waiver of lessor’s rights # 251 Powers of court in making order for possession # 252 Effect of sections 244 to 251 # 253 Relief against cancellation of lease for breach of covenant or condition # 254 Mortgagee or receiver may apply for extension of time for bringing proceedings # 255 Application for relief not to constitute admission # 256 Powers of court on application for relief # 257 Effect of order granting relief against cancellation of lease # 258 Protection of sublessee on cancellation of superior lease # 259 Interested person may apply for extension of time for bringing proceedings # 260 Powers of court on application for relief by sublessee # 261 Relief against lessor’s refusal to enter into renewal or sell reversion to lessee # 262 How application under section 261 for relief under section 264 to be made # 263 Matters lessee must be informed of by notice # 264 Relief court may grant on application # 265 Abolition of right to distrain Right to distrain abolished 11 ### Images from page 11: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_11.jpg` (full page screenshot) ## Page 12 # Property Law Act 2007 Version as at 5 April 2025 # Miscellaneous matters | 266 | Removal of fixtures by lessee | 145 | | --- | --------------------------------------------------------------------------------------------------------------- | --- | | 267 | Effect of unlawful eviction on lessee’s obligations | 146 | | 268 | Application of sections 269 and 270 | 147 | | 269 | Exoneration of lessee if lessor is insured | 147 | | 270 | Rights of lessor if insurance for leased premises or land is affected by negligence of lessee or lessee’s agent | 148 | | 271 | Lessee may acknowledge lessor has not insured, or fully insured, premises | 148 | | 272 | Instruments have no effect so far as they conflict with section 269, 270, or 271 | 149 | | 273 | Effect of waiver | 149 | # Subpart 7—Miscellaneous | 274 | Administrator not personally liable | 149 | | --- | ----------------------------------- | --- | # Part 5 # Covenants, easements, profits, and access lots # Subpart 1—Covenants: nature and effect | 275 | Sections 276 to 278 apply to covenants express or implied | 150 | | ---- | ------------------------------------------------------------------------------------------------------------- | --- | | 276 | Effect of covenants made by 2 or more covenantors | 150 | | 277 | Effect of covenants for benefit of 2 or more covenantees | 150 | | 277A | Certain covenants void | 150 | | 278 | Covenants persons made with themselves | 151 | | 279 | Construction and variation, etc, of implied covenants | 151 | | 280 | Covenants implied by this Act are generally cumulative | 152 | | 281 | Only by enactments can covenants be implied as matter of law in certain instruments relating to property, etc | 152 | # Subpart 2—Covenants implied in certain instruments | 282 | Application of subpart | 152 | | --- | -------------------------------------------------------------------------------------------------- | --- | | 283 | Covenants implied unless contrary intention expressed | 152 | | 284 | Covenants implied in instruments creating, transferring, or assigning estates or interests in land | 152 | | 285 | Covenant implied in instruments transferring or assigning lease of land | 153 | | 286 | Covenants implied in instruments by fiduciary or mortgagee | 153 | | 287 | When person executes instruments in fiduciary capacity for purposes of section 286 | 153 | | 288 | Covenants implied in encumbrances of property | 154 | | 289 | Covenant implied in transfers or assignments of land subject to encumbrance | 154 | | 290 | Restriction on liability of certain administrators or trustees on covenant under section 289 | 154 | ### Images from page 12: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_12.jpg` (full page screenshot) ## Page 13 Version as at 5 April 2025 # Property Law Act 2007 # Subpart 3—Easements, profits, and access lots # Creation, benefits, burdens, apportionment, etc, of easements, etc | 291 | Easements in gross permitted | 155 | | --- | ------------------------------------------------------------------------------------------------------------ | --- | | 292 | Easement includes profit, etc, in sections 293 to 296 | 155 | | 293 | Easements, etc, granted for fixed term: benefits | 155 | | 294 | Easements, etc, granted for fixed term: burden | 156 | | 295 | Easements, etc, granted for fixed term: apportionment after severance of reversion as regards land or estate | 156 | | 296 | Easements, etc, can no longer be acquired by prescription | 156 | # Vehicular rights of way | 297 | Covenants implied in grant of vehicular right of way | 157 | | --- | ---------------------------------------------------- | --- | # Access lots | 298 | Rights of proprietors of access lot that is or includes driveway or proposed driveway | 158 | | --- | ------------------------------------------------------------------------------------- | --- | # Light or air | 299 | Grant of easement of light or air | 158 | | --- | ---------------------------------- | --- | | 300 | Effect of easement of light or air | 159 | # Subpart 4—Covenants: operation # Positive and restrictive covenants (benefiting land) | 301 | Construction of covenants relating to land: benefits | 160 | | --- | ------------------------------------------------------------------------------------------------------- | --- | | 302 | Construction of covenants relating to land: burdens | 160 | | 303 | Legal effect of covenants running with land | 160 | | 304 | Whether, and to what extent, administrator bound by covenant to which section 303 applies | 161 | | 305 | How rights under covenant to which section 303 applies rank in relation to other unregistered interests | 162 | | 306 | Certain duties under, and law on, restrictive covenants not limited or affected by section 303 | 162 | | 307 | Notation of covenants | 162 | # Covenants in gross | 307A | Covenants in gross | 163 | | ---- | ----------------------------------------------------------------------------------- | --- | | 307B | Construction of covenant in gross | 164 | | 307C | Legal effect of covenant in gross | 164 | | 307D | Whether, and to what extent, administrator bound by covenant in gross | 165 | | 307E | How rights under covenant in gross rank in relation to other unregistered interests | 165 | | 307F | Notation of covenants in gross | 165 | 13 ### Images from page 13: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_13.jpg` (full page screenshot) ## Page 14 # Property Law Act 2007 Version as at 5 April 2025 # Subpart 5—Easements, covenants, and access lots: enforcement, modification, and extinguishment # Enforcement of covenants benefiting land by giving notice of work required | 308 | Person entitled may give notice of work required | 166 | | --- | --------------------------------------------------------------- | --- | | 309 | Requirements for notice served under section 308 | 166 | | 310 | Person bound who does not agree may serve cross-notice | 167 | | 311 | Circumstances in which person bound is not liable | 167 | | 312 | Person entitled or person bound ceasing to be owner or occupier | 167 | # Enforcement, modification, and extinguishment of easements, covenants benefiting land, and access lots by order of court | 313 | Court may enforce easements and positive or restrictive covenants | 168 | | --- | ------------------------------------------------------------------------------------------------------------ | --- | | 314 | Duties of court making order under section 313(1)(e) on sharing of cost of work under vehicular right of way | 169 | | 315 | Application of sections 313 and 317, etc, to access lots | 169 | | 316 | Application for order under section 317 | 169 | | 317 | Court may modify or extinguish easement or covenant | 170 | | 318 | Registration and recording of orders under section 317 | 171 | # Enforcement, modification, and extinguishment of covenants in gross | 318A | Application of sections 308 to 312 to positive covenants in gross | 171 | | ---- | ----------------------------------------------------------------- | --- | | 318B | Application of section 313 to covenants in gross | 172 | | 318C | Application for order under section 318D | 172 | | 318D | Court may modify or extinguish covenant in gross | 172 | | 318E | Registration and recording of orders under section 318D | 173 | # Part 6 # Special powers of court # Subpart 1—Entry onto neighbouring land | 319 | Owner or occupier of land may apply to court for order authorising entry onto or over neighbouring land | 174 | | --- | ------------------------------------------------------------------------------------------------------- | --- | | 320 | Powers of court making order authorising entry onto or over neighbouring land | 174 | # Subpart 2—Wrongly placed structures | 321 | Interpretation | 175 | | --- | ----------------------------------------------------------------- | --- | | 322 | Certain persons may apply for relief for wrongly placed structure | 176 | | 323 | Court may grant relief for wrongly placed structure | 176 | | 324 | Matters court may consider in determining application for relief | 177 | | 325 | Orders court may make | 177 | # Subpart 3—Landlocked land | 326 | Interpretation | 179 | | --- | ------------------------------------------------------- | --- | | 327 | Owner or occupier of landlocked land may apply to court | 179 | 14 ### Images from page 14: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_14.jpg` (full page screenshot) ## Page 15 Version as at 5 April 2025 # Property Law Act 2007 # 328 Court may grant reasonable access to landlocked land # 329 Matters court must consider in determining application for order for reasonable access # 330 Court may impose conditions in making order for reasonable access # 331 Costs of work giving effect to order # Subpart 4—Trees and unauthorised improvements on neighbouring land # 332 Application of this subpart # 333 Court may order removal or trimming of trees or removal or alteration of structures # 334 Owner or occupier of land may apply for order under section 333 # 335 Matters court may consider in determining application for order under section 333 # 336 Further considerations relating