LAND REGISTRY ACT, 1860. whose interests he has notice; and this is necessary, in order perfectly to secure equitable rights For, to secure these rights, it is not sufficient merely to prevent alienation by the registered proprietor Occasions arise where the holder of the legal estate must allow his name to be used in actions at law, on behalf of persons holding equitable rights. If ho refuses to do so, it is at hit peril. The registered proprietor must stand in like case. To remove doubts on this point, I propose a declaratory enactment to this effect :— * The lodging of an inhibition shall bo deemed to be notice to all the world of the claim, right, " or interest protected thereby, and shall have the same effect as against the land (or, in the case of "a charge, against such charge) and against the proprietor of such land (or charge) and all other "persons whomsoever, as expiess notice has by the rules of equity; and the registered proprietor " shall in all such cases stand in relation to parties having su«h claims, rights, or interests as the " holder of the legal estate, having express notice, and in all cases of intended transfers, notice " thereof shall be given to Inhibitors." All interests thus protected by inhibition will be in the nature of equitable interests, for which the remedy will be by application to the Supreme Court. The inhibition meantime will prevent the disposal of the land, " to the prejudice of the person interested." Subject and without prejudice to registered Incumbrances, including Inhibitions the Registered Proprietor will retain the right of disposal. The intention of the Act is, not that Inhibitions shall be an absolute impediment to Transfer, but that without prejudice to the interests of Inhibitors, Proprietors may subject thereto dispose of their land or charges. To prevent doubt, however, on this point, it will, I think, be desirable to make express provision to the following effect: — " In all cases where a Registered Proprietor of any Land or charge shall transfer the same, " subject to subsisting Incumbrances, including Inhibitions, an entry shall be made in the " Register as against the title of the new proprietor, to the effect that such Incumbrances and " Inhibitions are continued, and every Inhibition so continued shall have the same effect, as against " the new proprietor, and all persons claiming from, through or under him, as if the same had been " originally registered against the title of such new Proprietor." It will be better to permit a proprietor thus to dispose of his estate, subject to Incumbrances, than to require him to clear them from the Register before permitting him to transfer. In cases where it may be requisite absolutely to stop the disposal of registered land or charges, an Injunction of the Supreme Court, obtained summarily on Petition, under the 112 th section, will have that effect.* XLVII. -It may be objected, that the unrestricted power of lodging Inhibitions, subject only to the risk of actions for damages under the 65th Section, may be vexatiously used, and ought to be expressly limited. If the effect of inhibition were absolutely to take away the proprietor's power of disposal, there would be ground for such objection, though even in that case, experience, drawn from the analogous practice of Distringas on Stock, would show that the danger of abuse is small. (See Mr. Freshfield's Evidence before the Registration Commissioners, 1857, p. 287, Appendix.) I think, however, it will be desirable to copy the practice of the Bank of England in the case of Distringas, and to require from a party lodging an Inhibition an affidavit in general terms declaring that the party believes himself to have sufficient ground for the proceeding. With this view I propose Regulation 123:— When an Inhibition is lodged, it is reasonable that the Proprietor should have notice thereof, mid be enabled to show cause for its removal. The 64th Section indicates the intention that the District Registrar shall exercise a power of this kind. I propose to require therefore, that every person lodging an Inhibition shall at the same time serve a copy on the Registered Proprietor; —transmission by post to the Proprietor's jikice of address, to be good service. Upon objection made, the District Registrar will be empowered by the 64th Section to cancel the Inhibition, if it be shown to his satisfaction that " the interests of the Inhibitor have ceased or " that such interests are not such in respect of which equity would interpose." XLVIII. As regards the procedure of the Supreme Court, I do not feel myself at liberty to suggest Regulations. Section 71 excepts from the Regulations to be made by the Governor in ! Council all Rules and Orders authorised to be made by the Judges of the Supreme Court. Section 94 authorises the Judges to make Regulations touching appeals under Section 103. Section 113 authorises them to make rules generally for regulating proceedings in the Supreme Court under the Act. The functions vested by the Act in the Supreme Court are —■ Ist. By Section 89, (Sub-section 3:) "A Judge of the Supreme Court may, upon the application "of any Registered Proprietor for the time being, or of any person beneficially iuterested in the

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Disposal of land and charges, subject to registered Incumbrances

Risk of vexatious Inhibitions.

Registrar's power of cancelling Inhibitions.

See Regulation 119.

Procedure of the Supreme Court. Sub. sec. -i.

Note. —We must distinguish between two kinds of interest, which will be the subject of Inhibition; —one, where the object is merely to affect the Title with notice of the right. —as a right of way. or mining, or an annuity issuing out of land, or a pecuniary charge bearing interest, or a Covenant running with the land. In such cases (the land remaining subject to the claim) it would be against the Intention of the parties, and public convenience, to hinder the Proprietor's right of disposal, farther than by keeping the liability ou the land alive. 13ut there are cases, in which any disposal of he land, would destroy, or greatly prejudice the right of the Inhibitor; —as in the case of a purchaser claiming specificperforrca ice of a contract or, an equitable owner in fee. In such cases, the Inhibitor should have the power of intert posing to prevent the transfer. I think it will be sufficient if, in all c*ses, notice of an intended transfer be given to Inhibitors. Upon such notice parties may apply summarily to the Supreme Court for an Injunction.