Jurisdiction(s):
United Kingdom

Related legal acts

Key definition

Escheat definition

What does Escheat mean? Escheat describes the reversion of a freehold estate to the Crown when that estate determines so there is no longer a tenant of the land. In current practice in England and Wales and Northern Ireland, this most often follows a statutory disclaimer of a freehold owned by a dissolved company or an insolvent estate: the property may first vest in the Crown as bona vacantia, and if the Crown (or an office‑holder) disclaims, the freehold estate is brought to an end and the land escheats. Key features: - It arises on determination of the estate (for example, by disclaimer), not simply...

Escheat, Bona Vacantia and Disclaimer by the Crown and Royal Duchies: Freehold Land, Insolvency, Dissolution, Restoration, Registered Land and Vesting Orders

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Practice notes

Introduction

This Practice Note outlines and explains, in particular, Escheat, Bona vacantia (ownerless property) and the power of the Crown, or a Royal Duchy, to disclaim bona vacantia on the dissolution of a company where the relevant asset is a freehold estate in land. It further addresses the impact and consequences of a disclaimer of onerous freehold land by a liquidator, a trustee in bankruptcy, or the Official Receiver.

Escheat

Paramount lordship of the Crown

The doctrine of escheat has its roots in the long-standing feudal arrangements for holding land. Within that framework, all land across England, Wales and Northern Ireland is, in the last resort, held by the Crown: this is the principle of paramount lordship. Nevertheless, others may hold a legal estate in land; the more modern expression of this appears in section 1 of the Law of Property Act 1925 (LPA 1925), which recognises freehold (and leasehold) estates. A person entitled to one of these estates enjoys the incidents of ‘Ownership’ as that word is now understood today. A leasehold estate is, by its nature, limited in duration. Yet even a freehold estate (that is, the fee simple absolute) may determine if there is no owner: see...

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Web page updated on 21/05/2026

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