to trees # 337 Court may impose conditions in making order under section 333 # 338 Completion of work required by order under section 333 # Subpart 5—Division of property among co-owners # 339 Court may order division of property # 340 Order under section 339(1)(b) subject to restrictions on subdivision of land # 341 Application for order under section 339(1) # 342 Relevant considerations # 343 Further powers of court # Subpart 6—Setting aside of dispositions that prejudice creditors # 344 Purpose of this subpart # 345 Interpretation # 346 Dispositions to which this subpart applies # 347 Application for order under section 348 # 348 Court may set aside certain dispositions of property # 349 Protection of persons receiving property under disposition # 350 Person in or to whom order under section 348 vests property or makes compensation for it payable # Powers relating to vesting orders # 350A Vesting order consequential on order for sale or mortgage of land # 350B Vesting order consequential on judgment for specific performance # 350C Court may appoint person to convey trust property 15 ### Images from page 15: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_15.jpg` (full page screenshot) ## Page 16 # Property Law Act 2007 Version as at 5 April 2025 # Part 7 # Miscellaneous provisions # Land not owned by the Crown and not under Land Transfer Act 2017 | 351 | Application of Schedule 6 | 194 | | --- | ----------------------------------------------------------------------------- | --- | | 352 | Documents to which section 353 applies | 195 | | 353 | How documents in section 352 to be given or served | 195 | | 354 | How other documents to be given or served | 196 | | 355 | Person to or on whom document to be given or served in special cases | 196 | | 356 | Sections 353 to 355 and service in legal proceedings | 197 | | 357 | Orders dispensing with, or directing manner of, service | 197 | | 358 | Agent defined for purposes of sections 353 and 355 | 197 | | 359 | Manner of giving or serving notices | 198 | | 360 | Receipt for purposes of section 359 | 198 | | 361 | Time of service if more than 1 person to be served | 198 | | 362 | Jurisdiction of District Court | 199 | | 363 | Regulations | 200 | | 364 | Consequential amendments | 200 | | 365 | Imperial enactments relating to property no longer part of law of New Zealand | 200 | | 366 | Property Law Act 1952 and 2 related Acts repealed | 202 | | 367 | Existing matters, proceedings, and instruments | 202 | | 368 | Distraint may be completed | 203 | | 369 | Transitional provisions relating to Insolvency Act 2006 | 203 | | 370 | Transitional provisions relating to Companies Amendment Act 2006 | 203 | | 371 | Transitional provision relating to Insolvency (Cross-border) Act 2006 | 204 | # Schedule 1AA Transitional, savings, and related provisions # Schedule 1 Form of certificate of non-revocation of power of attorney # Schedule 2 Covenants implied in mortgages # Schedule 3 Covenants, conditions, and powers implied in leases of land ### Images from page 16: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_16.jpg` (full page screenshot) ## Page 17 Version as at 5 April 2025 # Property Law Act 2007 # Part 1 s 4 # Schedule 4 Covenants implied in certain instruments # Schedule 5 Covenants implied in grants of vehicular rights of way # Schedule 6 Provisions applying to land not owned by the Crown and not under Land Transfer Act 2017 # Schedule 7 Consequential amendments # 1 Title This Act is the Property Law Act 2007. # 2 Commencement This Act comes into force on 1 January 2008. # Part 1 # Preliminary provisions # 3 Purpose The purpose of this Act is to restate, reform, and codify (in part) certain aspects of the law relating to real and personal property. # 4 Interpretation In this Act, unless the context otherwise requires,— - acceleration clause means an express or implied term in an instrument which provides that, if there is a default, any amounts secured by a mortgage become payable (or may be called up as becoming payable) earlier than would be the case if there had not been a default - access lot, in sections 298 and 315 and in relation to a subdivision, means a separate allotment— - - (a) in the subdivision; and - (b) that was created to provide access— account receivable has the same meaning as in the Personal Property Securities Act 1999 ### Images from page 17: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_17.jpg` (full page screenshot) ## Page 18 Version as at Part 1 s 4 Property Law Act 2007 5 April 2025 # Definitions address, in relation to a person, means the actual or last-known place of residence or business of the person administrator has the same meaning as in the Administration Act 1969 at risk has the same meaning as in section 109(2) of the Personal Property Securities Act 1999 bankrupt— - (a) means a person who is adjudged bankrupt; and - (b) includes a deceased person’s estate administered under Part 6 of the Insolvency Act 2006 company has the same meaning as in the Companies Act 1993 consumer goods has the same meaning as in the Personal Property Securities Act 1999 conveyance includes any deed of assignment, appointment, lease, settlement, or other assurance by deed of any property co-owner means a tenant in common or a joint tenant court, in relation to any matter, means the court before which the matter falls to be determined covenant means a promise expressed or implied in— - (a) an instrument; or - (b) a short-term lease not made in writing covenantor, in relation to a mortgage,— - (a) means a person, other than the mortgagor, who has agreed to pay money or perform obligations secured by the mortgage; and - (b) includes a guarantor creditor includes— - (a) a person who is a creditor within the meaning of section 240 of the Companies Act 1993; and - (b) a person who can prove a debt under the Insolvency Act 2006 current mortgagor, in relation to mortgaged property, means a mortgagor who is currently the owner of the property debenture, except in the term mortgage debenture, means a secured or unsecured debenture default means— - (a) a failure— ### Images from page 18: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_18.jpg` (full page screenshot) ## Page 19 Version as at 5 April 2025 # Property Law Act 2007 # Part 1 s 4 (b) any other event (other than the arrival of the due date) on the occurrence of which any amounts secured by an instrument become payable, or may be called up as becoming payable, under any express or implied term in the instrument deficiency, in relation to a sale of land or goods under a power of sale expressed or implied in a mortgage, means any amount by which the amount received on the sale and available to a mortgagee in accordance with section 185 is less than the amount secured by the mortgage and then owing to the mortgagee director,— - (a) in relation to a company, means any person occupying the position of director of the company, by whatever name called; and - (b) in relation to a body corporate other than a company or a corporation sole, includes a person occupying a position in the body corporate that is comparable with that of a director of a company; or - (c) in relation to a corporation sole, means the holder of the office constituted as the corporation sole discharge sum means the sum nominated by a vendor mortgagee under section 189 disposition— - (a) means any sale, mortgage, transfer, grant, partition, exchange, lease, assignment, surrender, disclaimer, appointment, settlement, or other assurance; and - (b) includes the creation of— - - (i) an easement, profit à prendre, or any other interest in property; and - (ii) a trust in the lifetime of the settlor or by will, and a devise, bequest, or appointment by will in respect of property; but (c) in subpart 6 of Part 6, has the meaning given to that term by section 345(2) encumbrance includes a mortgage, a trust securing the payment of money, or a lien former mortgagor, in relation to mortgaged property, means a person who has ceased to be the owner of the property, but remains personally liable to the mortgagee for the payment of any amounts or the performance of any obligations secured by the mortgage goods has the same meaning as in the Personal Property Securities Act 1999 income, in relation to land, includes rents and profits ### Images from page 19: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_19.jpg` (full page screenshot) ## Page 20 Version as at Part 1 s 4 Property Law Act 2007 5 April 2025 instrument— - (a) means any use of words, figures, or symbols (for example, an agreement, contract, deed, grant, or memorandum, or some other document that is certified, executed, or otherwise approved by or on behalf of a party or parties, or a judgment, order, or process of a court) that— - - (i) creates, evidences, modifies, or extinguishes legal or equitable rights, interests, or liabilities (without being lodged, filed, or registered under an enactment, or after being so lodged, filed, or registered, or both); and - (ii) is in a visible and tangible form and medium (for example, in handwriting, print, or both), or is in an electronic form in accordance with Part 4 of the Contract and Commercial Law Act 2017 or the Land Transfer Act 2017; and (b) [Repealed] - (c) includes any covenant expressed or implied (under this or any other enactment) in, and any variation of, any instrument as defined in paragraph (a) or (b); but - (d) does not include an enactment (though it may be in a form prescribed by one, or have covenants or terms implied in it under one, or both) inventory has the same meaning as in the Personal Property Securities Act 1999 joint tenants, in Part 4, includes tenants in common land includes all estates and interests, whether freehold or chattel, in real property land not under the Land Transfer Act 2017 means land other than land referred to in section 4 of that Act land under the Land Transfer Act 2017 means all land referred to in section 4 of that Act lease means a lease of property, whether registered or unregistered, and includes a short-term lease and an agreement to lease lessee means a person who enters into a lease as lessee, and includes a person who has accepted a transfer or