Optimal Portfolio Essay Example for Free

Optimal Portfolio Essay On the continued emphasis on the knowledge transfer process and not just whether it leads to value creation but how it occurs following a merger and how it leads to value creation. In addition, it was believed there is a need to focus more on the emergent nature of value creation following an acquisition and how individuals and communities of practice factor into this process. Optimal portfolio can be characterized as resulting in a controversy between skeptical economic and enthusiastic financial research, earning of firms in the decline after consolidation. In contrast, financial researchers claim that acquiring firms do not lose and earnings do not decline in the years following integration. This performance disparity reflects the different methods and perspective of economic and financial merger and acquisition research that seems to bias the respective findings. However, continuing the controversy of whether optimal portfolio is good or bad in general is of very limited practical use. A more practical approach is to instead look at what the factors are that determine high versus low merger and acquisition performance. The same logic holds for investors who buy foreign securities or undertake direct investment abroad. They expose themselves to the risk that the value of these assets in terms of domestic currency will drop when the price of foreign exchange drops. They can protect themselves by hedging, selling the foreign currency forward. But they may have to pay an exchange risk premium to do so. There is some reason to believe that such exchange risk premiums are relatively small. Much of exchange risk is diversifiable: the domestic importer who wishes to buy foreign exchange forward will, through the intermediation of the market, find a natural partner in the foreign importer who wishes to buy domestic exchange forward. Similarly, the investor who wishes to sell foreign exchange forward will find a ready partner in the foreign investor who wishes to buy foreign exchange forward, the market-clearing equilibrium forward price at which all parties end up trading may not be far off from the expected future spot price that would prevail in the absence of uncertainty. Few investors’ holding actually reflect global capitalization weights; most portfolios have disproportionately large domestic exposure. This tendency to concentrate assts domestically referred to as home bias influences the currency hedging policy because fewer underlying assets are invested abroad. Is there an underlying economic rationale for home bias, are there rules of thumb to help determine a suitable home bias level and how does the home bias affect the currency hedging policy. Fixed income home bias affects the Sharpe ratio. It compares the expected excess return, volatility and Sharpe ratio for the global capitalization weighted portfolios with global equity investments and domestic-only fixed income holdings. Familiarize the policies, procedures and method in your organization that govern the way projects are done, it doesn’t mean that executive office give you their support means you are on your own alone, you are still working to this company and all the major decision must be approved by the higher office. Edit the charter with your boss until you both agree on its procedure and possible outcome is cleared to both of you. This project must be pursued to be able to have a systematic networking of all the data bases from the main office to its branches. A central program will be developed in the main office and will be networked in all branches; all data must correlate to the main program. Optimal Portfolio Distribution: Rather than choosing sides between economic accounting and financial stock-market performance measures and their respective biases. There are optimal portfolio had received a vast criticism. For distribution will be the favored services and the provider of the customer financing from other firm, at the same time as the second firm will be the preferred provider of their respective people only. A staffing plan, the people required in this project must need to implement the project, They must personally select the key people in your team you must be able to identify their interest and ask for their dedication to functioning efficiently and effectively on the project team. They should also agree to accept and give their assurance in reaching the team goals, because these key team members are involved in the procedures from the start till the end of the project. companies should be contracted as early as possible to assist in evaluating the issues and minimizing the dissemination of potentially damaging information among non-privileged persons. Management need to determine whether to publicly disclosed the violations a/or repay any overpayments or, if warranted, explain to the investigators why violations have not occurred. Internal control is a process affected by an entity’s board of directors, management and other personnel designed to provide reasonable assurance regarding the achievement of objectives in the following categories, reliability of financial reporting, effectiveness and efficiency of operations and compliance with applicable laws and regulations. This definition emphasis the fact that internal control is a function of the board management and other personnel within the organization, the responsibility for internal control rests squarely on management shoulders. Optimal distribution will present the charter to the executive offices as well as to the major stockholders, he will present the propose plan to them and ask for their approval. Once the proposed plan is being approved the next step is to present the project to the unit managers, this unit managers are the one responsible for the essential defining of the new process so the project manager together with his team will elucidate these unit managers, they have to convince them for they do not comprehend the knowledge owned by the lower-level staff members who are responsible in the daily activities of the company. The stakeholders are those who has vested interest in the success of the project, they also give their expectations for the better understood throughout the project procedures identified a critical stage of their sales outcome, and with the help of the propose project which will organize all the data from all branch office plus the fact of the easy access of all the requirements or data needed the company will have a better system in serving their patriot clients. With the propose project they can aim to have grow in their growth which is attainable by targeting new markets, expanding their network globally and be able to produce several new products.

