Private caveat

The National Land Code pursuant to section 323 provides that a private caveat may be entered at an instance of a person who:

1. (a) Claims title, or has any registrable interest in, any alienated land or undivided share in any alienated land or any right to such right or interest;
2. (b) Claims to be beneficially entitled under any trust affecting any such land or interest; and
3. (c) Is the guardian or next friend of any minor who claims to be entitled to paragraph (b) above

Once a private caveat is lodged to bind the land itself or an undivided share, it shall prohibit any endorsement or entry on the register document of title thereto of:

1. (a) Any instrument of dealing executed by or on behalf of the proprietor thereof, and any certificate of sale relating to the land;
2. (b) Any claim to the benefit of any tenancy exempt from registration granted by the said proprietor;
3. (c) Any lien-holder’s caveat in respect thereof.

It should be noted that so long as there is a claim in respect to part of the land, the caveat binds the whole land and where the claim is in respect of an undivided share in the land, the caveat binds the whole of the undivided share in the land.

A caveat is a temporary measure to protect the rights with regards to the land and it is not a remedy by itself. As an illustration, under the law, so long as there is a valid agreement in existence for the sale of land, the purchaser is entitled to lodge a private caveat to protect his rights under the agreement and later sue for specific performance in the event there is a breach of the agreement by the landowner.

Since no consent of any person or body is necessary for the lodgement of a private caveat there exists a possibility that it can be lodged on illegitimate grounds. As such the law provides that a caveat entered wrongfully or without reasonable grounds can be removed and if the caveator fails to withdraw accordingly, the person who lodged the caveat shall be liable to pay compensation to the landowner or any person or body who suffers as a result of the lodgement of the caveat.

The private caveat continues to be in force for a period of six years after which it automatically lapses.

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