Celsteel v Alton House Holdings Limited [1985]

Alton Limited were registered freeholder of block of
flats.
Plaintiff was tenant of flat and garage under long
lease from predecessor in title of Alton.
Lease gave plaintiff rights of way from garage to
street.
Lease never granted nor right of way protected by any
entry on registered title of freeholder.
Alton granted Mobil lease of ground floor of block of
flats including part of driveway over which right of way given.
Did plaintiff have overriding interest in respect of
his equitable easement of way?
Court of Appeal first considered whether s70(1)(a) of
LRA 1925 would protect his easement as an overriding interest.
Given it was an equitable
easement, depended on construction of words ‘required to be protected’.
Decided words ‘required to be protected’ in paragraph
(a) should be read in the sense ‘need to be protected’.
ie s70(1)(a) covers all equitable easements other than
those that could obtain protection otherwise than by notice on register (eg
through para (g) ).
Easement claimed by plaintiff entitled to protection
under Land Registration Rules 1925, rule 258.
Rule 258 categorises it as an overriding interest and
hence it is binding on Mobil.