assignment of a lease lessor— - (a) means a person who enters into a lease as lessor; but - (b) if there has been a transfer or assignment of the reversion expectant on the lease, means a person who has accepted the transfer or assignment mortgage includes— - (a) any charge over property for securing the payment of amounts or the performance of obligations; and ### Images from page 20: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_20.jpg` (full page screenshot) ## Page 21 Version as at 5 April 2025 # Property Law Act 2007 # Part 1 s 4 (b) any registered mortgage; and (c) any mortgage arising under a mortgage debenture mortgage debenture means an instrument creating a charge on property of a body corporate that comprises all, or substantially all, of the assets of the body corporate mortgagee— - (a) means a person to whom a mortgage is given as mortgagee; but - (b) if the mortgage has been assigned, means the assignee of the mortgage for the time being mortgagee in possession— - (a) means a mortgagee who has exercised a power to enter into possession of mortgaged land or goods in accordance with section 137; and - (b) includes a mortgagee who is treated, under section 140, as a mortgagee in possession of accounts receivable; and - (c) in sections 87, 152 to 154, 168 to 171, 175, and 185, includes a mortgagee who— mortgagor means a person who is the owner of property that is subject to a mortgage new value has the same meaning as in the Personal Property Securities Act 1999 occupier, in relation to land,— - (a) in subparts 4 and 5 of Part 5, subparts 2 and 3 of Part 6, and Schedule 5, means— ### Images from page 21: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_21.jpg` (full page screenshot) ## Page 22 Version as at Part 1 s 4 Property Law Act 2007 5 April 2025 (ii) if there is no occupier within the meaning of subparagraph (i) but there is a mortgagee in possession, means the mortgagee in possession; or (iii) if there is no occupier within the meaning of subparagraph (i) or (ii) but a receiver appointed by the mortgagee is exercising powers to manage the land or demand and recover income from it, means the receiver; but (iv) does not include any other person for the time being occupying the land: (b) in subpart 1 of Part 6, has the meaning given to that term by paragraph (a), except that the reference to a lease or licence for a term of not less than 10 years certain is to be read— (i) in relation to land of an applicant, as a reference to a lease or licence for a term of not less than 1 year certain; and (ii) in relation to neighbouring land, as a reference to a lease or licence for a term of any length: (c) in subpart 4 of Part 6, has the meaning given to that term by paragraph (a), except that the reference to a lease or licence for a term of not less than 10 years certain is to be read as a reference to a lease or licence for a term of not less than 1 year certain. Official Assignee has the same meaning as in the Insolvency Act 2006. overseas company means a body corporate that is incorporated outside New Zealand. owner,— (a) in subparts 4 and 5 of Part 5 and in Part 6, in relation to land, means— (i) the holder of an estate in fee simple or a life interest in the land; or (ii) the holder of a licence to occupy the land within the meaning of section 122 of the Land Transfer Act 2017; or (iii) the holder of a deferred payment licence under section 65 of the Land Act 1948; and (b) in relation to a public reserve, includes the local authority, trustees, or persons having control of the reserve. periodical payment— (a) means a payment (whether described as rent, rentcharge, salary, pension, bonus, dividend, interest, outgoing, or otherwise) that— (i) is payable by a person to another person (whether or not in respect of a fixed or ascertainable period); and ### Images from page 22: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_22.jpg` (full page screenshot) ## Page 23 Version as at 5 April 2025 # Property Law Act 2007 # Part 1 s 4 (ii) is in the nature of income (and not in the nature of an instalment of a purchase price, repayment of capital, or capital gain) in the hands of the recipient; but (b) does not include an annual sum payable to a person entitled to it under a policy of assurance of any description # person bound means, in relation to an easement, a positive covenant, a restrictive covenant, or a covenant in gross (as defined by section 307A) burdening land, an owner or occupier of the land against whom the easement or covenant is enforceable # person entitled means,— (a) in relation to an easement, a positive covenant, or a restrictive covenant benefiting land, an owner or occupier of the land who is entitled to enforce the easement or covenant: (b) in relation to a covenant in gross (as defined by section 307A), a person who benefits from and is entitled to enforce the covenant # person entitled to redeem in relation to mortgaged property,— (a) means a person with an interest in the mortgaged property and entitled to redeem it; and (b) includes the current mortgagor, any former mortgagor, and any covenantor # positive covenant means a covenant, including an express or implied covenant in an easement, under which the covenantor undertakes to do something in relation to the covenantor’s land that would beneficially affect the value of the covenantee’s land or the enjoyment of the covenantee’s land by any person occupying it # property (a) means everything that is capable of being owned, whether it is real or personal property, and whether it is tangible or intangible property; and (b) includes any estate or interest in property; and (c) in subpart 6 of Part 6, has the extended meaning given to that term in section 345(2) # proprietor in sections 298 and 315 and in relation to an access lot, means a registered owner of— (a) 1 or more undivided shares in the access lot; and (b) 1 or more of the allotments served by the access lot # Public Trust has the same meaning as in the Public Trust Act 2001 # purchase money security interest has the same meaning as in the Personal Property Securities Act 1999 23 ### Images from page 23: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_23.jpg` (full page screenshot) ## Page 24 Version as at Part 1 s 4 Property Law Act 2007 5 April 2025 receiver— (a) means a receiver, or a manager, or a receiver and manager of any property (with or without power to sell any of the property in receivership) appointed— (i) by or under any deed or agreement; or (ii) by a court in the exercise of a power conferred on the court or in the exercise of its inherent jurisdiction; but (b) does not include a mortgagee in possession or the agent of a mortgagee in possession redeem, in relation to mortgaged property, includes the right to have the property discharged from a mortgage over the property registered,— (a) in relation to an instrument concerning land under the Land Transfer Act 2017, means land registered under that Act: (b) in relation to an instrument concerning land that is not under the Land Transfer Act 2017, means registered under the Deeds Registration Act 1908: (c) in relation to an instrument concerning a ship, means— (i) registered in the New Zealand Register of Ships established under the Ship Registration Act 1992; or (ii) recorded in a financing statement registered in the personal property securities register kept under the Personal Property Securities Act 1999; or (iii) both: (d) in relation to an instrument concerning quota within the meaning of the Fisheries Act 1996, means registered under that Act: (e) in relation to an instrument concerning management rights or spectrum licences within the meaning of the Radiocommunications Act 1989, means registered under that Act: (f) in relation to an instrument concerning a policy within the meaning of section 41 of the Life Insurance Act 1908, means registered under that Act: (g) in relation to an instrument concerning personal property other than property referred to in paragraphs (c) to (f), means recorded in a financing statement registered in the personal property securities register kept under the Personal Property Securities Act 1999 Registrar,— (a) in sections 24, 108, 164, 176, 178, 183, 187 to 194, 196, 197, 199, and 200, means the Registrar of the High Court: 24 ### Images from page 24: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_24.jpg` (full page screenshot) ## Page 25 Version as at 5 April 2025 # Property Law Act 2007 # Part 1 s 4 (b) in sections 111(1) and 116, means the Registrar of the court before which the matter falls to be determined: (c) in sections 156, 165, 167, and 173,— - (i) in relation to a company or an overseas company, means the Registrar of Companies appointed in accordance with section 357(1) of the Companies Act 1993: - (ii) in relation to a society registered under the Industrial and Provident Societies Act 1908, means the Registrar of Industrial and Provident Societies: - (iii) in relation to a society registered under the Incorporated Societies Act 1908, means the Registrar of Incorporated Societies: - (iv) in relation to a friendly society or a credit union registered or incorporated under the Friendly Societies and Credit Unions Act 1982, means the Registrar of Friendly Societies and Credit Unions: - (v) in relation to any other body corporate registered under an enactment, means a person discharging the powers, functions, and duties of a registrar under that enactment Registrar-General means the Registrar-General of Land rentcharge means a rent secured by a mortgage over land restrictive covenant means— - (a) a covenant, including a covenant expressed or implied in an easement, under which the covenantor undertakes to refrain from doing something in relation to the covenantor’s land which, if done, would detrimentally affect the value of the covenantee’s land or the enjoyment of that land by any person occupying it; or - (b) a restrictive covenant in gross expressed or implied in an easement security interest has the same meaning as in the Personal Property Securities Act 1999 short-term lease has the meaning given to that term by section 207 signed, in relation to a body corporate, means— - (a) executed by the body