Santiago Castillo Ltd v Quinto and Quinto v Santiago Castillo Ltd v Registrar of Lands

• Jurisdiction: Belize
• Judge: Morrison, J.A.,Mottley, P.,Sosa, J.A.,MORRISON, J.A.,MOTTLEY, P.,SOSA, J.A.
• Judgment Date: 26 October 2007
• Neutral Citation: BZ 2007 CA 17
• Court: Court of Appeal (Belize)
• Docket Number: Civil Appeal No. 7 of 2007
• Date: 26 October 2007

Court of Appeal

Mottley, P.; Sosa, J.A.; Morrison, J.A.

Civil Appeal No. 7 of 2007

Santiago Castillo Limited

and

Quinto and Quinto

Santiago Castillo Limited

and

Registrar of Lands

Appearances:

Mr. Wilfred Elrington SC for the appellant.

Mr. Fred Lumor SC for the respondents William and Jimmy Quinto.

Ms. Nicola Cho for the respondent, the Registrar of Titles.

Real Property - Registration of title — Whether Certificate of Title was obtained by mistake or fraud — Case for rectification not made out — Compensation not available under the Registered Land Act.

Morrison, J.A.

1 This is an appeal from the judgment and order of Conteh, C.J. made on 13 February 2007 in consolidated actions commenced by Originating Summons in claim number 74 of 2005 ( William Quinto and Jimmy Quinto v. Ann Williams (Administratrix of the Estate of Herbert Leopold Williams) and Santiago Castillo Ltd.) and claim number 96 of 2005 (In the matter of an application by the Registrar of Lands for an order for the rectification of the register in respect of Parcel 869, Block 16, Caribbean Shores/Belize Registration section). A third action between William and Jimmy Quinto as claimants and Santiago Castillo Ltd. and Medina Construction Ltd. as defendants (claim number 112 of 2005) is a claim for damages for trespass, which was ordered at case management to await the outcome of the first two actions.

2 Immediately prior to the commencement of this litigation, the appellant (“Santiago”) was registered as proprietor with title absolute pursuant to the provisions of the Registered Land Act of Parcel 869, Block 16, Caribbean Shores/Belize Registration Section (“Parcel 869”) having been so registered on 31 December 2004. The respondents William and Jimmy Quinto (“the Quintos”) and the Registrar of Lands (“The Registrar”), sought rectification of the Land Register pursuant to section 143 of the Registered Land Act to cancel the registration of Santiago as proprietor, as well as the previous registration of its immediate predecessor in title on the register. Ann Williams (Administratrix of the Estate of Herbert Leopold Williams) (“Miss Williams”).

3 Section 143 of the Registered Land Act provides as follows:

143

–(1) Subject to subsection (2), the court may order rectification of the register by directing that any registration be made, cancelled or amended where it is satisfied that any registration, including a first registration, has been obtained, made or omitted by fraud or mistake. (2) The register shall not be rectified so as to affect the title of a proprietor who is in possession or is in receipt of the rents or profits and acquired the land, lease or charge for valuable consideration, unless such proprietor had knowledge of the omission, fraud or mistake in consequence of which the rectification is sought, or caused such omission, fraud or mistake or substantially contributed to it by his act, neglect or default.

4 On 23 November 2005 the parties agreed the issues for trial before the Chief Justice as follows:

• (1) Whether the first registration of Ann Williams and the subsequent registration of Santiago Castillo Ltd. as the proprietor of Parcel 869 in Block 16 Caribbean Shores/Belize Registration Section was obtained at the very least by mistake.

• (2) Whether Santiago Castillo Ltd. was in possession or in receipt of the rents and profits of the disputed land; and whether Santiago Castillo Ltd. acquired title to the said parcel of land innocently for valuable consideration with-out notice; and whether Santiago Castillo Ltd. had knowledge of the mistake aforementioned and or substantially contributed to the said mistake by its act, omission, neglect or default.

• (3) Whether Santiago Castillo obtained Land Certificate No. 12100/2004 dated 31st December, 2004 in respect of Parcel 869 in Block 16 Caribbean Shores/Belize Registration Section by fraud, mistake or omission.

5 In his judgment, Conteh, C.J. summarised the issues for decision, perhaps somewhat more pointedly than the parties themselves had done, in the following terms:

“I can say from the outset that the issues agitated by these proceedings relate to the powers of the court to order rectification of the register of land in the case of title registered under the provisions of the Registered Land Act, Chapter 194 of the Laws of Belize, Revised Edition 2000. Can the court order a rectification of the land register so as to divest an already registered proprietor of land? If so, when and in what circumstances can the court so order?

