Despot v Registrar General of New South Wales and Ors

The applicant, Despot, sought to challenge the Registrar General of New South Wales' decision to refuse to register a transfer of land. The dispute concerned the validity of a caveat lodged by the second and third respondents, which Despot argued was improperly lodged and should not prevent the registration of the transfer. The matter came before the High Court of Australia.

The central legal issue before the High Court was whether the caveat lodged by the second and third respondents was validly lodged under the *Real Property Act 1900* (NSW), and consequently, whether it effectively prevented the registration of the transfer of land from the registered proprietor to Despot. This required the Court to consider the nature of the caveator's interest in the land and the grounds upon which a caveat could be sustained.

Kiefel and Gageler JJ found that the caveat was not validly lodged. Their Honours reasoned that the second and third respondents had failed to demonstrate that they possessed an equitable interest in the land that would justify the lodging of a caveat. The Court applied the principle that a caveator must establish a recognisable equitable interest in the land, and that a mere expectation or a contractual right that does not amount to an equitable interest is insufficient to sustain a caveat. As the respondents had not established such an interest, the caveat was deemed invalid.

The High Court ordered that the appeal be allowed and that the caveat lodged by the second and third respondents be removed from the Register.