1887-1903
331
COLONIAL REPORTS-MISCELLANEOUS.
21
It is only necessary to add that these mortgages when not evidenced by a deed are a fertile source of litigation. If the value of land should go up the mortgagor naturally claims to redeem but the mortgagee frequently resists on the ground that the sale was unconditional.
The mortgagee being from the nature of the transaction in possession becomes the owner for the time being of the property subject to the possibility of redemption at some future time by the mortgagor. Mortgages are frequently assigned three or four times over and this of course increases the possibilities of dispute when the original owner comes to redeem.
19. Short leases of agricultural land for a year are not uncommon but present no features worthy of particular attention-they are usually determined at the end of either the Spring or the Autumn harvest by six months' notice on either side.
20. After a District has been dealt with by the Land Court and all claims finally heard and determined there are two important questions that still remain to be considered.
Firstly. Who are the persons to be made liable for the Crown Rent and in what proportions?
Secondly. What titles are to be issued to persons having interests in land and what form of registration is most suitable?
Crown Rent-Incidence of.
21. As regards cases where the cultivator is himself the owner holding direct from the Crown and paying his own taxes there is of course no difficulty.
It will be found, however, that a large proportion of the land is held on perpetual lease. In such cases Government should I consider deal directly with the (perpetual) lessee and make him responsible for the Crown Rent. He should then be allowed to deduct the amount he contributes as Crown Rent from the sum he pays his landlord.
If the lessor's rent is small in amount-this means either that he received full value for the land originally and that the annual payment was arranged simply to cover the taxes for the payment of which he continued liable--or that he had no real title to the land but has levied this amount under the name of tax from persons who were not in a position to resist the claim.
In such cases the lessor will no longer get anything; for the Crown Rent to be now paid by the lessee will be greater in amount than the old rent under the lease and there will be nothing left for him.
If however the relation between the parties was really that of landlord and tenant the sum paid will approximate more nearly to a rack rent and this sum less the amount paid for Crown Rent by the lessee will still come to the hands of the lessor.
22. In many cases the perpetual lessors are absentee landlords with no other concern in the land than the receipt of their rent, as for instance the La family on the northern half of Lan Tao. In such cases the tendency will be for the lessee to buy out his lessor and gradually to get the full ownership, subject to the rights of the Crown, into his own hands. Where conversely the lessors are powerful and wealthy families resident in the neighbourhood of their lands the tendency will probably be the other way and they are more likely to buy out the cultivator and either till the land themselves or let it on annual lease.
In the case of a mortgage the mortgagee, if he be, as he usually is, in possession, should pay the Crown Rent: the mortgagor has often severed all connection with the land and gone to California or to Singapore whence his return is at least problematical.
1887-1903
331
COLONIAL REPORTS-MISCELLANEOUS.
21
It is only necessary to add that these mortgages when not evidenced by a deed are a fertile source of litigation. If the value of land should go up the mortgagor naturally claims to redeem but the mortgagee frequently resists on the ground that the sale was unconditional.
The mortgagee being from the nature of the transaction in possession becomes the owner for the time being of the property subject to the possibility of redemption at some future time by the mortgagor. Mortgages are frequently assigned three or four times over and this of course increases the possibilities of dispute when the original owner comes to redeem.
19. Short leases of agricultural land for a year are not uncommon but present no features worthy of particular attention-they are usually determined at the end of either the Spring or the Autumn harvest by six months' notice on either side.
20. After a District has been dealt with by the Land Court and all claims finally heard and determined there are two important questions that still remain to be considered.
Firstly.Who are the persons to be made liable for the Crown
Rent and in what proportions?
Secondly. What titles are to be issued to persons having interests
in land and what form of registration is most suitable?
Crown Rent-Incidence of.
21. As regards cases where the cultivator is himself the owner holding direct from the Crown and paying his own taxes there is of course no difficulty.
It will be found, however, that a large proportion of the land is held on perpetual lease. In such cases Government should I consider deal directly with the (perpetual) lessee and make him responsible for the Crown Bent. He should then be allowed to deduct the amount he con- tributes as Crown Rent from the sum he pays his landlord.
· If the lessor's rent is small in amount-this means either that he received full value for the land originally and that the annual payment was arranged simply to cover the taxes for the payment of which he con- tinued liable--or that he had no real title to the land but has levied this amount under the name of tax from persons who were not in a position to resist the claim.
In such cases the lessor will no longer get anything; for the Crown Rent to be now paid by the lessee will be greater in amount than the old rent under the lease and there will be nothing left for him.
If however the relation between the parties was really that of landlord and tenant the sum paid will approximate more nearly to a rack rent and this sum less the amount paid for Crown Rent by the lessee will still come to the hands of the lessor.
22. In many cases the perpetual lessors are absentee landlords with no other concern in the land than the receipt of their rent, as for instance the La family on the northern half of Lan Tao. In such cases the tendency will be for the lessee to buy out his lessor and gradually to get the full ownership, subject to the rights of the Crown, into his own hands. Where conversely the lessors are powerful and wealthy families resident in the neighbourhood of their lands the tendency will probably be the other way and they are more likely to buy out the cultivator and either till the land themselves or let it on annual lease.
In the case of a mortgage the mortgagee, if he be, as he usually is, in possession, should pay the Crown Rent: the mortgagor has often severed all connection with the land and gone to California or to Singapore whence his return is at least problematical.
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