For commercial landowners, developers, and investors, understanding the law in relation to adverse possession is essential for managing and protecting property interests. This legal process allows a party to obtain ownership of land they have occupied and controlled for a significant period, even if they are not the legal owner.
At AFG Law, our commercial property solicitors regularly assist clients in preparing and submitting an application for adverse possession, ensuring all legal requirements are met under the Land Registration Act 2002 and the Limitation Act 1980.
What is Adverse Possession?
Adverse possession is a legal principle that allows a party who has occupied land without the owner’s consent to claim ownership of it if certain legal conditions are satisfied. It is often used to correct discrepancies between the physical occupation of land and what is legally recorded at HM Land Registry.
In a commercial property context, adverse possession claims can arise where:
- A developer has fenced off or built on land slightly beyond the registered boundary.
- A business has used adjoining land for access, parking, or storage for many years.
- The land has been maintained or improved by an occupier who reasonably believed the land belongs to them.
If successful, the occupier becomes the registered owner, and the Land Registry issues a new title and title plan confirming their ownership.
Adverse Possession Claims and the Law
The Land Registration Act 2002 governs how adverse possession applies to registered or unregistered land.
- For unregistered land, the the Limitation Act 1980 also applies. The occupier must demonstrate 12 years of uninterrupted possession, after which the legal owner’s right to recover the land is said to be extinguished.
- For adverse possession of registered land, the rules are stricter. The occupier must prove 10 years of factual and exclusive possession before making an application for adverse possession to HM Land RegistryAs part of the application process, the Land Registry will serve notice of the application on the legal owner, giving them the opportunity to object to the application or serve a counter-notice. The legal owner may only object of if the conditions for adverse possession are not met.
Requirements for Making a Claim for Adverse Possession
There are a number of requirements for adverse possession claims. To succeed in a claim for adverse possession, an applicant must satisfy several key criteria.
1. Exclusive Possession
The occupier must show that they exercised factual control of the land as if they were the true owner. For businesses, this may involve:
- Fencing or securing the land.
- Installing signage or restricting access.
- Using the land continuously for business operations.
- Maintaining or developing the land without permission from the legal owner.
These acts must demonstrate possession to the exclusion of all others, including the owner.
2. Intention to Possess
There must be clear evidence of an intention to possess the land, not merely to use it temporarily or incidentally. Commercial occupiers often show this through:
- Investing in improvements to the land.
- Including the land in their business operations or plans.
- Paying business rates or maintenance costs for the area.
3. Continuous Possession for the Required Period
- Registered land: 10 years’ uninterrupted possession before applying to HM Land Registry.
- Unregistered land: 12 years’ uninterrupted possession under the Limitation Act 1980.
Interruptions, such as payment of rent to a third party or accepting that someone else is the owner, can reset the limitation period.
4. Possession Without Consent
Occupation must be without the permission of the legal owner. If the occupier had a lease, licence, or informal agreement, they may not be able to claim ownership through adverse possession.
Making a Claim for Adverse Possession – The Process
Making a claim for adverse possession involves a detailed legal process. It is strongly recommended that you seek specialist legal advice to maximise your chances of success.
Step 1: Assess the Land and Gather Evidence
Your solicitor will review the title documentation and confirm whether the land is registered or unregistered. They will then help you collect evidence showing continuous possession, such as photographs, maps, maintenance records, and statements.
Step 2: Prepare a Statement of Truth
The Land Registry requires a Statement of Truth (or ST1) which is set out in their format. The applicant must state how the occupier has used and maintained the land, how they believe they have adversely possessed the land, and for how long. This document forms the basis of your claim and must be as detailed as possible and accurate.
Step 3: Submission of the application to the Land Registry
The formal application for adverse possession is made by submitting the relevant form to HM Land Registry together with the statement of truth and supporting documents.[KB1]
Step 4: The Surveyor’s Inspection
Once the Land Registry receive the application, if the Land Registry are satisfied the application is comprehensive enough and is a valid claim, they will arrange for a Land Registry surveyor to attend the land to inspect. The surveyor will do two things. They will check that the contents of the Statement are correct in respect of the current use of the land and they will take sufficient details to allow a new title plan to be prepared, should the application be successful.
Step 5: Notice of the Application and Response from the Owner
If the Surveyor is satisfied after inspection, the Land Registry will issue a notice of the application to any registered owner and any parties interested in the land (such as mortgage lenders). The recipients of the notice will have 65 business days to object to the application or file a counter-notice.
If a valid objection is filed, the Land Registry will allow the applicant and the objector a period of time to negotiate but if any agreement cannot be reached the matter may be referred to the Land Registration division of the Property Chamber (First-tier Tribunal) for determination.
Step 5: Registration or Refusal
If there are no objections, or if the application succeeds after an objection, the Land Registry will register the applicant as the new proprietor of the land and issue an updated title plan.
If the application fails, the legal owner must take steps to remove the occupier within two years, otherwise, a second application is likely to succeed.
Defending a Claim for Adverse Possession
Commercial landowners who receive a notice of application from HM Land Registry should act promptly. Failure to respond within the time limit can result in the loss of ownership rights.
You can:
- Object to the application on legal or factual grounds (for example, disputing the length or nature of occupation).
- Serve a counter-notice confirming that you do not consent to the registration.
- Take possession steps, such as fencing, signage, or enforcement action, to demonstrate continued ownership.
At AFG LAW, we act for both claimants and legal owners in adverse possession disputes, ensuring that commercial interests are fully protected. If you receive a notice of an adverse possession application you should seek specialist advice from a solicitor at AFG LAW before taking any action.
Why Choose AFG Law When Making a Claim for Adverse Possession?
Adverse possession cases require a thorough understanding of property law, land registration procedures, and evidential requirements. The adverse possession solicitors at AFG Law offer:
- Expert advice on the Land Registration Act 2002 and Limitation Act 1980.
- Preparation of comprehensive statements of truth and supporting evidence.
- Completion and submission of the application to HM Land Registry.
- Representation in disputes and objections.
Whether you are making or defending a claim for adverse possession, we provide strategic, results-driven advice tailored to your business needs.
If you believe you have a valid claim or need to respond to an application for adverse possession, our solicitors are here to help.
Our offices in Bolton, Bury, and Stockport serve clients across England and Wales. Speak to our commercial property team today for practical, expert advice on all aspects of adverse possession of registered land and commercial property ownership.
For more information, please contact commercialpropertyenquiries@afglaw.co.uk or call us on 0161 5152577.