NCA Property Law 2 — Questions and Answers
Question 1: What is the fundamental distinguishing feature between joint tenancy and tenancy in common?
- Joint tenancy allows unequal shares; tenancy in common requires equal shares
- Joint tenancy includes the right of survivorship; tenancy in common does not (Correct answer)
- Joint tenancy can only be created between spouses; tenancy in common is available to all
- Joint tenancy requires court approval; tenancy in common arises automatically
Correct answer: Joint tenancy includes the right of survivorship; tenancy in common does not
The defining feature of joint tenancy is the right of survivorship, whereby a deceased joint tenant's interest passes automatically to the surviving joint tenants rather than through the deceased's estate.
Question 2: What are the four unities required to create a valid joint tenancy at common law?
- Title, time, interest, and intention
- Possession, interest, title, and time (Correct answer)
- Capacity, intention, writing, and registration
- Possession, purpose, title, and terms
Correct answer: Possession, interest, title, and time
Joint tenancy requires unity of possession, interest, title, and time — all co-owners must hold identical interests, acquired simultaneously under the same instrument.
Question 3: How may a joint tenant unilaterally sever a joint tenancy under Canadian common law?
- By making a will leaving their share to a third party
- By transferring their interest to a third party or, in some provinces, to themselves (Correct answer)
- By giving written notice of severance to all co-tenants
- Only by obtaining a court order for partition
Correct answer: By transferring their interest to a third party or, in some provinces, to themselves
A joint tenancy is severed when one joint tenant alienates their interest to a third party (or in some jurisdictions to themselves), destroying the unity of title and converting that share into a tenancy in common.
Question 4: What is a 'restrictive covenant' in Canadian property law?
- A personal contractual promise not to compete in business
- A promise restricting land use that binds successors in title when properly constituted (Correct answer)
- A lender's covenant in a mortgage requiring timely payments
- A municipal bylaw restricting residential development
Correct answer: A promise restricting land use that binds successors in title when properly constituted
A restrictive covenant is a promise by a landowner to restrict the use of their land that, if properly created at equity, runs with the land and binds future owners of the burdened parcel.
Question 5: Under the equitable rules derived from Tulk v Moxhay, which of the following is NOT a requirement for a restrictive covenant to run with the burdened land?
- The covenant must be negative (restrictive) in nature
- The covenant must touch and concern the burdened land
- The covenantee must retain land that is benefited by the covenant
- The covenant must be registered in the local land titles office (Correct answer)
Correct answer: The covenant must be registered in the local land titles office
Registration is a requirement under provincial land titles statutes to bind subsequent purchasers for value, but it is not one of the four Tulk v Moxhay equitable requirements for the covenant to run with the land.
Question 6: What is a 'profit à prendre' in Canadian property law?
- A right to share in the profits of a commercial enterprise on neighbouring land
- The right to enter another's land and extract a natural resource such as timber, minerals, or game (Correct answer)
- A mortgagee's right to take possession of property upon default
- A co-owner's right to receive rental income from jointly held property
Correct answer: The right to enter another's land and extract a natural resource such as timber, minerals, or game
A profit à prendre is a proprietary right to enter the servient land and sever and take some natural product from it, such as timber, fish, peat, or minerals.
Question 7: Under the Torrens indefeasibility principle, which statement best describes the protection afforded to a registered owner?
- It bars the Crown from expropriating registered land without consent
- It protects a bona fide purchaser's registered title against most prior unregistered interests (Correct answer)
- It makes all land sales final and immune from rescission for any reason
- It completely eliminates adverse possession claims against registered land
Correct answer: It protects a bona fide purchaser's registered title against most prior unregistered interests
Indefeasibility means that a bona fide purchaser who registers their interest takes title free from most prior competing unregistered interests, subject to statutory exceptions such as fraud and overriding interests.
What is the fundamental distinguishing feature between joint tenancy and tenancy in common?