What is Adverse Possession?

Adverse possession refers to the occupation of land by a person(s) not legally entitled to it. If adverse possession continues unopposed for a specific period specified by law (known as the 'limitation period'), a squatter can thereby gain legal ownership of the land without paying any compensation.

What is adverse possession?

When an individual has occupied a property or land for a substantial period of time they may make a claim for adverse possession commonly referred to as squatters rights. This can arise in instances where the legal owner is unknown or the land has been abandoned or unclaimed.

There are several benefits to adverse possession, including:

• A successful claimant will become a registered proprietor. This will remove any potential risk of the property being reclaimed.

• Obtaining third party approval such as consent from a local authority is easier to do so.

• Once the title has been registered, the proprietor benefits from legal ownership and is entitled to sell the property and thereby make a profit. Under normal instances, a squatter would not have the right to sell the property.

What are the requirements?

There are several requirements:

• Factual possession - The occupier’s possession of the land must not be interrupted. The occupier must be able to demonstrate that they have exercised sufficient exclusive physical control over the property. The term sufficient is often a question of debate, in essence, the occupier must occupy the property and deal with any matters  as a home owner would do so. The home owner must be able to evidence that they have possession over the whole property and not just part in order satisfy factual possession. Adverse possession does not need to be apparent to anybody inspecting the land and there are no specific requirements to identify in inspection. In order to prove factual possession, occupation for a specific period of time referred to as the requisite period need be demonstrated. The requisite periods must be continuous and are as follows:

• If the land is registered and the period of occupation ended after 13 October 2003: 10 years

• If the land is registered and the period of occupation ended before 13 October 2003: 12 years

• If the land is unregistered: 12 years

2. Intention to possess - An occupier must be able to demonstrate that they intended to occupy the land as their own during their period of occupation. Adverse possession cannot be achieved if the legal owner has consented to occupation by the claimant. This is because there would be an express right to occupy the property and therefore ownership cannot be assumed.

What is the process?

This is done by way of an application to the Land Registry to have ownership transferred into their names. Thereby, giving the occupier a legal right to the land or property. In conjunction with the application, a fee is payable to the Land Registry, the fee is dependable upon property registration and value but this typically ranges from £70-£130.

The application consists of form ADV1 in addition to a statutory declaration or statement of truth. Upon receipt of the application, the Land Registry will review the documents and notify the proprietor (if any) and any other parties including the local authority, of the application. These parties will then have an opportunity to review the evidence and either confirm their acceptance or serve a counter-notice if they oppose the application.

If accepted, the application will be processed and the occupier will become the new legal proprietor. If the application is opposed, the Land Registry will reject this unless either:

• It would be unethical because of the registered proprietor’s previous conduct (also known as equity by estoppel);

• The squatter is, for some other reason, entitled to be registered as a proprietor; or

• The squatter has been in adverse possession of land adjacent to their own under the mistaken but reasonable belief that they are the owner of it.

If the application is then rejected, but the squatter remains in adverse possession for a further two years, they will be able to make an additional application for possession. This time they will be registered whether or not anyone opposes the application.

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