corporate as provided in section 9(4); or - (b) signed on behalf of the body corporate by a person acting under its express or implied authority structure,— - (a) in Part 6, means any building, driveway, path, retaining wall, fence, plantation, or other improvement; and - (b) in subpart 2 of Part 6, has the extended meaning given to that term by section 321 25 ### Images from page 25: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_25.jpg` (full page screenshot) ## Page 26 Version as at Part 1 s 4 Property Law Act 2007 5 April 2025 # Definitions superior lease means a lease in respect of which a sublease is entered into. territorial authority, in relation to land, means the territorial authority (within the meaning of the Local Government Act 2002) of the district in which the land is situated. vehicular right of way means an easement— 1. entitling the owner or occupier of the land benefited by the easement to pass with vehicles over the land burdened by the easement; and 2. created by— 3. an instrument registered under the Land Transfer Act 2017; or 4. a contract or arrangement that is otherwise enforceable at law or in equity against the person bound. vendor mortgagee means a mortgagee who applies to the Registrar under section 188 to conduct the sale of mortgaged land. working day means a day of the week other than— 1. a Saturday, a Sunday, Waitangi Day, Good Friday, Easter Monday, Anzac Day, the Sovereign’s birthday, Te Rā Aro ki a Matariki/Matariki Observance Day, and Labour Day; and 2. if Waitangi Day or Anzac Day falls on a Saturday or a Sunday, the following Monday; and 3. a day in the period commencing with 25 December and ending with 2 January in the following year; and 4. the day observed as the anniversary of any province in which an act is to be done. # Comparative References Compare: 1952 No 51 s 2 # Amendments and Repeals Section 4 deed: repealed, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 instrument paragraph (a)(ii): amended, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 instrument paragraph (a)(ii): amended, on 1 September 2017, by section 347 of the Contract and Commercial Law Act 2017 (2017 No 5). Section 4 instrument paragraph (b): repealed, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 land not under the Land Transfer Act 1952: repealed, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 land not under the Land Transfer Act 2017: inserted, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 land under the Land Transfer Act 1952: repealed, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 land under the Land Transfer Act 2017: inserted, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). Section 4 owner paragraph (a)(ii): amended, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). 26 ### Images from page 26: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_26.jpg` (full page screenshot) ## Page 27 Version as at 5 April 2025 Property Law Act 2007 Part 1 s 6A # 5 Meaning of certain references (1) For the purposes of this Act, a person who acquires, claims, or derives title to property through another person includes a person— - (a) to whom an estate or interest in land passes under section 24 of the Land Transfer Act 2017; and - (b) who succeeds to the estate or interest in the land previously held by the other person, either directly or after the estate or interest has passed to 1 or more intermediate successors. (2) For the purposes of this Act, a will comes into operation on the death of the person who made the will. (3) For the purposes of this Act, an obligation that is not made in writing comes into operation at the time at which the obligation is entered into. Section 5(1)(a): amended, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). # 6 Attorney or agent may act (1) Anything that must or may be done by or to a person under this Act may be done by or to the person’s attorney or agent if it is within the attorney’s or agent’s authority. (2) This section applies subject to sections 12, 353, and 359. # 6A Transitional, savings, and related provisions The transitional, savings, and related provisions set out in Schedule 1AA have effect according to their terms. 27 ### Images from page 27: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_27.jpg` (full page screenshot) ## Page 28 Version as at Part 1 s 7 Property Law Act 2007 5 April 2025 # 7 Act binds the Crown This Act binds the Crown. # 8 Application (1) This Act applies to the land, other property, and instruments specified in subsection (2) to the extent that the law of New Zealand applies to the land, other property, and instruments. (2) The land, other property, and instruments are— - (a) land in New Zealand: - (b) other property whether in or outside New Zealand: - (c) instruments whether— (3) This Act does not apply to Māori customary land within the meaning of Te Ture Whenua Maori Act 1993. (4) If a provision of this Act is inconsistent with a provision in another enactment, the provision in the other enactment prevails. (5) Without limiting subsection (4), this Act applies subject to the Land Transfer Act 2017. (6) This section applies subject to any other provision of this Act or of another enactment providing otherwise. Section 8(5): replaced, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). # 8A Act subject to application of Cape Town Convention and Aircraft Protocol (1) Subparts 6 and 7 of Part 3 and all other provisions of this Act are subject to section 435 of the Civil Aviation Act 2023 (which provides for the primacy of the provisions of the Cape Town Convention and the Aircraft Protocol) and the rest of subpart 4 of Part 10 of the Civil Aviation Act 2023 (which implements the Cape Town Convention and the Aircraft Protocol). (2) In this section,— - Aircraft Protocol has the same meaning as in section 433(1) of the Civil Aviation Act 2023 - Cape Town Convention has the same meaning as in section 433(1) of the Civil Aviation Act 2023. Section 8A: inserted, on 1 November 2010, by section 14(1) of the Civil Aviation (Cape Town Convention and Other Matters) Amendment Act 2010 (2010 No 42). Section 8A(1): amended, on 5 April 2025, by section 486 of the Civil Aviation Act 2023 (2023 No 10). ### Images from page 28: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_28.jpg` (full page screenshot) ## Page 29 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 9 Section 8A(2) Aircraft Protocol: amended, on 5 April 2025, by section 486 of the Civil Aviation Act 2023 (2023 No 10). Section 8A(2) Cape Town Convention: amended, on 5 April 2025, by section 486 of the Civil Aviation Act 2023 (2023 No 10). # Part 2 # General rules relating to dispositions, instruments, transactions, and property # Subpart 1—Deeds, powers of appointment, disclaimers, and powers of attorney # 9 Deed must be in writing, executed, and delivered (1) A deed must be— - (a) in writing; and - (b) executed in accordance with this section; and - (c) delivered in accordance with this section. (2) An individual executes a deed if— - (a) he or she signs the deed; and - (b) his or her signature is witnessed in accordance with subsection (7). (3) A body corporate executes a deed if— - (a) the deed is signed in the name of the body corporate by— - - (i) the director of the body corporate if it has only 1 director; or - (ii) not fewer than 2 directors of the body corporate if it has 2 or more directors; or - (iii) 1 director or other person or member of a specified class of person if the body corporate’s constitution authorises a deed to be signed in that way; and (b) in the case of a deed signed under paragraph (a)(i) or (iii), the signature is witnessed in accordance with subsection (7). (4) A body corporate executes a deed if it executes the deed as provided in any other enactment relating to the execution of a deed by the body corporate. (5) A body corporate not incorporated by or under the law of New Zealand may execute a deed other than in accordance with subsections (3) and (4) if the mode of execution would be authorised by the law of the place in which the body corporate is incorporated were the deed executed in that place and governed by that law. (6) The Crown executes a deed if— - (a) it is signed on behalf of the Crown by 1 or more Ministers of the Crown or other officers or employees of the Crown of the Sovereign in right 29 ### Images from page 29: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_29.jpg` (full page screenshot) ## Page 30 Version as at Part 2 s 10 Property Law Act 2007 5 April 2025 # 10 When deed comes into force A deed that has been delivered comes into force,— - (a) if the deed specifies a date for that purpose, on that date; or - (b) if the deed does not specify a date for that purpose,— # 11 Alterations after deed executed 1. The rule of law that a deed becomes invalid if there is a material alteration after its execution is abolished. 