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Throughout Jewish History we have seen significant transitions from 2,000 B.C.E. to 1492 C.E. These transitions changed many different aspects of Jewish life. There are three specific events or turning points that caused tremendous change in Jewish life and had many ramifications. These three events were the Formation of the United Monarchy, the Rise of Hellenism and the Golden Age of Spain. Each of these transitions impacted Judaism in different ways that changed it forever. The different groups of people involved changed different parts of Jewish life including linguistics, politics, traditions, and literature. The United Monarchy took place between 1020 and 921 B.C.E. It was the transition between a tribal society and an actual form of government. In this monarchy, Samuel appointed Saul to be the first King. Saul was replaced by King David and eventually was followed by Solomon. This era was the most documented era throughout Biblical history. During this time period, David was God’s right hand man. Jewish people believed that the Messiah was once a living King somewhere in the Davidic bloodline. They believe the Messiah in the Bible was a human King. The word Messiah means â€Å"anointed one†. David is the one who brings together loose tribes into a government. He institutes many new things like scribe culture and census records. This becomes known as the prototype for the ideal Jewish monarch. He establishes the city of Jerusalem or the â€Å"City of David†. His legacy becomes a major theme in Jewish history. Through him, the First temple was built for worship and f or sacrifice in 950 B.C.E. This temple was extremely important to the Jewish people. It was the center for worship and politics for the kingdom of Judah. The Babylonians e... ...ed, you sent Seraphim to tell him of your great goodness. They sat down beside me and then Michael said: â€Å"This is God’s message who pleads your cause: ‘On the day that you cross waters of sorrow I am with you. When the enemy draws near, the rivers will not drowned you.’ † These three transitions had a huge effect on Jewish life in many different ways and were major turning points in Jewish history. In all three of these periods the Jews underwent many changes in their lives in many different categories. Although massive changes were made, in each of these eras the Jews somehow managed to keep their cultural identity even while adapting to other ways of life. They never lost sight of their heritage. Therefore, the Formation of the United Monarchy, the Rise of Hellenism and the Golden Age of Spain were the three most important points of ruptures in Jewish history.

A Brief History of the Hybrid Vehicle Essay

First built in the early 1900s by inventors tinkering with combinations of the electric motor and the gasoline engine, hybrid vehicles were dropped when gasoline-fueled vehicles became more reliable and easier to start, and gasoline fuel more readily available. Research and development of hybrid vehicles was revived by concern about oil dependency in the1970s and about air pollution in the late 1980s. A number of hybrid vehicles have been built and tested since 1980. Some of these vehicles have impressed analysts with their performance and low levels of exhaust and petroleum consumption. Interest in hybrid vehicles jumped in late 1993 with the announcement of funding for two major collaborations. The US Department of Energy signed a five-year, $138 million development agreement with General Motors and a $122 million agreement with Ford to design and build preproduction hybrid prototypes that could be marketed in less than 10 years. [1] All these were done because hybrid electric vehicles are expected to be the future of vehicles worldwide. Definition One considers a vehicle to be a hybrid when it combines two or more sources of power. For example, a mo-ped (a motorized pedal bike) is a hybrid because it combines the power of a gasoline engine with the pedal power of its rider. Similarly, the gasoline-electric hybrid car is a combination of both an electric car and a gasoline-powered one. That is, it makes use of both electricity and gasoline to provide the energy to turn the wheels of the car. Figure 1 shows a gas-powered car. [2] Components Of A Gasoline Powered Car The 4-cylinder engine converts gasoline into motion so that the car can move. The easiest way it does this is to burn the gasoline inside the engine. Therefore is acts as an internal combustion engine i. e. combustion takes place internally. Gasoline powered car engines typically have over 100 horsepower and operate at speeds up to 8000 RPM. The fuel tank stores and supplies gasoline to the engine. It can typically store enough fuel to provide the engine with energy capable of moving the car through a distance of 300 miles or more. Figure 2 below shows an electric car, which has a set of batteries that provides electricity to an electric motor. The motor turns a transmission, and the transmission turns the wheels. [3] Components Of An Electric Car The