🗺️ Land Titles, Land Use and Condominium Ownership

1. Under the Land Titles Act, which of the following is included in the definition of "land", unless specially excepted?

1. Livestock and harvested grain stored in the outbuildings
2. Furniture and appliances the seller leaves inside the house
3. Vehicles and farm equipment parked on the parcel at closing
4. Trees, timber, mines and minerals on or under the parcel

Section 1(m) of the Land Titles Act defines "land" broadly: land and every estate or interest in it, legal or equitable, with the easements appertaining to it, "trees and timber thereon, and mines, minerals and quarries thereon or thereunder", unless specially excepted. Movable goods such as furniture, vehicles, livestock and harvested grain are personal property (chattels), not land.

2. How does the glossary of RECA's Fundamentals of Real Estate blueprint describe "real property"?

1. Any asset a person owns that has a resale value above a set amount
2. The buildings on a parcel, but not the land or the rights attached
3. The land alone, before any building or improvement is added to it
4. The land, its permanent improvements and the rights of ownership

The FRE blueprint glossary states that real property "refers to the land, any permanent improvements to the land and the property rights that go with ownership of the land, generally as titled parcels or units." Land without its improvements, or buildings without the land, are each only part of real property, and no value threshold is involved.

3. Your buyer client assumes the dining-room chandelier and a garden shed bolted to a concrete pad are included in the sale. The seller says both will be removed. What is the best way to protect your client?

1. Raise any missing item with the seller at the final walk-through
2. Rely on the rule that everything inside a home is sold with it
3. Get the seller's licensee to promise verbally the items will stay
4. Name each disputed item as included in the offer, in clear terms

Real estate covers land plus improvements that are permanent or fixed to the land (FRE glossary, "Real Estate"), but whether a particular attached item is a fixture can be disputed. A buyer's agent must promote the buyer's interests, take reasonable steps to discover relevant facts and help prepare a legally binding agreement (Real Estate Act Rules, Rule 58(a), (i), (o)); naming disputed items in the written offer removes the doubt. No rule says everything inside a home is included, and a verbal promise or a complaint at the walk-through is hard to prove or comes too late.

4. Which item would normally form part of the real property, rather than being a chattel the seller may take?

1. A furnace permanently connected to the ductwork and gas supply
2. An area rug laid on the living-room floor without any fastening
3. A free-standing barbecue sitting on the back deck of the home
4. A portable dehumidifier plugged into an outlet in the basement

RECA's FRE glossary describes real estate as land plus improvements "that are permanent or fixed to the land", and real property law as covering land "and anything affixed to it". A furnace connected to the ductwork and gas line is affixed and serves the building, so it is treated as part of the real property. The barbecue, rug and dehumidifier are movable chattels that are not attached to the building.

5. Which estate in land has no fixed end and can be transferred, mortgaged or passed on at death by its owner?

1. A fee simple estate held by the registered owner
2. A life estate measured by the owner's own lifetime
3. A leasehold estate granted for a term of 99 years
4. A utility right of way granted to a corporation

The fee simple is the fullest freehold estate: it has no set end, and its owner can transfer it (Land Titles Act s.64), mortgage it (s.102) or have it pass on death (s.116). The Municipal Government Act, s.1(1)(u)(ii), treats the person registered under the Land Titles Act as owner of the fee simple estate as the "owner" of land. A life estate ends with a life and a leasehold with its term (Land Titles Act s.32), and a utility right of way is a right to use the land for the purpose stated in the grant (s.69(1), (3)).

6. Ingrid transfers her farm parcel to her son but keeps a life estate, and a certificate of title is issued for that life estate. Without special mention, what is that certificate subject to?

1. Only the instruments registered after the one creating the life estate
2. Nothing earlier, since a new certificate clears all prior charges
3. Earlier instruments and caveats on the title the estate derives from
4. Earlier mortgages on the original title, but not earlier caveats

Section 32(2): a certificate of title issued for a leasehold or life estate is, by implication and without special mention, "subject to all instruments and caveats registered against the certificate of title from which the estate is derived prior to the registration of the instrument creating the leasehold or life estate." A new certificate does not wipe out earlier charges, and caveats have the same priority effect as registered instruments (s.147).