2. Subsection (1) does not validate an alteration if it is invalid for another reason. Compare: 1952 No 51 ss 4, 5 Section 9(6)(a): editorial change made by the PCO, on 1 August 2024, under sections 86(1) and 87(a) of the Legislation Act 2019 (2019 No 58). ### Images from page 30: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_30.jpg` (full page screenshot) ## Page 31 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 16 # 12 Attorney executing deed An attorney executing a deed must be appointed by deed. # 13 Contracts and other obligations entered into by bodies corporate (1) This section applies to any contract or other obligation entered into by a body corporate if— - (a) the body corporate is incorporated by or under the law of New Zealand; or - (b) the contract or other obligation is entered into in New Zealand; or - (c) the proper law of the contract or other obligation is the law of New Zealand. (2) A contract or other obligation may be entered into as follows: - (a) an obligation (which, if entered into by an individual, would under New Zealand law be required to be by deed) may be entered into by deed or instrument executed in accordance with section 9(3), (4), or (5): - (b) an obligation (which, if entered into by an individual, would under New Zealand law be required to be in writing) may be entered into on behalf of the body corporate in writing by a person acting under the body corporate’s express or implied authority: - (c) an obligation (which, if entered into by an individual, would not under New Zealand law be required to be in writing) may be entered into on behalf of the body corporate in writing or orally by a person acting under the body corporate’s express or implied authority. (3) This section prevails over any other enactment. # 14 Construction of supplementary or annexed deed A deed expressed to be supplementary to a previous deed or directed to be read as an annex to a previous deed must be read, and has effect, as if it were endorsed on the previous deed or contained a full recital of the previous deed. Compare: 1952 No 51 s 8 # 15 Receipt for consideration in body of deed (1) A receipt for consideration in the body of a deed has the same effect as if the receipt had been endorsed on the deed. (2) Subsection (1) applies to avoid doubt. (3) Any rule of law inconsistent with subsection (1) is abolished. Compare: 1952 No 51 s 6 # 16 Powers of appointment (1) An appointment to be made by deed or writing (but not a will) is valid if it is executed in accordance with the requirements for the execution of a deed. 31 ### Images from page 31: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_31.jpg` (full page screenshot) ## Page 32 Version as at Part 2 s 17 Property Law Act 2007 5 April 2025 # 17 Disclaimer of land A disclaimer of land is not valid unless it is made by deed or by order of a court. Compare: 1952 No 51 s 12 # 18 Specific performance of voluntary promises made by deed (1) A court— - (a) may make an order for the specific performance of a voluntary promise made by deed; but - (b) must not refuse to do so because there was no valuable consideration for the promise. (2) Subsection (1) applies to deeds coming into operation only on or after 1 January 2008. # 19 Powers of attorney (1) Anything done by or to an attorney on behalf of the donor of a power of attorney has the same effect as if it had been done by or to the donor if— - (a) it is within the attorney’s powers; and - (b) it is done while the power of attorney is in force. (2) Subsection (1) applies subject to subsection (3) and section 12. (3) An instrument executed by an attorney on behalf of the donor of a power of attorney must— - (a) be made in the name of the donor; and - (b) state that it is being executed on the donor’s behalf by the donor’s attorney; and - (c) otherwise be executed by the attorney in the same manner as would be required if the attorney were a party to the instrument. Compare: 1952 No 51 s 134 # 20 Power of attorney continues in force until notice of revocation received (1) A power of attorney continues in force until notice of an event revoking the power is received by the attorney. (2) Subsection (1) applies unless the power of attorney provides otherwise. (3) A person dealing with an attorney may rely on a certificate of non-revocation of the power of attorney in the form set out in Schedule 1 as conclusive proof of the non-revocation of the power of attorney as at the date of the certificate if— ### Images from page 32: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_32.jpg` (full page screenshot) ## Page 33 Version as at 5 April 2025 Property Law Act 2007 Part 2 s 21 (a) the person— - (i) is dealing with the attorney in good faith; and - (ii) does not have actual notice of an event revoking the power of attorney; and (b) the certificate— - (i) is signed by— - - (A) the attorney; or - (B) if the attorney is a body corporate, a director or officer of the body corporate or a person acting on behalf of the body corporate in another capacity; and (ii) is given immediately before, or at any time after, the doing of a thing by the attorney. (4) A person who knowingly gives a false certificate under subsection (3) commits an offence and is liable on conviction to a fine not exceeding $5,000. (5) If the power of attorney is an enduring power of attorney within the meaning of Part 9 of the Protection of Personal and Property Rights Act 1988,— - (a) section 103C of that Act applies to it instead of subsections (1) to (4); - (b) if a certificate of non-revocation of the power of attorney was given in respect of the enduring power of attorney before the commencement of section 18 of the Protection of Personal and Property Rights Amendment Act 2007, subsections (1) to (4) of this section apply to the certificate instead of section 103C of the Protection of Personal and Property Rights Act 1988. Compare: 1952 No 51 ss 135, 139 Section 20(4): amended, on 1 July 2013, by section 413 of the Criminal Procedure Act 2011 (2011 No 81). Section 20(5): inserted, on 25 September 2008, by section 26 of the Protection of Personal and Property Rights Amendment Act 2007 (2007 No 90). # 21 Irrevocable powers of attorney (1) Subsections (2) and (3) apply in favour of a purchaser. (2) An irrevocable power of attorney given for valuable consideration is not revoked by notice of an event that would otherwise revoke the power of attorney if the notice is received when the power of attorney cannot be revoked. (3) An irrevocable power of attorney not given for valuable consideration is not revoked by notice of an event that would otherwise revoke the power of attorney if the notice is received during— - (a) the period of 1 year after the date of the instrument; or ### Images from page 33: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_33.jpg` (full page screenshot) ## Page 34 Version as at Part 2 s 22 Property Law Act 2007 5 April 2025 # 22 Person between 18 and 20 years may do certain things (1) A person who is 18 years old or older but under 20 years old may do 1 or more of the following: - (a) execute a deed: - (b) appoint an attorney to do any act or thing that the person himself or herself can do: - (c) accept appointment, or act, as an attorney. (2) Anything done by a person under subsection (1) has the same effect as if the person were 20 years old. Compare: 1952 No 51 s 134A # 23 Construction of instruments (1) In an instrument, unless the context otherwise requires,— - month means a calendar month - person, or any term descriptive of a person, includes a body corporate. (2) In an instrument, unless the context otherwise requires,— - (a) words denoting a gender include every other gender: - (b) words in the singular include the plural, and words in the plural include the singular. Compare: 1952 No 51 ss 13, 70 # Subpart 2—Writing required in certain cases # 24 Contracts for disposition of land not enforceable unless in writing (1) A contract for the disposition of land is not enforceable by action unless— - (a) the contract is in writing or its terms are recorded in writing; and 34 ### Images from page 34: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_34.jpg` (full page screenshot) ## Page 35 Version as at 5 April 2025 Property Law Act 2007 # Part 2 s 27 (b) the contract or written record is signed by the party against whom the contract is sought to be enforced. # (2) In this section, disposition does not include— - (a) a short-term lease; or - (b) a sale of land by order of a court or through the Registrar. Compare: 1956 No 23 s 2 # 25 Writing required for certain dispositions of interests in land # (1) A disposition of any of the following must be in writing and signed by the person making the disposition: - (a) an existing interest in land acquired by taking possession of the land: - (b) an existing legal or equitable interest in land: - (c) an existing equitable interest in a mixed fund consisting partly of land and partly of other property. # (2) A trust must be created in writing and signed by the settlor if— - (a) it relates to land; and - (b) it is to take effect in the lifetime of the settlor. # (3) This section does not apply to a short-term lease. # (4) This section does not affect— - (a) the creation or operation of a resulting, implied, or constructive trust; or - (b) the making or operation of a will; or - (c) the disposition of any interest in land by operation of law. Compare: 1952 No 51 s 49A # 26 Doctrine of part performance not affected Sections 24 and 25 do not affect the operation of the law relating to part performance. # 27 Contracts of guarantee must be in writing # (1) This section applies to contracts of guarantee coming into operation on or after 1 January 2008. # (2) A contract of guarantee must be— - (a) in writing; and - (b) signed by the guarantor. # (3) Subsection (2) does not require the consideration for a contract of guarantee to be in writing or to appear by necessary implication from a writing. 35 ### Images from page 35: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_35.jpg` (full page screenshot) ## Page 36 Version as at Part 2 s 27A Property Law Act 2007 5 April 2025 (4) In this section, contract of guarantee means a contract under which a person agrees to answer to another person for the debt, default, or liability of a third person. Compare: 1956 No 23 ss 2, 3 # 27A Writing required for discharge of debt by acceptance of part in satisfaction (1) An acknowledgement in writing by a creditor, or by any person authorised by the creditor in writing, of the receipt of a part of the creditor’s debt in satisfaction of the whole debt operates as a discharge of the debt. (2) This section applies despite anything to the contrary in any rule of law. Compare: 1908 No 89 s 92 Section 27A: inserted, on 1 March 2017, by section 4 of the Property Law Amendment Act 2016 (2016 No 66). # Subpart 3—Sales and other similar transactions # Sale and purchase of land # 28 Restriction on vendor’s right to cancel agreement, etc, if purchaser in possession (1) This section applies— - (a) to any right— - - (i) to cancel an agreement for the sale and purchase of land; and - (ii) that is exercisable by the vendor because of a breach of the agreement by the purchaser; and (b) only after the purchaser has, under the agreement, entered into possession of the land. (2) The vendor may exercise the right to cancel the agreement— - (a) only if subsection (3) has first been complied with; and - (b) only in 1 of the 2 ways specified in subsection (4). (3) This