A right of pre-emption in a lease, properly construed, is a right to receive an advance offer to purchase on terms no more onerous than those offered to a third party, and is conditioned on the lessee not being in breach of the lease at the relevant time. Knowledge by a transferee that the vendor is in breach of equitable obligations to a prior purchaser is insufficient to constitute knowing receipt under Barnes v Addy without knowledge of a 'dishonest and fraudulent design'. A solicitor in general practice who is presented with a complex dispute involving competing proprietary claims should recognise the need for specialist advice and should advise bringing court proceedings for early determination rather than hazarding a guess at the least dangerous course of action. The question whether TPA s 87 remedial powers can override Torrens title indefeasibility was left open.
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