7. Once a certificate of title exists, an unregistered instrument cannot pass an estate or interest in the land, with one exception set out in s.53. Which one?

1. A lease for a term of 3 years or less
2. A lease for a term of 5 years or less
3. A lease for a term of 1 year or less
4. A lease for a term of 10 years or less

Section 53: after a certificate of title has been granted, no instrument is effectual to pass any estate or interest in the land "(except a leasehold interest for 3 years or for a less period)" unless it is executed in accordance with the Act and registered. A lease for life or for more than 3 years must be executed in the prescribed form (s.95(1)).

8. Ravi buys a house. A tenant is living there under a written 2-year lease that was not registered, and the title search shows nothing about it. Is Ravi bound by the lease?

1. Yes, because a short lease with actual occupation binds the land anyway
2. No, because the tenant had to file a caveat within 30 days of signing
3. No, because an unregistered lease does not bind a new owner of land
4. Yes, but only if it was signed before the seller's mortgage was registered

Under s.61(1)(d), land in a certificate of title is subject, by implication and without special mention, to "any subsisting lease or agreement for a lease for a period not exceeding 3 years, if there is actual occupation of the land under the lease". The tenant's 2-year lease with actual occupation therefore binds Ravi even though it is not on title (see also s.53). This is one reason a buyer's agent takes reasonable steps to discover relevant facts, such as who occupies the property (Rule 58(i)).

9. An easement is created over one titled parcel for the benefit of a neighbouring titled parcel. Where does the Registrar record it?

1. On the title of the dominant tenement, but not on the servient one
2. On the title of the servient tenement, but not on the dominant one
3. On the titles of both the dominant and the servient tenements
4. In a separate easement register that is not shown on either title

Land Titles Act, s.67: when an easement over titled land is created to be annexed to or enjoyed with other titled land, the Registrar makes a memorandum of the instrument "on the existing certificates of title of the dominant and servient tenements respectively." The dominant tenement is the parcel that benefits and the servient tenement is the parcel that is burdened; both titles show the easement, so both owners and later buyers can see it. The registered owner grants the easement by an instrument in the prescribed form (s.64(2)).

10. Gwen owns two side-by-side lots. She grants and registers a driveway easement over Lot 5 for the benefit of Lot 6, then sells Lot 6. Is the easement still valid?

1. Yes, an owner may grant herself an easement and it does not merge
2. No, an easement must be granted to a different person to be valid
3. No, it merged and ended when Gwen owned both lots at the same time
4. Yes, but the buyer of Lot 6 must re-register it within six months

Section 68(1) of the Land Titles Act allows an owner to grant herself an easement or restrictive covenant for the benefit of land she owns and against other land she owns, and to register it. Section 68(2): when the dominant and servient tenements are registered in the name of the same person, the easement "is not merged by reason of the common ownership." The registered easement continues for the buyer of Lot 6; nothing has to be re-registered.

11. A homeowner wants a registered easement that benefits the neighbouring parcel removed from her title. Whose signature on the discharge does the Registrar need?

1. The municipality in which both of the parcels are located
2. The registered owner of the dominant tenement (the benefited land)
3. The registered owner of the servient tenement (the burdened land)
4. The lender holding the first mortgage on the burdened parcel

Land Titles Act, s.73(1): the Registrar cancels the registration of an easement, restrictive covenant, party wall agreement or encroachment agreement "on production of a discharge in the prescribed form signed by the registered owner of the dominant tenement." The owner who receives the benefit must release it; the burdened owner cannot remove it alone. The Registrar may also cancel it if it has expired under an express provision of the instrument (s.73(2)).

12. What is a restrictive covenant registered under s.48 of the Land Titles Act?

1. A registered limit on building or use that benefits other land
2. A personal promise between neighbours that ends when either one sells
3. A municipal bylaw that sets the permitted uses in a land use district
4. A lender's condition that the owner must keep the building insured

Section 48(1) allows registration, against land and for the benefit of other registered land, of a condition or covenant that the land "is not to be built on, or is to be or not to be used in a particular manner", or any other covenant capable of running with land. Once registered, later owners are deemed to have notice and are bound if it runs with the land (s.48(4)). A land use bylaw is a municipal instrument under the Municipal Government Act, not a covenant on title.