batteries store and provide energy to the electric motor in an electric car just as the fuel tank does for the engine in a gasoline powered car. It usually gives the car a range of 50 – 100 miles which is much less than that typically provided by a fuel tank (300 miles). The electric motor is the device that provides motion in an electric car. It converts the energy it receives from the batteries into motion which is used to turn a transmission which then in turn rotates the wheels. It is able to spin up to 15000 RPM and has up to 100 kW of power. Since this motion is connected to the transmission, the transmission also spins the wheel up to this rate. Thus, electric cars would tend to move faster than gasoline powered cars. Components Common To Both The Electric Car And The Gasoline Powered Car The transmission is the device that does the actual turning of the wheel in both cars. There are several ways of combining the two sources of power found in a hybrid car. The Parallel Hybrid Car: This has a fuel tank which supplies gasoline to the engine. In addition, it has a set of batteries that supplies power to an electric motor. Both the engine and the engine motor can turn the transmission at the same time and the transmission then turns the wheels. Figure 3 shows a typical parallel hybrid. The fuel tank and gas engine connect to the transmission. The batteries and electric motor also connect to the transmission independently. As a result, in a parallel hybrid, both the electric motor and the gas engine can provide propulsion power. The Series Hybrid Car: The gasoline engine in this car turns a generator and the generator can either charge the batteries or power an electric motor that drives the transmission. Thus the gasoline engine never directly powers the vehicle. All of the components form a line that eventually connects with the transmission. [4] Hybrid Components Gasoline engine – The hybrid car has a gasoline engine much like the one you will find on most cars. However, the engine on a hybrid is smaller and uses advanced technologies to reduce emissions and increase efficiency. The engine turns the generator. It is not able to power the car directly. Fuel tank – The fuel tank in a hybrid is the energy storage device for the gasoline engine. Gasoline has a much higher energy density than batteries do. For example, it takes about 1,000 pounds of batteries to store as much energy as 1 gallon (7 pounds) of gasoline. Electric motor – The electric motor on a hybrid car is very sophisticated. Advanced electronics allow it to act as a motor as well as a generator. For example, when it needs to, it can draw energy from the batteries to accelerate the car. But acting as a generator, it can slow the car down and return energy to the batteries. Generator – The generator is similar to an electric motor, but it acts only to produce electrical power. It is used mostly on series hybrids. It is where the gas engine’s power gets converted to electrical power to drive the motor or charge the batteries. Batteries – The batteries in a hybrid car are the energy storage device for the electric motor. Unlike the gasoline in the fuel tank, which can only power the gasoline engine, the electric motor on a hybrid car can put energy into the batteries as well as draw energy from them. They can store energy recovered from braking or generated by the motor. Transmission – The transmission on a hybrid car performs the same basic function as the transmission on a conventional car i.e. turns the wheels. The motor can spin fast enough so that the transmission needs only one gear. Some hybrids, like the Honda Insight, have conventional transmissions. Others, like the Toyota Prius, have radically different ones like the CVT. CVT stands for Continuously Variable Transmission. It is used to vary the transmission ratio in vehicles continuously. The way CVT works depends on the type: Friction CVTs vary the radius of the contact point between two rotating objects, thus the tangential velocity; Hydrostatic CVTs vary the fluid flow with variable displacement pumps into hydrostatic motors; Ratcheting CVTs vary the stroke of a reciprocating motion, which is connected to a free-wheel, resulting unidirectional rotation. Image courtesy DaimlerChrysler The Mercedes-Benz M-Class HYPER — a hybrid concept vehicle[5] Reasons For The Introduction Of Hybrid Electric Vehicles To reduce tailpipe emissions: Gasoline cars are a major source of these emissions. Many attempts are being made by several organizations to reduce the greenhouse gas emissions from cars through the development of hybrid electric vehicles. For example, Nutley, NJ-based Hoffman-La Roche, Inc. (Roche), the U. S. prescription drug unit of the Roche Group, recently announced plans to integrate Toyota Prius and Ford Escape hybrid electric vehicles into its pharmaceutical sales fleet in an effort to help achieve the company’s goal of reducing greenhouse gas emissions by 10 percent over the next five years. [6] To improve mileage: Automakers in the US need to meet Corporate Average Fuel Economy (CAFE) standards as required by law. At present, all new cars sold should be 27. 