Legal interests

For the protection of interests under law, property is commonly divided into real property and personal property, and interests can be legal interests or equitable interests. The division and difference between legal interests and equitable interests are important to a legal practitioner for many reasons, including when determining when and whether to take real property or personal property as security, and how to protect a client’s interest in the security, which is dependent upon whether the interest is a legal interest or an equitable interest. This guidance note expands on these points, and provides common examples of legal interests in real property. It also explains how legal interests can be created by registration and by deeds, and provides practical guidance regarding how to ensure a deed is binding.

See Legal interests.