13. A restrictive covenant bars any second building on a lot, but the current land use bylaw now allows a garden suite. The benefiting owners refuse to release the covenant. How can it be modified or discharged?

1. By court order, if the court finds the statutory grounds are met
2. Automatically, as the newer land use bylaw prevails over the covenant
3. By the Registrar, on the owner's declaration that it is out of date
4. By the municipality, passing a resolution to cancel it on title

Section 48(4): a registered condition or covenant "may be modified or discharged by order of the court" on proof that the modification will benefit the persons principally interested in enforcing it, or that it conflicts with a land use bylaw or statutory plan under Part 17 of the Municipal Government Act, and that the modification or discharge is in the public interest. A conflicting bylaw is a ground for a court application; it does not cancel the covenant by itself, and neither the Registrar nor the municipality can remove it on their own (see also s.139(2)).

14. Under s.69 of the Land Titles Act, how does a registered utility right of way differ from an ordinary easement?

1. It runs with the land even though the grantee owns no benefiting parcel
2. It binds the current owner but ends automatically when the land is sold
3. It is not shown on title because it is implied in every Crown grant
4. It requires a dominant parcel owned by the utility next to the land

Land Titles Act: an ordinary easement benefits a dominant tenement (s.67). Under s.69(1), an owner may grant the Crown or a corporation a right for conduits, cables, pipelines, water, drainage, sewage, public works and similar purposes, and the instrument may be registered. Section 69(3): on registration the grantee may use the land under the grant, and that right "runs with the land notwithstanding that the benefit of the right is not appurtenant or annexed to any land of the grantee." A registered utility right of way appears on title and binds later owners.

15. A neighbour's garage eave extends over the seller's lot line. The two owners sign an encroachment agreement and register it against both parcels. What is the effect for later buyers?

1. It binds the two signers personally and ends once either lot sells
2. It binds and benefits later owners of both lots, like an easement
3. It must be renewed by each new owner within one year of buying
4. It cures any land use bylaw breach caused by the encroaching eave

Land Titles Act, s.72(1): an encroachment agreement permitting improvements on an adjoining parcel to encroach may be registered against the parcels affected and, after registration, "shall be binding on and enures to the benefit of all persons subsequently acquiring interests in the parcels of land affected by that agreement to the same extent as if it were an easement." It needs no renewal. It settles the private boundary issue; compliance with the land use bylaw is a separate municipal question.

16. What is the key difference between joint tenancy and tenancy in common?

1. Joint tenants need a court order to sell; tenants in common do not
2. Tenants in common have a right of survivorship; joint tenants do not
3. Joint tenancy is for spouses; tenancy in common is for business partners
4. Joint tenants have a right of survivorship; tenants in common do not

RECA's Practice of Residential Real Estate blueprint glossary ("Forms of Ownership"): joint tenancy reflects owners on title "where one will inherit upon death of the other", and tenancy in common reflects "two or more owners without the right of survivorship." The Land Titles Act gives effect to survivorship: when a joint tenant dies, the Registrar issues a new title to the survivor (s.121). Any co-owners may choose either form, and neither requires a court order to sell.

17. Maya and Tomas own their house as joint tenants. Tomas dies, and his will leaves everything to his brother. What happens to Tomas's interest in the house?

1. It passes to his brother under the will once probate is granted
2. It is split evenly between Maya and Tomas's estate by the Registrar
3. It goes to Maya, who may apply for a new title in her name alone
4. It vests in his personal representative until the estate is settled

Section 121: when a joint tenant dies, the Registrar, on application with satisfactory documentation, "shall cancel the certificate of title and grant a new certificate of title in the name of the surviving joint tenant." Survivorship operates outside the will, so the brother takes nothing in the house. Vesting in the personal representative (s.116) applies to land the deceased held alone or as a tenant in common.

18. Priya and Daniel are registered as tenants in common, each holding one half. Priya dies, leaving her half to her daughter by will. Which statement is correct?

1. Priya's daughter goes on title at once on proof of Priya's death
2. Priya's half passes automatically to Daniel as the surviving owner
3. Priya's half vests in her personal representative, who deals with it
4. The Registrar issues a new title to Daniel for the whole parcel

Tenants in common have no right of survivorship (PRRE glossary, "Forms of Ownership"), so s.121 does not apply. Under s.116(1), the deceased owner's interest vests in her personal representative, who must apply to be registered, producing the probate or letters of administration, before dealing with it (s.116(2)); the personal representative then transfers it to the daughter under the will. Daniel keeps his own half.