5mpg (8. 55 liters per 100km). [7] To overcome the shortcomings of an electric car: Electric cars have a short charge. They lacked the range (energy density of electric-vehicle batteries hovered around 70 to 100 watt-hours per kilogram, which automotive engineers called unacceptable) and the quick recharge time the auto industry said it needed. An example is seen in the case where GM introduced the EV1 in 1996. It had a top speed of 183 MPH, faster than any other production car out. It had a limiter that would not let it get above 85 MPH, because to drive the car at 183 MPH would deplete the batteries of their charge within 10 minutes. [8] Energy Consumption: Hybrid Electric Vehicles consume less energy than Internal-Combustion Engine (ICE) vehicles. [9] Why Are Hybrid Electric Vehicles A Better Choice? An important aspect of hybrid electric vehicles is that they make use of smaller engines. There are many advantages to this: Big engines are heavier than smaller ones so the car uses more energy anytime it accelerates or drives up a hill. The displacement of the cylinders is larger so each cylinder requires a greater volume of fuel. Bigger engines usually have more cylinders, and each cylinder uses fuel every time the engine fires, even if the car isn’t moving. These are the reasons there is a difference in the mileage of two cars of the same model with different engines. If both cars are driving along the freeway at the same speed, the one with the smaller engine uses less energy. Both engines have to output the same amount of power to drive the car, but the small engine uses less power to drive itself. In a hybrid car, the gasoline engine can be much smaller than the one in a conventional car and thus can be more efficient. The engine in the hybrid car is powerful enough to move the car along on the freeway, but when it needs to get the car moving in a hurry, or go up a steep hill, it needs help. That â€Å"help† comes from the electric motor and battery — this system steps in to provide the necessary extra power. The gas engine on a conventional car is sized for the peak power requirement (those few times when you floor the accelerator pedal). In fact, most drivers use the peak power of their engines less than one percent of the time. The hybrid car uses a much smaller engine, one that is sized closer to the average power requirement than to the peak power. Ways Hybrid Electric Vehicles Reduce Energy Consumption Besides a smaller, more efficient engine, today’s hybrids use many other tricks to increase fuel efficiency. Some of those tricks will help any type of car get better mileage, and some only apply to a hybrid. To squeeze every last mile out of a gallon of gasoline, a hybrid car can: Recover energy and store it in the battery – Whenever you step on the brake pedal in your car, you are removing energy from the car. The faster a car is going, the more kinetic energy it has. The brakes of a car remove this energy and dissipate it in the form of heat. A hybrid car can capture some of this energy and store it in the battery to use later. It does this by using â€Å"regenerative braking. † That is, instead of just using the brakes to stop the car, the electric motor that drives the hybrid can also slow the car. In this mode, the electric motor acts as a generator and charges the batteries while the car is slowing down. Sometimes shut off the engine – A hybrid car does not need to rely on the gasoline engine all of the time because it has an alternate power source — the electric motor and batteries. So the hybrid car can sometimes turn off the gasoline engine, for example when the vehicle is stopped at a red light. Figure 5. The frontal area profile of a small and large car Use advanced aerodynamics to reduce drag – When you are driving on the freeway, most of the work your engine does goes into pushing the car through the air. This force is known as aerodynamic drag. This drag force can be reduced in a variety of ways. One sure way is to reduce the frontal area of the car (Figure 5). Think of how a big SUV has to push a much greater area through the air than a tiny sports car. Reducing disturbances around objects that stick out from the car or eliminating them altogether can also help to improve the aerodynamics. For example, covers over the wheel housings smooth the airflow and reduce drag. And sometimes, mirrors are replaced with small cameras. Use low-rolling resistance tires – The tires on most cars are optimized to give a smooth ride, minimize noise, and provide good traction in a variety of weather conditions. But they are rarely optimized for efficiency. In fact, the tires cause a surprising amount of drag while you are driving. Hybrid cars use special tires that are both stiffer and inflated to a higher pressure than conventional tires. The result is that they cause about half the drag of regular tires. Use lightweight materials – Reducing the overall weight of a car is one easy way to increase the mileage. A lighter vehicle uses less