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Property LawTorrens TitleMEDIUM

What is the legal effect of indefeasibility of title under the Torrens system?

Correct Answer

A) The owner's title cannot be defeated except on limited grounds, such as fraud.

Indefeasibility means a registered proprietor's title cannot be defeated by earlier unregistered claims or defects in the title's history, except on limited grounds set out in the Torrens statutes and case law, such as fraud by the proprietor. It gives owners and lenders certainty, with the state compensating anyone who loses through the system.

Answer Options
A
The owner's title cannot be defeated except on limited grounds, such as fraud.
B
The property cannot be sold or mortgaged without government approval first.
C
The title passes automatically to the owner's heirs on death, without any probate.
D
The property becomes exempt from council rates, land tax and other charges.

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Related Topics & Key Terms

Key Terms:

indefeasibilityTorrens systemregistered proprietortitle securityReal Property Act
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