Commonhold and Leasehold Reform Bill [H.L.] - continued        House of Lords
PART I, COMMONHOLD - continued

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Miscellaneous
Multiple site commonholds.     55. - (1) A commonhold may include two or more parcels of land, whether or not contiguous.
 
      (2) But section 1(1) of this Act is not satisfied in relation to land specified in the memorandum of association of a commonhold association unless a single commonhold community statement makes provision for all the land.
 
      (3) Regulations may make provision about an application under section 2 made jointly by two or more persons, each of whom is the registered freeholder of part of the land to which the application relates.
 
      (4) The regulations may, in particular-
 
 
    (a) modify the application of a provision made by or by virtue of this Part;
 
    (b) disapply the application of a provision made by or by virtue of this Part;
 
    (c) impose additional requirements.
Development rights.     56. - (1) In this Part-
 
 
    "the developer" means a person who makes an application under section 2, and
 
    "development business" has the meaning given by Schedule 4.
      (2) A commonhold community statement may confer rights on the developer which are designed-
 
 
    (a) to permit him to undertake development business, or
 
    (b) to facilitate his undertaking of development business.
      (3) Provision made by a commonhold community statement in reliance on subsection (2) may include provision-
 
 
    (a) requiring the commonhold association or a unit-holder to co-operate with the developer for a specified purpose connected with development business;
 
    (b) making the exercise of a right conferred by virtue of subsection (2) subject to terms and conditions specified in or to be determined in accordance with the commonhold community statement;
 
    (c) making provision about the effect of breach of a requirement by virtue of paragraph (a) or a term or condition imposed by virtue of paragraph (b);
 
    (d) disapplying section 40(2) and (3).
      (4) Subsection (2) is subject-
 
 
    (a) to regulations under section 31, and
 
    (b) in the case of development business of the kind referred to in paragraph 7 of Schedule 4, to the memorandum and articles of association of the commonhold association.
      (5) Regulations may make provision regulating or restricting the exercise of rights conferred by virtue of subsection (2).
 
      (6) Where a right is conferred on a developer by virtue of subsection (2), if he sends to the Registrar a notice surrendering the right-
 
 
    (a) the Registrar shall arrange for the notice to be kept in his custody and referred to in the register,
 
    (b) the right shall cease to be exercisable from the time when the notice is registered under paragraph (a), and
 
    (c) the Registrar shall inform the commonhold association as soon as is reasonably practicable.
Development rights: succession.     57. - (1) If during a transitional period the developer transfers to another person the freehold estate in the whole of the commonhold, the successor in title shall be treated as the developer in relation to any matter arising after the transfer.
 
      (2) If during a transitional period the developer transfers to another person the freehold estate in part of the commonhold, the successor in title shall be treated as the developer for the purpose of any matter which-
 
 
    (a) arises after the transfer, and
 
    (b) affects the estate transferred.
      (3) If after a transitional period or in a case where there is no transitional period-
 
 
    (a) the developer transfers to another person the freehold estate in the whole or part of the commonhold (other than by the transfer of the freehold estate in a single commonhold unit), and
 
    (b) the transfer is expressed to be inclusive of development rights,
       the successor in title shall be treated as the developer for the purpose of any matter which arises after the transfer and affects the estate transferred.
 
      (4) Other than during a transitional period, a person shall not be treated as the developer in relation to commonhold land for any purpose unless he-
 
 
    (a) is, or has been at a particular time, the registered proprietor of the freehold estate in more than one of the commonhold units, and
 
    (b) is the registered proprietor of the freehold estate in at least one of the commonhold units.
Compulsory purchase.     58. - (1) Where a freehold estate in commonhold land is transferred to a compulsory purchaser the land shall cease to be commonhold land.
 
      (2) Section 21(1) shall not prevent the transfer by a unit-holder of the freehold estate in part of a commonhold unit to a compulsory purchaser.
 
      (3) Regulations may make provision about the transfer of a freehold estate in commonhold land to a compulsory purchaser.
 
      (4) The regulations may, in particular-
 
 
    (a) make provision about the effect of subsection (1);
 
    (b) require the service of notice;
 
    (c) confer power on a court;
 
    (d) make provision about compensation;
 
    (e) make provision enabling a commonhold association to require a compulsory purchaser to acquire the freehold estate in the whole, or a particular part, of the commonhold;
 
    (f) provide for an enactment relating to compulsory purchase not to apply or to apply with modifications.
      (5) In this section "compulsory purchaser" means a person exercising a power of compulsory purchase by virtue of an enactment.
 
Matrimonial rights.     59. In the following provisions of this Part a reference to a tenant includes a reference to a person who has matrimonial home rights (within the meaning of section 30(2) of the Family Law Act 1996 (matrimonial home)) in respect of a commonhold unit-
 
 
    (a) section 19,
 
    (b) section 34, and
 
    (c) section 36.
The Crown.     60. This Part binds the Crown.
 