subsection has been complied with if— - (a) the vendor serves on the purchaser a notice that complies with section 29; and - (b) at the expiry of the period specified in that notice, the breach complained of has not been remedied. (4) The 2 ways (referred to in subsection (2)(b) and in section 29(2)(b)) of exercising the right to cancel the agreement are— - (a) by obtaining from a court an order for possession of the land (in which case the agreement is cancelled from the making of, or from a later time specified for the purpose in, the order); or ### Images from page 36: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_36.jpg` (full page screenshot) ## Page 37 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 29 (b) by re-entering the land peaceably (and without committing forcible entry under section 91 of the Crimes Act 1961). Compare: 1952 No 51 s 50 # 29 Requirements for vendor’s notice to purchaser (1) The notice required by section 28(3)(a) must adequately inform the purchaser of the following matters relating to the remedying of the breach complained of by the vendor: - (a) the nature and extent of the breach; and - (b) whether the vendor considers that the breach is capable of being remedied by the taking of 1 or more of the steps in paragraphs (c) to (e) and, if so, which of them the vendor considers is capable (alone or in combination) of remedying the breach; and - (c) if the vendor considers that the breach is capable of being remedied (wholly or in part) by the payment of amounts owing under the agreement, the amounts that the vendor considers the purchaser must pay to remedy (wholly or in part) the breach; and - (d) if the vendor considers that the breach is capable of being remedied by the purchaser doing or stopping from doing any thing, any thing which the vendor considers the purchaser must do or stop doing to remedy (wholly or in part) the breach; and - (e) if the vendor considers that the breach is capable of being remedied (wholly or in part) by the purchaser paying reasonable compensation, the amount of compensation that the vendor considers reasonable to remedy (wholly or in part) the breach. (2) The notice required by section 28(3)(a) must also adequately inform the purchaser of the following matters: - (a) the period (which must be at least 12 working days after the date of service of the notice, and which must be specified in the notice whether or not the vendor considers that the breach is capable of being remedied) within which the purchaser must remedy the breach if it is capable of being remedied; and - (b) that the vendor may seek to cancel the agreement in 1 of the 2 ways specified in section 28(4) if, at the expiry of the period referred to in paragraph (a), the breach has not been, or cannot be, remedied; and - (c) the effect of sections 30 and 31; and - (d) the purchaser’s right to apply to a court for relief against cancellation of the agreement under section 33, and the advisability of seeking legal advice on the exercise of that right. Compare: 1952 No 51 s 50 37 ### Images from page 37: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_37.jpg` (full page screenshot) ## Page 38 Version as at Part 2 s 30 Property Law Act 2007 5 April 2025 # 30 Defects that do not invalidate vendor’s notice or prevent purchaser offering reasonable compensation The notice required by section 28(3)(a) is not invalid, and does not prevent the purchaser from offering an amount as reasonable compensation for the breach, solely because all or any of the following apply to the notice: - (a) the notice does not, or may not, specify that the breach is capable of being remedied by the payment of reasonable compensation: - (b) the notice specifies, or may specify, an amount of compensation that is unreasonable: - (c) the notice specifies that the breach would be capable of being remedied by the payment of reasonable compensation, but does not also specify the amount that the vendor considers reasonable. Compare: 1952 No 51 s 50 # 31 Section 28 does not prevent or limit claims for damages Section 28 does not prevent a vendor from claiming, or affect the amount which the vendor may claim by way of, damages for the breach of— - (a) an agreement for the sale and purchase of land; or - (b) any other duty to the vendor that the purchaser may be under independently of the agreement. Compare: 1952 No 51 s 50 # 32 Instruments have no effect so far as they conflict with section 28, 29, 30, or 31 A term has no effect if it— - (a) is expressed or implied in an instrument; and - (b) conflicts with section 28, 29, 30, or 31. Compare: 1952 No 51 s 50 # 33 Relief against cancellation of agreement for sale of land (1) A purchaser may apply to a court for relief against cancellation of an agreement for the sale and purchase of land only if— - (a) the purchaser has, under the agreement, entered into possession of the land; and - (b) the vendor has served on the purchaser a notice that complies with section 29; and - (c) the vendor has, after serving that notice, applied to a court for an order for possession of the land, or peaceably re-entered the land. (2) The application may be made either in the proceeding on the vendor’s application for an order for possession (the possession order proceeding), or in a separate proceeding brought for the purpose by the purchaser— ### Images from page 38: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_38.jpg` (full page screenshot) ## Page 39 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 37 (a) before an order for possession has been made in the possession order proceeding; or (b) if the vendor has peaceably re-entered the land, within 3 months after the date on which the vendor re-entered the land. (3) The court may, on the application, grant any relief against cancellation, on any conditions, it thinks fit. (4) In particular, the court may grant relief under this section even though either or both of the following apply: - (a) the cancellation is for breach of an essential term of the agreement: - (b) the breach is not capable of being remedied. Compare: 1952 No 51 s 50 # 34 Section 33 replaces all other jurisdiction to grant relief No relief against the cancellation of an agreement for the sale and purchase of land can be granted otherwise than under the powers given by section 33. # 35 Application for relief not to constitute admission (1) An application under section 33 must not, in itself, be taken as an admission by the purchaser that— - (a) there has been a breach of the agreement by the purchaser: - (b) because of the breach of that kind, the vendor has the right to cancel the agreement: - (c) a notice has been duly served on the purchaser in accordance with section 28(3)(a): - (d) at the time when the vendor applied to a court for an order for possession of the land or peaceably re-entered the land, the period specified in the notice for the remedying of the breach (if it was capable of being remedied) had expired. (2) A court may grant relief under section 33 without determining all or any of the things in subsection (1). Compare: 1952 No 51 s 50 # 36 Instruments have no effect so far as they conflict with section 33 or 34 A term has no effect if it— - (a) is expressed or implied in an instrument; and - (b) conflicts with section 33 or 34. Compare: 1952 No 51 s 50 # 37 Purchaser may apply for order requiring refund of deposit, etc, in respect of certain agreements (1) This section applies to an agreement for the sale and purchase of land if— 39 ### Images from page 39: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_39.jpg` (full page screenshot) ## Page 40 Version as at Part 2 s 38 Property Law Act 2007 5 April 2025 # 38 Court awarding damages against purchaser must take into account relief granted under section 37 (1) The granting of relief under section 37 in respect of an agreement for the sale and purchase of land does not deprive the vendor of any right to claim damages from the purchaser for the failure to perform the agreement. (2) However, a court awarding damages against the purchaser for the failure to perform the agreement must take into account any relief granted under section 37. # 39 Agreements have no effect so far as they conflict with section 37 or 38 A term has no effect if it— - (a) is expressed or implied in an agreement to which section 37 or 38 applies; and - (b) conflicts with section 37 or 38. # 40 Purchaser of lease must treat lease conditions as having been observed if vendor produces copy of rent receipt (1) This section applies to an agreement for the sale and purchase of a leasehold estate or interest in land if the vendor produces for the purchaser a copy of a receipt for the payment of the instalment of rent under the lease or sublease last due before the time of settlement. (2) The purchaser must, in the absence of evidence to the contrary and unless the agreement provides otherwise, treat the copy of the receipt as establishing that the following have been done so far as they are required to be done up to the time of settlement: ### Images from page 40: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_40.jpg` (full page screenshot) ## Page 41 Version as at 5 April 2025 Property Law Act 2007 Part 2 s 43 (a) the vendor has paid all rent due under the lease and has performed and observed all covenants and conditions of the lease; and (b) if the sale is of an interest under a sublease, all rent due under every superior lease has been paid and all covenants and conditions of every superior lease have been performed and observed. Compare: 1952 No 51 s 52(b)(v) # 41 Vendor must ensure record of title not limited or qualified as to title (whether or not also limited or qualified as to parcels) (1) This section applies to an agreement for the sale and purchase of land comprised in a register or record of title that— (a) was created before the making of the agreement; and (b) is limited as to title under subpart 4 of Part 4 of the Land Transfer Act 2017 or is qualified as to title under section 17 of that Act, whether or not it is also limited as to parcels under subpart 4 of Part 4 of that Act or qualified as described in section 17(1)(a) of that Act. (2) The vendor must, before