19. One of two joint tenants wants to transfer her interest to herself as a tenant in common, which would sever the joint tenancy. What must the Registrar receive before registering the transfer?

1. A court order confirming the joint tenancy was validly severed
2. The other owner's signature or written consent, or proof of notice
3. Nothing more, as a joint tenant may sever alone without any notice
4. A new Real Property Report showing each co-owner's share of the lot

Land Titles Act, s.65: the Registrar shall not register a transfer that has the effect of severing a joint tenancy unless (a) it is executed by all the joint tenants, (b) the others give their written consent, or (c) the Registrar receives satisfactory evidence that the others were given written notice of the intention to register it, by personal service or court-ordered substitutional service. No court order is required, and an RPR shows improvements, not undivided shares.

20. Two trustees are registered as joint owners of land they hold in trust, and the words "no survivorship" are entered on the title. What is the effect?

1. The trust terms are shown on title, and buyers must read the trust deed
2. Fewer than all the trustees need court approval to deal with the land
3. The surviving trustee may sell the land alone after the other one dies
4. Each trustee may sell a half interest without the other's agreement

Section 205(1)-(2): on a transfer to two or more persons as joint owners holding as trustees, the words "no survivorship" may be entered on the certificate of title. Section 205(3): after that entry, "it is not lawful for any less number of joint owners than the number entered to transfer or otherwise deal with the land without obtaining the sanction of the court." The trust itself is not shown on title (s.47), and after one trustee dies the survivor cannot deal with the land alone without the court's sanction.

21. A transfer is submitted naming "Ali Khan, in trust for the Khan Family Trust" as transferee. How does the Registrar treat the trust?

1. As if there were no trust, and the named trustee is deemed the owner
2. By noting the trust terms on the certificate of title as a memorandum
3. By filing the trust deed as a caveat in favour of the beneficiaries
4. By issuing the certificate in the names of the trust's beneficiaries

Section 47: no memorandum or entry of any notice of trusts is made on a certificate of title. The Registrar treats an instrument containing such a notice "as if there were no trust", and the trustee named is deemed the absolute and beneficial owner for the purposes of the Act. Beneficiaries who want to protect their interest on title can file their own caveat (s.130(a)(i)).

22. Under s.1 of the Land Titles Act, what is a "certificate of title"?

1. A surveyor's drawing of buildings in relation to boundaries
2. The record of title to land that the Registrar maintains
3. The deed the seller signs and hands to the buyer at closing
4. The municipal record of a property's assessment and taxes

Section 1(b): "certificate of title" means the record of the title to land that is maintained by the Registrar. The certificates of title kept by the Registrar, with the particulars of instruments and caveats recorded on them, constitute the "register" (s.15). The document the seller signs is a transfer (s.64), a surveyor's drawing of improvements is a Real Property Report, and assessment records are kept by the municipality.

23. Which statement best reflects s.60(1) of the Land Titles Act, often described as the indefeasibility of title?

1. The owner's title is provisional until 10 years of undisputed possession
2. The owner holds subject to every claim a prior owner agreed to in writing
3. The owner holds subject to interests endorsed on title, free of others
4. The owner's title yields to anyone who signed an earlier purchase contract

Section 60(1): the registered owner holds the land subject to the encumbrances, liens, estates and interests endorsed on the certificate of title (plus the incidents the Act implies, such as those in s.61), "absolutely free from all other encumbrances, liens, estates or interests whatsoever", except in case of fraud in which the owner participated or colluded and except a claim under a prior certificate of title. There is no waiting period, and unregistered claims of earlier owners or buyers do not bind the registered owner.

24. In which situation can the conclusive effect of a certificate of title be set aside under s.62(1)?

1. The owner paid less than the assessed value of the land
2. The owner bought the land without viewing it in person first
3. The owner took part in the fraud by which the title was obtained
4. The previous owner now regrets the sale and wants to undo it

Section 62(1): every certificate of title is conclusive proof that the person named is entitled to the land, "except in case of fraud in which the owner has participated or colluded", subject to the reservations in s.61, and except for a wrong description of boundaries or parcels and claims under a prior certificate of title. A low price, a seller's regret or a failure to inspect are not exceptions.

