Only a person who has a legal interest in a property can lodge a Caveat to protect their interest. Once a caveat is lodged it appears on the title and notice is given to the other party with the Land Titles office. A caveat protects the property from being sold or the interest on title being changed. The common types of caveatable interests include:
- A partner who is not on the title;
- Someone who has an option to purchase the property;
- An unregistered mortgagee;
- A purchaser under a contract of sale that is yet to be completed;
- A claim that the land is held on trust for the caveator, including a constructive trust.
There are serious consequences for lodging a caveat if you do not have a caveatable interest to do so.
At Anderson Family Lawyers we can assist you to work out whether you have a caveatable interest that needs to be protected by lodging a caveat. If you would like to know more, Please contact our team on 03 5536 9111.