(1) Creation of charge On the registration of a notice under section 39, a
charge is created on the land in relation to which the notice is registered to
secure the payment to the public authority specified in the notice.
(2) When
charge ceases to have effect Such a charge ceases to have effect in relation
to the land when the first of the following occurs--
(a) the payment by the
person to the public authority of the amount concerned,
(b) the completion of
the sale or other disposition of the land with the consent of the
public authority,
(c) the completion of the sale of the land to a purchaser,
in good faith for value, who, at the time of the sale, has no notice of the
charge.
(3) Charge is not subject to existing charges and encumbrances Such a
charge has priority over every charge or encumbrance to which the land was
subject immediately before the notice was registered and, in the case of land
under the provisions of the Real Property Act 1900 , has priority over every
mortgage, lease or other interest recorded in the Register kept under that
Act.
(4) Charge not affected by change of ownership Such a charge is not
affected by any change of ownership of the land, except as provided by
subsection (2).
(5) Registration of charge is notice If--
(a) such a charge
is created on land of a particular kind and the provisions of any law of the
State provide for the registration of title to, or charges over, land of that
kind, and
(b) the charge is so registered,
a person who purchases or
otherwise acquires the land after the registration of the charge is, for the
purposes of subsection (2), taken to have notice of the charge.
(6) Charge on
Torrens land not effective until registered If such a charge relates to land
under the provisions of the Real Property Act 1900, the charge has no effect
until it is registered under that Act.
