Linacre v Stephenson

In *Linacre v Stephenson* [1995] NSWCA 260, the New South Wales Court of Appeal considered a dispute between the appellant, Linacre, and the respondent, Stephenson, concerning the interpretation and enforceability of a deed.

The primary legal issue before the Court was whether the deed, which purported to grant Stephenson a right of pre-emption over certain land owned by Linacre, was valid and enforceable. This involved determining whether the deed constituted a registrable interest in land and, if so, whether it had been properly registered or otherwise protected against subsequent dealings.

The Court analysed the nature of the right granted by the deed, concluding that it was a personal covenant rather than a proprietary interest in the land. As such, it was not capable of registration as a primary interest under the *Real Property Act 1900* (NSW). The Court further held that the deed did not create an equitable interest that could be protected by a caveat, as it lacked the necessary specificity and did not reflect an intention to create a proprietary right at the time of its execution. Consequently, the deed was found to be unenforceable against Linacre's subsequent sale of the land to a third party.

The appeal was dismissed, with the Court affirming the primary judge's decision that the deed was not a registrable interest and therefore not enforceable against the subsequent purchaser.