 
General
Orders and regulations.     61. - (1) In this Part-
 
 
    "prescribed" means prescribed by regulations, and
 
    "regulations" means regulations made by the Lord Chancellor.
      (2) Regulations under this Part-
 
 
    (a) shall be made by statutory instrument,
 
    (b) may include incidental, supplemental, consequential and transitional provision,
 
    (c) may make provision generally or only in relation to specified cases,
 
    (d) may make different provision for different purposes, and
 
    (e) shall be subject to annulment in pursuance of a resolution of either House of Parliament.
Registration procedure.     62. - (1) The Lord Chancellor may make rules about-
 
 
    (a) the procedure to be followed on or in respect of commonhold registration documents, and
 
    (b) the registration of freehold estates in commonhold land.
      (2) Rules under this section-
 
 
    (a) shall be made by statutory instrument in the same manner as rules under section 144 of the Land Registration Act 1925 (general rules),
 
    (b) may make provision for any matter for which provision is or may be made by rules under section 144, and
 
    (c) may provide for rules under section 144 to have effect in relation to anything done by virtue of or for the purposes of this Part as they have effect in relation to anything done by virtue of or for the purposes of that Act.
      (3) Rules under this section may, in particular, make provision-
 
 
    (a) about the form and content of a commonhold registration document;
 
    (b) disapplying section 64 of the Land Registration Act 1925 (production of certificate) where action is taken in respect of a commonhold registration document or in respect of an order of a court or tribunal;
 
    (c) enabling the Registrar to cancel an application by virtue of this Part in specified circumstances;
 
    (d) enabling the Registrar, in particular, to cancel an application by virtue of this Part if he thinks that plans submitted with it (whether as part of a commonhold community statement or otherwise) are insufficiently clear or accurate;
 
    (e) about the order in which commonhold registration documents and general registration documents are to be dealt with by the Registrar;
 
    (f) for registration to take effect (whether or not retrospectively) as from a date or time determined in accordance with the rules.
      (4) The rules may also make provision about satisfaction of a requirement for an application by virtue of this Part to be accompanied by a document; in particular the rules may-
 
 
    (a) permit or require a copy of a document to be submitted in place of or in addition to the original;
 
    (b) require a copy to be certified in a specified manner;
 
    (c) permit or require the submission of a document in electronic form.
      (5) A commonhold registration document must be accompanied by such fee (if any) as is specified for that purpose by order under section 145 of the Land Registration Act 1925 (fees).
 
      (6) In this section-
 
 
    "commonhold registration document" means an application or other document sent to the Registrar by virtue of this Part, and
 
    "general registration document" means a document sent to the Registrar under a provision of the Land Registration Act 1925.
Jurisdiction.     63. - (1) In this Part "the court" means the High Court or a county court.
 
      (2) Provision made by or under this Part conferring jurisdiction on a court shall be subject to provision made under section 1 of the Courts and Legal Services Act 1990 (allocation of business between High Court and county courts).
 
      (3) A power under this Part to confer jurisdiction on a court includes power to confer jurisdiction on a tribunal established under an enactment.
 
      (4) Rules of court or rules of procedure for a tribunal may make provision about proceedings brought-
 
 
    (a) under or by virtue of any provision of this Part, or
 
    (b) in relation to commonhold land.
The register.     64. - (1) In this Part-
 
 
    "the register" means the register of title to freehold and leasehold land kept under section 1 of the Land Registration Act 1925,
 
    "registered" means registered in the register, and
 
    "the Registrar" means the Chief Land Registrar.
      (2) Regulations under any provision of this Part may confer functions on the Registrar (including discretionary functions).
 
      (3) The Registrar shall comply with any direction or requirement given to him or imposed on him under or by virtue of this Part.
 
      (4) Where the Registrar thinks it appropriate in consequence of or for the purpose of anything done or proposed to be done in connection with this Part, he may-
 
 
    (a) make or cancel an entry on the register;
 
    (b) take any other action.
      (5) Subsection (4) is subject to section 6(2).
 
      (6) After section 126(4) of the Land Registration Act 1925 (expenses of Registrar) there shall be inserted-
 
 
    "(4A) The reference in subsection (4) to expenses of carrying this Act into effect includes a reference to expenses incurred for a purpose connected with the Commonhold and Leasehold Reform Act 2001."
 
Amendments.     65. Schedule 5 (consequential amendments) shall have effect.
 
Interpretation.     66. - (1) In this Part-
 
 
    "instrument" includes any document, and
 
    "object" in relation to a commonhold association means an object stated in the association's memorandum of association in accordance with section 2(1)(c) of the Companies Act 1985.
      (2) In this Part-
 
 
    (a) a reference to a duty to insure includes a reference to a duty to use the proceeds of insurance for the purpose of rebuilding or reinstating, and
 
    (b) a reference to maintaining property includes a reference to decorating it and to putting it into sound condition.
      (3) A provision of the Law of Property Act 1925, the Land Registration Act 1925 or the Companies Act 1985 defining an expression shall apply to the use of the expression in this Part unless the contrary intention appears.
 
Index of defined expressions.     67. In this Part the expressions listed below are defined by the provisions specified.
 
 
 
Expression
 
Interpretation provision
 
Common parts
 
Section 24
 
A commonhold
 
Section 1
 
Commonhold association
 
Section 33
 
Commonhold community statement
 
Section 30
 
Commonhold land
 
Section 1
 
Commonhold unit
 
Section 11
 
Court
 
Section 63
 
Developer
 
Section 56
 
Development business
 
Section 56
 
Exercising functions
 
Section 8
 
Insolvent commonhold association
 
Section 47
 
Instrument
 
Section 66
 
Insure
 
Section 66
 
Joint unit-holder
 
Section 13
 
Liquidator (sections 41 to 46)
 
Section 41
 
Maintenance
 
Section 66
 
Object
 
Section 66
 
Prescribed
 
Section 61
 
The register
 
Section 64
 
Registered
 
Section 64
 
Registered freeholder
 
Section 2
 
The Registrar
 
Section 64
 
Regulations
 
Section 61
 
Succession order
 
Section 48
 
Successor commonhold association
 
Section 47
 
Termination application
 
Section 43
 
Transitional period
 
Section 8
 
Transfer (of unit)
 
Section 15
 
Unit-holder
 
Section 12
 
Winding-up resolution
 
Section 41
 
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