the time of settlement, and unless the agreement provides otherwise,— (a) do all acts (for example, prove all matters and comply with all requisitions by the Registrar-General) necessary to cause the record of title for the land to cease to be limited or qualified as to title (whether or not it remains limited as to parcels or qualified as described in section 17(1)(a) of the Land Transfer Act 2017); and (b) meet the expenses of complying with paragraph (a), including payment of any fee prescribed under the Land Transfer Act 2017. Section 41: replaced, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). # Miscellaneous provisions # 42 Auction sales of property other than goods [Repealed] Section 42: repealed, on 18 December 2013, by section 28(3) of the Auctioneers Act 2013 (2013 No 148). # 43 Later title not invalid because of defect in court order (1) This section applies to a person who acquires property, for valuable consideration and without fraud or notice of fraud, from some other person who became entitled to the property under an order of a court. (2) The person’s title to the property is not, and does not become, invalid solely because of a defect (whether known to the person or not) in either or both of the following: (a) the court’s jurisdiction or power to make that order: 41 ### Images from page 41: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_41.jpg` (full page screenshot) ## Page 42 Version as at Part 2 s 44 Property Law Act 2007 5 April 2025 # 44 Certain instruments authorise payment to practitioner instead of party for whom practitioner acts (1) This subsection applies to an electronic instrument— - (a) prepared for registration after payment of money or the giving of other consideration for a contract; and - (b) that contains a certification that complies with section 27 of the Land Transfer Act 2017; but - (c) only if that certification is given by a practitioner acting for the party who, under that contract, is entitled to give a receipt for the payment of that money or the giving of that other consideration. (2) On the production, through an electronic workspace facility, of an electronic instrument to which subsection (1) applies, the person liable under the contract to pay or give the money or other consideration may, without further authority than the instrument, pay or give the money or other consideration to the practitioner who gave the certification. (3) This subsection applies to a paper instrument— - (a) that contains, or has written on it, a receipt for the payment of money or the giving of other consideration for a contract; but - (b) only if that instrument or receipt is signed by a person entitled to give a receipt for the payment of that money or the giving of that other consideration. (4) On the production by a practitioner of an instrument to which subsection (3) applies, the person liable to pay the money or give the other consideration referred to in the receipt may, without further authority than the instrument, pay or give to the practitioner that money or consideration. (5) In this section,— - electronic instrument means an electronic instrument (as defined by section 5(1) of the Land Transfer Act 2017) that relates to the transfer of, or other dealing with, land or that evidences title to land - electronic workspace facility has the meaning given to it in section 5(1) of the Land Transfer Act 2017 - paper instrument means a paper instrument (as defined by section 5(1) of the Land Transfer Act 2017) that relates to the transfer of, or other dealing with, land or that evidences title to land - practitioner means a practitioner as defined in section 6 of the Lawyers and Conveyancers Act 2006. Compare: 1952 No 51 s 56 42 ### Images from page 42: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_42.jpg` (full page screenshot) ## Page 43 Version as at 5 April 2025 Property Law Act 2007 Part 2 s 47 # Subpart 4—Apportionment of periodical payments between vendors and purchasers # 45 Apportionments in respect of time (1) This section applies to a periodical payment in respect of a fixed or ascertainable period (whether the payment is reserved or made payable under an instrument or not). (2) The payment must be regarded as accruing from day to day, and is apportionable in respect of time accordingly, as to both— - (a) the liability to make the payment; and - (b) the right to receive it. (3) Subsection (2) does not apply if a contrary intention is expressed in an instrument. Compare: 1952 No 51 s 145 # 46 Payment and recovery of apportioned part of periodical payment (1) An apportioned part of a periodical payment is payable and recoverable,— - (a) for a continuing right to a payment, only when the entire payment becomes payable and recoverable: - (b) for a payment the continuing right to which has ceased because of death, re-entry, or another cause, only when the entire payment would have become payable and recoverable if the continuing right to the payment had not ceased. (2) A person entitled to an apportioned part of a periodical payment— - (a) has, when the entire payment becomes payable and recoverable, the same remedies for recovering the apportioned part as would have been available in respect of the entire payment; but - (b) must bear a proportionate part of any allowance which should properly be made in respect of the entire payment. (3) Subsection (2) is subject to section 47(2). Compare: 1952 No 51 ss 146, 147 # 47 Apportionment of rent from property (1) Rent from property, if payable in advance in respect of a period, is apportionable as between the parties to— - (a) a transfer or assignment of the property; or ### Images from page 43: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_43.jpg` (full page screenshot) ## Page 44 Version as at Part 2 s 48 Property Law Act 2007 5 April 2025 # Subpart 5—Assignment of things in action # 48 Interpretation In this subpart, unless the context otherwise requires, — - absolute, in relation to an assignment, means— - - (a) not conditional; or - (b) not by way of charge only assignment means an instrument effecting or relating to an assignment - debt includes an obligation to— - - (a) pay money: - (b) deliver or transfer property: - (c) do or not do any other thing debt owing includes an obligation that is due to be performed - debtor means a person (including a trustee) who is under an obligation to pay a debt - payment of a debt includes the performance of an obligation that is not an obligation to pay money - thing in action— # 49 Application of subpart (1) This subpart applies to an assignment of a thing in action made only on or after 1 January 2008. (2) A thing in action that is not capable of being assigned cannot be assigned under this subpart. 44 ### Images from page 44: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_44.jpg` (full page screenshot) ## Page 45 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 50 (3) However, subsection (2) applies subject to section 53. (4) This subpart does not affect the application of section 18. (5) If only part of a thing in action is assigned, the rights and obligations under this subpart of the assignor, the assignee, and the debtor relate only to the part assigned. # 50 How thing in action assigned (1) The absolute assignment in writing of a legal or equitable thing in action, signed by the assignor, passes to the assignee— - (a) all the rights of the assignor in relation to the thing in action; and - (b) all the remedies of the assignor in relation to the thing in action; and - (c) the power to give a good discharge to the debtor. (2) Subsection (1) applies whether or not the assignment is given for valuable consideration. (3) Subsection (1) applies subject to— - (a) section 51; and - (b) any equities in relation to the thing in action that arise before the debtor has actual notice of the assignment and would, but for subsection (1), have priority over the rights of the assignee. (4) The priority of an assignment to which subsection (1) applies and which is not given for valuable consideration is to be determined as if the assignment had been given for valuable consideration. (5) A legal or equitable thing in action is to be treated as having been assigned in equity (whether the assignment is oral or in writing) if— - (a) the assignee has given valuable consideration for the assignment; or - (b) the assignment is complete. (6) Subsection (5)— - (a) prevails over any rule of equity to the contrary; but - (b) applies subject to sections 24 and 25. (7) An assignment to which subsection (5) applies is complete when the assignor has done everything that needs to be done by the assignor to transfer to the assignee (whether absolutely, conditionally, or by way of charge) the rights of the assignor in relation to the thing in action. (8) Subsection (7) applies even though some other thing may remain to be done, without the intervention or assistance of the assignor, in order to confer title to the rights on the assignee. Compare: 1952 No 51 s 130 ### Images from page 45: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_45.jpg` (full page screenshot) ## Page 46 Version as at Part 2 s 51 Property Law Act 2007 5 April 2025 # 51 Further consequences of assignment of thing in action (1) This section applies to a thing in action assigned in accordance with section 50(1) or in equity. (2) Payment of all or part of the debt to the assignor by a debtor who does not have actual notice of the assignment discharges the debtor to the extent of the payment. (3) The debt owing by a debtor who has actual notice of the assignment is payable to the assignee. (4) However, the debt is payable to another assignee if,— - (a) before discharge, the debtor receives actual notice of the assignment of the same thing in action to the other assignee; and - (b) the rights of the other assignee in relation to the thing in action have priority over the rights of the first assignee. (5) A debtor may interplead in any proceeding brought against the debtor for the payment of the debt, or apply to a court for an order determining the entitlement to any right in relation to a thing in action, if the debtor has actual notice— - (a) that an assignment of the