25. Alberta's land titles system is often called a Torrens system. What is its central feature?

1. Private title insurers keep the master record of each owner
2. Owners prove title by tracing the chain of past deeds they hold
3. The government register of titles is itself the proof of ownership
4. Municipalities keep ownership records for property tax purposes

Under the Land Titles Act, the Registrar keeps the register of certificates of title (s.15), and a certificate of title is conclusive proof, as against all persons, that the person named is entitled to the land, subject to the Act's exceptions (s.62(1)). Buyers rely on the register instead of tracing a chain of deeds, and they are not required to look behind it for unregistered trusts or interests (s.203(2)).

26. A fraudster forges Lena's signature, becomes the registered owner of her condominium unit and sells it to Omar. Omar pays fair value, knows nothing of the fraud and made all reasonable efforts to confirm the seller was the registered owner. Omar's transfer is registered. What is the likely outcome?

1. Lena and Omar become tenants in common, each holding a half interest
2. Lena recovers the unit, since a forged transfer cannot pass any title
3. Omar must return the unit but may claim his price from the Registrar
4. Omar keeps the unit, and Lena may sue the Registrar for her loss

Land Titles Act, s.170(1): a purchaser bona fide for valuable consideration is not subject to an action for damages, ejectment or deprivation of the land on the plea that the transferor was registered as owner through fraud, "if the purchaser ... has made all reasonable efforts to confirm that the transferor ... is the registered owner of the land"; the protection starts when the purchaser's instrument is registered (s.170(2)). Lena, deprived of land by the registration of another person as owner, may bring an action against the Registrar for damages (s.168(1)(b)(ii)), generally within 6 years (s.178(1)(a)).

27. Within what period must an action against the Registrar for deprivation of land generally be brought?

1. Within 6 years from the date the deprivation took place
2. Within 10 years from the date the deprivation took place
3. Within 60 days from the date the deprivation took place
4. Within 2 years from the date the deprivation took place

Land Titles Act, s.178(1)(a): no action for damages under the Act shall be brought against the Registrar by reason of the deprivation of land "unless it is brought within 6 years from the date when the deprivation took place". Claims for an error, omission or misdescription in a certificate of title also have 6 years from when it was made (s.178(1)(b)), and a minor or represented adult has 6 years from the date the disability ceased (s.178(2)). The 60-day period belongs to the caveat lapse procedure (s.138).

28. What happens to the seller's certificate of title when a transfer of the whole parcel to the buyer is registered?

1. It is endorsed with the buyer's name and kept as the same certificate
2. It stays in force until the buyer's new mortgage has been fully discharged
3. It is handed to the buyer's lawyer, who becomes its legal custodian
4. It is cancelled, and a new certificate of title is issued to the buyer

Section 46: "On a transfer of ownership, the certificate of title of the transferor shall be cancelled in respect of the land transferred and a new certificate of title shall be issued to the transferee." The certificate is the Registrar's record (s.1(b)), not a document held by a lawyer, and the buyer's mortgage is registered against the buyer's new title (s.102(2)).

29. A seller signs a transfer on May 1 at the lawyer's office, the buyer takes possession on May 5, and the transfer is registered on May 6. When does the estate pass to the buyer under the Land Titles Act?

1. On May 6, when the transfer is registered and becomes operative
2. On May 5, when the buyer takes possession under the contract
3. On May 1, when the seller signs and the transfer is executed
4. When the buyer's lender releases the mortgage funds to the seller

Section 53: after a certificate of title has been granted, no instrument is effectual to pass any estate or interest in the land unless it is executed in accordance with the Act and registered; on registration, the estate or interest passes. Section 54: "So soon as registered every instrument becomes operative according to its tenor and intent". Priority is also fixed by registration, not by the date of execution (s.56).

30. A certificate of title states that a parcel contains 0.65 hectares, but an accurate survey shows 0.61 hectares within its legal boundaries. What does the parcel consist of?

