The Doctrine of Fixtures - LAWS 2000 - Ownership & Title Law

Contents: 1\. The Doctrine of Fixtures 2\. Encroachment and Mistake of Title **1. The Doctrine of Fixtures** **What is a fixture?** Quicquid plantatur solo, solo cedit -- What is attached to the land becomes part of the land. Definition: Fixtures are objects or artificial structures attached...

Contents: 1\. The Doctrine of Fixtures 2\. Encroachment and Mistake of Title **1. The Doctrine of Fixtures** **What is a fixture?** Quicquid plantatur solo, solo cedit -- What is attached to the land becomes part of the land. Definition: Fixtures are objects or artificial structures attached physically to the land or to a building on the land and are regarded in law as part of the land. - - The law in relation to fixtures determines how and when an object of personal property loses its character as a chattel and becomes recognised as being part of the land. - - - Fixture conflicting claims: Conflicting claims to the item may arise in relation to a variety of matters. For example, if you are renting a property, you may not want to leave your valuable painting that you have hung on the wall behind when you leave because the landlord argues that the painting has become "attached" to the property. Furthermore, there can be conflicting claims arising in relation to: Vendor and purchaser; Mortgage: A bank that has lent money which is secured by a mortgage over the land (mortgagee) and the owner of the land (mortgagor); A life tenant and a remainder person or reversioner; A devisee and personal representatives of an estate; A lessor and lessee of chattels; and Landlord and tenant. Assessment of stamp duty on land transfers. **Fixture tests** Case: *Holland v Hodgson* (1872) LR 7 CP 328 Facts: P, owner of a mill conveyed the mill and all fixtures to D by way of fortgage, however later P went bankrupt and assigned all this estate to D as an assignee in bankruptcy. The dispute arose because D sold machinery that had been housed in the mill. The legal question was, was the machinery (looms) fixtures to the land or not. - - - - - - - - - - - - Quotes the rule is derived... Blackburn J at 334-5: Essentially... Ask Is it attached in some way for a purpose? And if there is a purpose or degree of annexation **Remember to be objective** The test of intention (holland v hodgson test) is a objective test, how things appear to others; from the perspective of a reasonable person looking at the item to consider if the item was intended to be a fixture or remain a chattel. This was confirmed within Hobson v Gorringe. **The objective test of intention** was is the object of intention from Hobson v Gorring \[1897\] 1 Ch 182 Issues: (a) was the engine a fixture? \(b) priority between competing interests. Hobson: the owner of engine, with an equitable right of removal of engine, the subject of a hire purchase agreement. King: original owner of fee simple, and hirer of engine, and mortgagor. Gorringe: mortgagee (under old system title), and PRIORITY ISSUE: - - FIXTURE ISSUE: - - - Quote clarifying *holland's* meaning of 'circumstances' "*When Lord Blackburn in Holland v Hodgson was dealing with "circumstances to show intention" he was contemplating a referring to [circumstances] which showed the degree of annexation and the object of annexation which were [patent for all to see], and not to circumstances of a chance agreement that might or might not exist between an owner of a chattel and a hirer thereof...."* However: Can the actual (that is subjective) intention of the affixer ever be relevant? - - - - - - - **What test to use?** - - - - - - - - Ultimately remember: - - **Cases on fixture tests** - - - - - - - - - - - - Reid v Smith (1905) 3 CLR 656 The case concerned an ordinary dwelling house, unattached to the land (stood upon stilts). This case is noticeable as the High Court held that it was a fixture. **SUMMARY OF FIXTURE TEXTS** Consider: All the facts and circumstances of the case including: 1\. The degree of annexation, Tests: Connection with land and Mode of annexation. 2\. The object/purpose of annexation. (Reflexive test.) - - - - 3\. The prevailing community standard -- social context: Reid v Smith. **Removal of Tenant's Fixtures** General rule: All fixtures attached by the tenant become part of the landlord's realty. Exception: Right of Removal of "tenant's fixtures": a. b. - - - c. d. - e. - - **2. MISTAKE of TITLE and ENCROACHMENT of BUILDINGS** Mistake of title in Common Law: - - - **Also see PLA**  **ENCROACHMENT OF BUILDINGS**