Both the Registrar of Lands and the Quintos are asking this court to order a rectification of the Land Register. But Mr. Wilfred Elrington SC, the learned attorney for Santiago Castillo Ltd. has strenuously argued that the court cannot order a rectification of the register and that title of his client Santiago Castillo Ltd. as the registered proprietor of Parcel 869 is beyond reproach and the court cannot order any rectification of the land register that may displace it as the registered proprietor of the said Parcel 869.”

6 Having considered the evidence adduced by the parties (all of whom, with the exception of Miss Williams, filed affidavits, in addition to which the Registrar herself was cross-examined on her affidavit), the learned Chief Justice concluded that in the circumstances the case for rectification had been made good and accordingly ordered as follows:

1

That the Registrar of Lands cancel the First Registration of Ann Williams, as Administratrix of the Estate of Herbert Leopold Williams, as the registered proprietor of Parcel 869, Block 16 Caribbean Shores/Belize Registration Section; 2. That the Registrar of Lands cancel the registration of Santiago Castillo Ltd. as current registered proprietor of the said Parcel 869, Block 16 Caribbean Shores/Belize Registration Section; and 3. That the Registrar of Lands cancel the current register in respect of the said Parcel 869, Block 16 Caribbean Shores/Belize Registration Section. 4. That the costs of these applications are awarded to the Registrar of Lands and Williams and Jimmy Quinto against Santiago Castillo Ltd. The costs to be agreed or taxed.

A CHRONOLOGY OF THE RELEVANT EVENTS

7 Before going, as I must, to a review of the evidence in the matter, I think, in common with the learned Chief Justice, that a brief chronology of the relevant events may be helpful. Indeed, that which follows is based, albeit with some amendment, on the chronology very helpfully provided by Conteh, C.J. in his judgment:

• i) On 31 December 1973, William Quinto acquired title to land by First Certificate of title recorded in the Land Titles Register maintained pursuant to section 12(1) of the General Registry Act, Vol. 5 at Folio 1431.

• ii) On 12 February 1981, William Quinto transferred title to the land to himself and Jimmy Quinto by Transfer Certificate of title registered in the Land Titles Register Volume 14 at Folio 11.

• iii) On 20 October 1981, the area in which the land held under Transfer Certificate of Title in Volume 14 Folio 11 is located was declared a compulsory registration area under the Registered Land Act and the parcel of land in question became Parcel 869, Block 16 Caribbean Shores/ Belize Registration Section.

• iv) On 19 June 1992, a Grant of Administration in the Estate of Herbert Leopold Williams who died on 17 June 1985 was made to Ann Elizabeth Williams. The only item of real property listed in the Inventory of the said Estate was described as an “Empty lot situate on the South side of Haulover Road, Belize City, being a portion of land formerly belonging to Louise Easy.”

• v) In July 1992, Miss Williams as Administratrix of the Estate pf Herbert Leopold Williams applied for first registration as proprietor of Parcel 818, Block 16 Carib-bean Shores/Belize Registration Section, as the land had become. In support of this application, she provided, among other documents evidencing her interest, an In-denture dated 17 August 1951 between Louise Easy (vendor) and Herbert Leopold Williams (purchaser) conveying a parcel of land described as “all that piece or parcel of land situate on the Haulover Road measuring on the said Haulover Road one hundred feet or thereabouts and which said parcel of land extends from the Road to the Belize River and having a frontage of 100 feet or thereabouts …”

• vi) On 6 October 2004, Miss Williams applied for First Registration of Parcel 869, Block 16 Caribbean Shores/ Belize Registration Section as the administratrix of the Estate of Herbert Leopold Williams, using inter alia, the Grant of Administration in her favour of 1992, and the Indenture dated 17 August 1951 having obtained certified copies of these in 2004, that is, the same instruments she had used in 1992 to obtain First Registration for Parcel 818, Block 16 Caribbean Shores/Belize Registration Section in 1992 – see (v) above.

• vii) On 30 October 2004 and 31 October 2004 respectively, notices of intention to register Parcel 869 in favour of Miss Williams as Administratrix of the Estate of Herbert Leopold Williams, were published in the Belize Government Gazette and the Belize Times newspaper.

• viii) On 28 December 2004, the completion of First Registration of Miss Williams as proprietor of Parcel 869 was completed by the Registrar signing the register for the said parcel.

• ix) On 31 December 2004, the Quintos applied for First Registration of Parcel 869 as proprietors.

• x) On 3 January 2005, a Transfer of Land Instrument from Miss Williams to Santiago in respect of Parcel 869 was lodged at the Land Registry.

• xi) On 6 January 2005, Santiago's registration as proprietor of Parcel 869 was completed, by the entry of the transfer in and the signing of the register.

• xii) On 14 January 2005, an application dated 31 December 2004, for the First Registration of the Quintos as proprietors of Parcel 869 was brought to the...