1. The 0.65 ha, since the area on a title is conclusive proof
2. The area shown for the parcel on the municipal assessment roll
3. The average of the two figures until a court decides otherwise
4. Only the 0.61 ha of land actually within its legal boundaries

Section 90: every parcel described in a certificate of title "consists only of the actual area within its legal boundaries and no more or less", even if the certificate or another instrument expresses a larger or smaller area. The conclusive effect of a certificate of title does not extend to a wrong description of boundaries or parcels (s.62(1)). Lot dimensions should come from a surveyor's document, not from the area stated on title.

31. Section 183 of the Land Titles Act protects a registered owner against actions to recover the land. Which person may still bring such an action against the owner?

1. A former owner who sold the land below its market value last year
2. A mortgagee, against a mortgagor who has defaulted on the mortgage
3. A buyer under an earlier unregistered offer that later fell through
4. A neighbour who wants to use a path across the land as a shortcut

Land Titles Act, s.183(1) bars actions of ejectment or for recovery of titled land against the owner except in listed cases: (a) a mortgagee against a mortgagor in default, (b) an encumbrancee against an encumbrancer in default, (c) a lessor against a lessee in default, (d) a person deprived of land by fraud against the owner through fraud, (e) misdescription of boundaries, and (f) a claim under a prior registered title. In other cases, the certificate of title is "an absolute bar and estoppel" (s.183(2)). A low price, a wish for a shortcut or a collapsed offer is not an exception.

32. A buyer knows that the seller's brother claims an unregistered interest in the house, but no caveat has been filed. Under s.203 of the Land Titles Act, what is the effect of that knowledge alone on the buyer?

1. It binds the buyer to the brother's claim as if it had been registered
2. It voids the transfer unless the brother consents to the sale in writing
3. It obliges the buyer to file a caveat on the brother's behalf at closing
4. It does not, by itself, amount to fraud or bind the buyer to the claim

Land Titles Act, s.203(2)(b): a person taking a transfer from a registered owner is not, except in the case of fraud by that person, affected by any notice, direct, implied or constructive, of any trust or other interest that is not registered by instrument or caveat. Section 203(3): knowledge that such an interest exists "shall not of itself be imputed as fraud." Because a claim may still be litigated, the buyer's agent should advise the buyer to obtain expert (legal) advice (Real Estate Act Rules, Rule 58(k)).

33. A court order requires a caveat to be registered within 10 days. The request is entered in the pending registration queue on day 8 and stays there, but the caveat is registered on day 15. Has the court's deadline been met?

1. No, the deadline is met on the day the caveat is actually registered
2. No, the deadline is met when the Registrar mails the owner a notice
3. Yes, entry in the queue satisfies the deadline unless later removed
4. Yes, as court deadlines do not apply to land titles registrations

Section 14.1(7): where a court order or enactment requires an instrument or caveat to be registered within a specific period, the timing requirement is "deemed to have been satisfied when the request for registration or filing referencing the instrument or caveat is entered in the pending registration queue", unless the request is later removed from the queue because it was not returned in time after correction or was rejected (s.14.1(6)(a)(ii), (b)). Entry on day 8 meets the 10-day deadline.

34. Bank A's mortgage was signed on March 1 and registered on March 10. Lender B's mortgage on the same land was signed on March 5 and registered on March 8. Neither has postponed. Which mortgage has priority?

1. Lender B's mortgage, because it was registered first on title
2. Bank A's mortgage, because it was signed earlier than Lender B's
3. Bank A's mortgage, because a bank outranks a private lender
4. Both rank equally, since both were registered in the same month

Priority follows registration, not signing: instruments affecting the same land rank "according to section 14 and not according to the date of execution" (s.56), and the serial number assigned on registration determines priority (s.14(3)). Lender B registered on March 8, before Bank A on March 10, so Lender B ranks first unless it registers a postponement (s.107). The identity of the lender is irrelevant.

35. Under s.14 of the Land Titles Act, what determines priority between mortgagees, transferees and others?

1. The date that the parties wrote on the instrument when signing
2. The time the lawyer's office received the signed documents
3. The serial number the Registrar assigns to the instrument
4. The date the mortgage lender advanced the funds to the owner

Section 14(2): the Registrar examines each request and, if complete and in proper form, assigns the instrument or caveat a serial number and endorses it with the date on the certificate of title. Section 14(3): "For purposes of priority between mortgagees, transferees and others, the serial number assigned to the instrument or caveat shall determine the priority". Section 14(4) allows another identifier if it still determines priority.