Practice guide 19: notices, restrictions and the protection of third-party interests in the register
4. Applying for a notice or restriction without reasonable cause
4. Applying for a notice or restriction without reasonable cause
Neither a notice nor a restriction guarantees the validity of the interest that it seeks to protect. The Land Registration Act 2002 does not provide any right to an indemnity from the registrar against loss suffered because of an entry that has been made.
However, the relevant proprietor may nevertheless suffer loss. Others may also be prejudiced, for example the proprietor of a registered charge where the entry has been made against the charged estate.
Section 77 of the Land Registration Act 2002 establishes a right of action for breach of statutory duty against anyone who applies for a notice or restriction without reasonable cause. The right is in favour of any person who suffers damage as a consequence and it also applies to objectors. However, it should be noted that breaches thereof must be pursued by the claimant through the courts rather than through H M Land Registry.
