Caveats, Lapsing Notices and Extensions
07 Aug 2018
What is a caveat?
1. A caveat is a statutory injunction with automatic effect preventing registration of
inconsistent dealings on title to land: Barry v Heider (1914) 19 CLR 197, 221 (Isaacs J).
A caveat is not, itself, a “dealing” in land: Real Property Act 1900 (NSW), s 3(1); J & H
Just Holdings v Bank of NSW (1971) 125 CLR 546, 558 (Windeyer J); Coplin v Al Maha
Pty Ltd [2016] NSWSC 1745 at [265] (Lindsay J)
2. The primary function of a caveat is protective; that is, it is designed to protect interests
in land from being adversely affected by the registration of a dealing. It is not the
primary function of a caveat to give notice to the world of a claimed interest in land,
although it can also have this effect and, in some circumstances, failure to lodge a
caveat can constitute postponing conduct: Avco Financial Services v Fishman [1993]
1 VR 90, 94 (Tadgell J); Person-to-Person Financial Services v Sharari [1984] 1 NSWLR
745, 747 (McLelland J).
Governing regime
3. Like the Torrens land system itself, caveats are a statutory creature. In New South
Wales, provision for the lodgement, effect, continuation and removal of caveats is
contained in Part 7A of the Real Property Act.2 However, there is also a considerable
body of applicable case law that has built upon these, and predecessor, provisions.
TAGS: Equity