thing in action is disputed by the assignee or anyone claiming under the assignor; or - (b) that there are other opposing or conflicting claims in relation to the thing in action. Compare: 1952 No 51 s 130 # 52 Further provisions about assignments (1) The registration of an assignment under an enactment does not, of itself, give actual notice of the assignment to the debtor. (2) Subsection (1) overrides anything to the contrary in the enactment under which the assignment is registered. (3) Joint debtors have actual notice of the assignment of a thing in action or of any matter referred to in section 51 if any of them has actual notice of the assignment or matter. (4) The assignor must be joined in any proceeding brought by the assignee against the debtor if— - (a) only part of a thing in action has been assigned in accordance with section 50(1); or - (b) there has been an assignment only in equity of all or part of a thing in action. (5) For the purposes of subsection (4), an assignor may be joined in proceedings— - (a) when the proceedings are brought or subsequently; and ### Images from page 46: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_46.jpg` (full page screenshot) ## Page 47 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 53C (b) if subsequently, whether before or after the expiry of the limitation period within which the proceedings must be brought in order to avoid a limitation defence applying to a claim made in the proceedings. Compare: 1952 No 51 s 130 Section 52(5)(b): amended, on 1 January 2011, by section 58 of the Limitation Act 2010 (2010 No 110). # 53 Assignment of amounts payable in future An assignment of an amount that will or may be payable in the future under a right already possessed by the assignor (whether the right arises before, on, or after 1 January 2008) is to be treated as an assignment of a thing in action. # Subpart 5A—Assignment of securities and rights of creditor to surety who pays debt Subpart 5A: inserted, on 1 March 2017, by section 5 of the Property Law Amendment Act 2016 (2016 No 66). # 53A Interpretation In this subpart, debt and payment of a debt have the same meanings as in section 48. Section 53A: inserted, on 1 March 2017, by section 5 of the Property Law Amendment Act 2016 (2016 No 66). # 53B Surety who pays debt entitled to assignment of all securities held by creditor (1) Every person (person A) who pays the debt of another person (being surety for the debt or liable with another person for the debt) is entitled to have assigned to person A, or a trustee for person A, every judgment, specialty, or other security held by the creditor in respect of the debt. (2) Subsection (1) applies whether the judgment, specialty, or other security is or is not deemed at law to be satisfied by the payment of the debt. Compare: 1908 No 89 s 84 Section 53B: inserted, on 1 March 2017, by section 5 of the Property Law Amendment Act 2016 (2016 No 66). # 53C Rights of surety (1) Person A is entitled to stand in the place of the creditor, and to use all the remedies, and if need be, and upon a proper indemnity, to use the name of the creditor in any civil proceedings in order to obtain from the principal debtor or any co-surety, co-contractor, or co-debtor, as the case may be, indemnification for the advances made and loss sustained by person A in paying the debt. (2) The payment by person A may not be pleaded as a defence against any action or other proceeding by person A referred to in subsection (1). 47 ### Images from page 47: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_47.jpg` (full page screenshot) ## Page 48 Version as at Part 2 s 53D Property Law Act 2007 5 April 2025 # 53D Rights of co-sureties, etc, as between themselves A co-surety, co-contractor, or co-debtor is not entitled to recover from any other co-surety, co-contractor, or co-debtor (person B) by the means referred to in section 53C more than the proportion to which, as between those parties themselves, person B is liable. Compare: 1908 No 89 s 86 Section 53D: inserted, on 1 March 2017, by section 5 of the Property Law Amendment Act 2016 (2016 No 66). # Subpart 6—Other transactions # 54 Effect of no registration clause (1) This section applies to an instrument (whether coming into operation before, on, or after 1 January 2008) if— - (a) it creates a lease of land, a mortgage over land, an easement, a profit à prendre, or a contract for the grant of an easement or a profit à prendre; and - (b) it contains a no registration clause; and - (c) in the absence of a no registration clause, it would create an equitable interest in land capable of being enforced under the doctrine in Walsh v Lonsdale (1882) 21 Ch D 9. (2) The following provisions apply to an instrument: - (a) it is to be treated for all purposes as creating an equitable interest in land; but - (b) a court may not order the registration of the lease, mortgage, easement, or profit à prendre to which the instrument relates. (3) Subsection (2) applies to avoid doubt. (4) In this section, no registration clause means— - (a) a provision that a lessee, mortgagee, or grantee of an easement or profit à prendre is not entitled to a registered lease, mortgage, easement, or profit à prendre (as the case may be); or - (b) a provision to like effect. # 55 Tenants in common may declare that they are joint tenants (1) Two or more persons beneficially entitled to property as tenants in common may, by deed, declare that they are joint tenants of the property. ### Images from page 48: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_48.jpg` (full page screenshot) ## Page 49 Version as at 5 April 2025 # Property Law Act 2007 # Part 2 s 58 (2) A declaration made under subsection (1) takes effect on and from the date of the declaration. Compare: 1952 No 51 s 48 # 56 Person may dispose of property to himself, herself, or itself (1) A person may dispose of an estate or interest in property to himself, herself, or itself, alone or jointly with some other person. (2) A disposition to which subsection (1) applies is enforceable in the same manner as a disposition to another person. Compare: 1952 No 51 s 49 # Subpart 7—Abolition and modification of common law rules relating to property # 57 Feudal incidents of estate in fee simple abolished (1) A Crown grant of land, or a record of title having the force and effect of a Crown grant of land, whether issued before, on, or after 1 January 2008, for an estate in fee simple confers on the person named in the Crown grant or the record of title a right of freehold tenure (free and common socage) without any incident of tenure for the benefit of the Crown. (2) An estate in fee simple is transferable, and has always been transferable, without the permission of the Crown or the need to make any payment to the Crown. (3) An instrument purporting to create, transfer, or assign an estate in fee simple in any land subject to the reservation to the person executing the instrument of an estate in fee simple (subinfeudation) continues to create, transfer, or assign an estate in fee simple without any such reservation. Section 57(1): amended, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). # 58 Abolition of obsolete estates and rules (1) The following may not be created or done: - (a) estates tail and estates by wrong: - (b) the making of a forfeiture by any conveyance: - (c) the passing of the legal estate in any land by the following means: (2) In an instrument coming into operation on or after 1 January 1953, words which, before that date, would have created an estate tail are to be treated as creating an estate in fee simple. ### Images from page 49: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_49.jpg` (full page screenshot) ## Page 50 Version as at Part 2 s 59 Property Law Act 2007 5 April 2025 # 59 Future estates and interests (1) Estates and interests in property may be created that take effect at a future time. (2) Subsection (1) applies subject to subsection (3). (3) The maximum amount of time that may elapse between the date on which an estate or interest in property is created and the date on which the estate or interest takes effect is 125 years. Compare: 1952 No 51 ss 18, 19 Section 59(2): replaced, on 30 January 2021, by section 161 of the Trusts Act 2019 (2019 No 38). Section 59(3): inserted, on 30 January 2021, by section 161 of the Trusts Act 2019 (2019 No 38). # 59A Transitional provision for maximum duration of future estates and interests (1) This section applies to an estate or interest in property that has been created, but that has not yet taken effect, before the date on which the Trusts Act 2019 enters into force. (2) The maximum amount of time that may elapse between the date on which the estate or interest was created and the date on which the estate or interest takes effect must be determined as if the rule against perpetuities and the Perpetuities Act 1964 had not been repealed by the Trusts Act 2019. Section 59A: inserted, on 30 January 2021, by section 161 of the Trusts Act 2019 (2019 No 38). # 60 Doctrine of interesse termini abolished (1) The legal doctrine of interesse termini is abolished. (2) A lessee acquires an estate in the land at the time fixed for the commencement of the lease, whether or not the lessee enters into possession of the land at that time. (3) Subsection (2) applies subject to sections 24 and 36 of the Land Transfer Act 2017. (4) Subsection (3) does not limit section 8. Section 60(3): amended, on 12 November 2018, by section 250 of the Land Transfer Act 2017 (2017 No 30). # 61 Life estate in leasehold estate An estate for life may be created in relation to a leasehold estate in land. Compare: 1952 No 51 s 19 ### Images from page 50: - `parsed-documents://20251209-054616-537124/Property_Law_Act_2007.pdf/images/page_50.jpg` (full page screenshot) All extracted images are available in the virtual parsed-documents:// namespace. You can read them using the regular file tools. If you need to use these images in the project (e.g., display them on a website), you MUST copy them to the project directory first. NOTE: This document has more than 50 pages. Only the first 50 pages were processed. The remaining content was not extracted.