The word caveat is Latin and translates to “let him or her beware”. A caveat can be lodged against someone’s property title to protect the lodging party’s right or interest in the property and it prevents the registered owner of the property from selling, mortgaging, and dealing with the property until the caveat is removed from the title.
To lodge a caveat you must have a “caveatable interest”. Under section 138(1) of the Land Transfer Act 2017, to meet the threshold of a caveatable interest, the person:
Common examples of when a caveat could be registered are:
Please note that if a caveat is registered without reasonable cause, you could be liable to pay compensation to anyone who suffers a loss as a result of the caveat being registered.
There are three ways to remove a caveat from a title which are:
In conclusion, whether you would like to protect an interest you have in land, or would like to apply for the removal of a caveat from your property, we advise you seek legal assistance to explore the best way to move forward to resolve your matter.