Order Description

Question 1

Alan, a fanatic gardener, decides to redo a guest house on his sprawling estate; he asks his friend Kevin, who has a keen eye for architecture, if he might be able to help him take down the old
guest shed so that a new one can be placed on the property. Kevin agrees; in return for Kevin’s help, Alan agrees to sell the shed to Kevin for a discounted price. The shed itself is made of wooden
beams, and is of a variety which is commonly sold in gardening centres.

Rather than dismantling the wooden beams, Alan and Kevin sever the shed from the foundations. They then carry the shed to a field close to Alan’s land. The farmer there had agreed that they might
store the shed on the unused field until Kevin picks it up with a trailer. After they are done carrying the shed to the farm land, Kevin pays the purchase price to Alan.

A few days later, Frances walks by and sees the shed on the farm. She knocks on Alan’s door and asks him whether she might buy the shed. Alan agrees, and Frances pays the purchase price.

Later, Kevin finds out about this and asks Frances to hand over the shed to him. Frances refuses.

Kevin wants to know whether he can bring any claim against Frances. Advise Kevin.

Question 2

Theresa is interested in buying the freehold of “Garden Cottage”, the title to which is registered. Garden Cottage is a small house with a large garden and is currently owned by David. David
acquired the title to Garden Cottage in the 1970s from Ted, who built Garden Cottage on farmland he owned. After he built Garden Cottage, Ted carried on living in the adjacent farmhouse and
retained the freehold to the land on which the farmhouse is situated.

Theresa discovers that David entered into an agreement with Ted stating that David could only alter Garden Cottage if he obtained permission from Ted first. When Theresa looks at the registered
title to the land on which Garden Cottage is situated, she learns that the document transferring ownership from Ted to David contained a clause stating that, “The Buyer covenants with the Seller
for the benefit and protection of the Seller’s Retained Land not to construct any additional buildings on the Property or to make any external alteration or

 

2

addition to the dwelling-house without the consent of the Seller”. Theresa is concerned because she thinks that she could increase the value of the cottage if she built an extension to it.

Advise Theresa whether or not this covenant would be binding on her if she bought Garden Cottage.