McGrath v Campbell

McGrath v Campbell concerned a dispute between adjoining landowners, the appellants (McGraths) and the respondents (Campbells), in the New South Wales Court of Appeal. The core of the disagreement lay in the enforceability of an alleged equitable easement over the appellants' land, which the respondents claimed had been created by the doctrine of *Wheeldon v Burrows* and extended by the principles in *Aldridge v Wright*. The respondents, as purchasers of one parcel of land, asserted a right of way over the appellants' adjoining land, which had been transferred simultaneously from a common vendor.

The primary legal issues before the Court of Appeal were whether an equitable easement, impliedly created under the doctrine of *Wheeldon v Burrows*, could survive the simultaneous transfer of title from a single vendor to separate purchasers, and crucially, whether such an easement was enforceable against a successor in title under the *Real Property Act 1900* (NSW). The court also considered whether a personal equity or a right enforceable *in personam* existed between the purchasers in this context, particularly in light of the Torrens system of land registration.

The Court of Appeal allowed the appeal, setting aside the declaration and orders made by the primary judge. The court reasoned that the doctrine of *Wheeldon v Burrows*, as applied in *Aldridge v Wright*, did not operate to create an equitable easement that could be enforced against a successor in title under the Torrens system when title was transferred simultaneously to separate purchasers. The court held that registration under the *Real Property Act 1900* was paramount, and in the absence of registration or an express grant, the alleged equitable easement was not enforceable against the appellants as registered proprietors. Consequently, the proceedings were dismissed.