Section 322
Nature and effect of private caveats
of National Land Code (Revised - 2020)
(1)
A caveat under this section shall be known as a “private caveat”, and—
(a)
may be entered by the Registrar on the register document of title to any land at the instance of any of the persons or bodies specified in section 323;
(b)
shall have the effect specified in subsection (2) or (3), according as it is expressed to bind the land itself or an undivided share in the land or merely a particular interest therein.
(2)
The effect of any private caveat expressed to bind the land itself or an undivided share in the land shall, subject to subsections (4) and (5), be to prohibit so long as it continues in force the registration, endorsement or entry on the register document of title thereto of—
(a)
any instrument of dealing executed by or on behalf of the proprietor thereof, and any certificate of sale relating thereto;
(b)
any claim to the benefit of any tenancy exempt from registration granted by the said proprietor; and
(c)
any lienholder’s caveat in respect thereof:
Provided that where the claim is in respect of a 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.
(3)
The effect of any private caveat expressed to bind a particular interest only shall, subject to subsections (4) and (5), be to prohibit the registration, endorsement or entry on the register document of title of—
(a)
any instrument of dealing directly affecting that interest
(including any certificate of sale relating thereto); and 329
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(b)
where that interest is a lease or sublease—
(i)
any claim to the benefit of any tenancy exempt from registration granted directly thereout, and
(ii)
any lienholder’s caveat in respect thereof.
(4)
A private caveat shall not prohibit the registration, endorsement or entry of any instrument, claim or lienholder’s caveat where the instrument was presented, or the application for endorsement or entry received, prior to the time from which the private caveat takes effect.
(5)
A private caveat shall not prohibit the registration or endorsement of any instrument or claim where—
(a)
the instrument was presented or the application for endorsement made by the person or body at whose instance the caveat was entered; or
(b)
the said instrument or application was accompanied by the consent in writing of that person or body to its registration or, as the case may be, to the making of the endorsement.
(5a)
No consent of the person or body at whose instance a private caveat has been entered on a part of the land, an undivided share in the land or a particular interest therein is necessary to effect any registration, endorsement or entry of any instrument on the register document of title not affecting the claim relating to that part of the land, undivided share in the land or interest therein.
(6)
Where the registration of any instrument, or the endorsement or entry of any claim or lienholder’s caveat is prohibited by any private caveat, the Registrar shall reject the instrument or, as the case may be, application for endorsement or entry.
(7)
On rejecting any instrument or application for endorsement pursuant to this section, the Registrar shall take the like steps as if he had rejected it pursuant to section 298 or 317.
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