Land Registration: Overriding interests general / Paragraph 1 overriding interests

Overriding interests bind purchasers despite not being entered on the register. A large number of overriding interests are listed in Schedule 3 of the 2002 Act. 

Note: Schedule 1 applies for first registration. Same categories, but differences for short leases, actual occupation and easements.

Paragraph 1 covers leases not exceeding seven years. Only legal leases fall within the paragraph (City Permanent BS v Miller (CA)).

Many leases (including all those over three years) have to be created by deed. Failure to use a deed means the lease can, at best, be an equitable lease. It therefore cannot fall wtihin Paragraph 1 even if it's for seven years or less. However, will fall within Paragraph 2 if tenant is in actual occupation.

Note that future leases and discontinuous leases have to be registered regardless of their length, so comes as no surprise that they cannot be overriding interests within Paragraph 1.

Also note that short leases requiring registration under s4 (compulsory first registration) don't fall within Paragraph 1.