energy each time you accelerate or drive up a hill. Composite materials like carbon fiber or lightweight metals like aluminum and magnesium can be used to reduce weight. [10] Despite the advantages of hybrid vehicles, they are a middling choice whose future is far from assured. They are likely to be a victim of regulatory circumstance in the near term, pushed aside by improvements in gasoline emissions and by the Zero Emission Vehicles (ZEV) mandate which states that a specified percentage of manufacturers’ sales consist of ZEVs. [11] In the longer term, they will be squeezed between improving batteries and emerging fuel cells. If only fuel cells and advanced batteries falter, hybrid vehicles would have considerable promise and could play a central role in creating a more sustainable transportation system. Nissan Motor Company CEO Carlos Ghosn announced that he is unsure whether hybrid electric vehicles (HEVs) will remain competitive in the compact car market if the price of gasoline drops in the future. Speaking at a news conference in Tokyo, Ghosn acknowledged that Nissan will unveil a new HEV in 2006 â€Å"as planned,† but only to meet tightening emission regulations in California. Ghosn expressed doubt that U. S. benchmark crude prices would remain at current levels of $50 per barrel, which is fueling strong demand for HEVs. Reuters said Nissan instead plans to market its new fuel-efficient, gasoline-powered Tiida compact car to environmentally conscious drivers. [12] Disadvantages Of Hybrid Electric Vehicles By combining two propulsion systems and their associated energy storage units, they are inherently more complex than both pure battery-powered electric and pure internal-combustion vehicles. Comments ——————————————————————————– [1] Daniel Sperling; Future Drive: Electric Vehicles and Sustainable Transportation, pg 101 [2] http://auto. howstuffworks. com/hybrid-car1. htm [3] http://auto. howstuffworks. com/hybrid-car1. htm [4] http://auto. howstuffworks. com/hybrid-car2. htm [5] http://auto. howstuffworks. com/hybrid-car3. htm [6]http://web1. infotrac. galegroup. com/itw/infomark/155/298/52759225w1/purl=rc1_ITOF_0_A122672547&dyn=5! xrn_15_0_A122672547?sw_aep=swar94187, Electric and Hybrid Vehicles Today, Sept 30, 2004 p0 , Article A122672547 [7]. http://auto. howstuffworks. com/hybrid-car4. htm [8] http://www. morphizm. com/observations/borah/borah_corner1. html [9] Daniel Sperling; Future Drive: Electric Vehicles and Sustainable Transportation, pg 100 [10] http://auto. howstuffworks. com/hybrid-car8. htm [11] Daniel Sperling; Future Drive: Electric Vehicles and Sustainable Transportation, pg 2 [12] Electric and Hybrid Vehicles Today, Oct. 7, 2004, p0; Article A122947647.

Law of Property - Free Essay Example

Sample details Pages: 9 Words: 2599 Downloads: 4 Date added: 2017/06/26 Category Law Essay Type Narrative essay Tags: Act Essay Did you like this example? In this scenario, there are several parties who have, or who acquire, an interest of some sort in the property known as Greyoaks, a large freehold, registered property. Briefly, the principal parties include the registered proprietor of Greyoaks, Ophelia. As the registered freehold proprietor, it is Ophelia who has the ability to grant the various rights and interests which she subsequently does. From the outset, she is free to dispose of the property howsoever she wishes. She begins a relationship with Paul, a landscape gardener, who becomes the first of the parties to acquire an interest in the property. This is merely an equitable interest, but as we shall see, it might well be enforceable against later purchasers of the property. Secondly there is Rick, an old friend of Ophelia, who also, ostensibly, gains an interest in the property. This is the first legal interest created by way of a disposition by Ophelia of a lesser estate in the property than her own fre ehold estate. Rick enjoys a legal term of years absolute, or a leasehold. The lease, however, refers to the period commencing in January 2006, and as such, he is storing his belongings there merely as a licensee. Nest there is Susan, who is a guest in a distinct part of the property known as à ¢Ã¢â€š ¬Ã‹Å"the Stablesà ¢Ã¢â€š ¬Ã¢â€ž ¢ which have been converted into holiday homes. In this capacity, Susan is a mere licensee, with the same rights as any hotel guest. When Susan seeks to purchase the freehold of this part of Greyacre, it seems as though contracts are exchanged for this. An agreed date for completion (that is, when Susan can take possession of the property and when legal title passes to her name) is set at 1 November. Until such time as completion takes place, Susan remains a mere licensee on the property, and has only a contractual right as opposed to a proprietary interest in the property. This will afford her less protection against Forecast Developers Ltd, and will b e considered in more detail later. The decorator, Ron, acquires no interest whatsoever in the property. When Ophelia becomes ill and her relationship with Paul breaks down, Tabitha, her sister, assumes responsibility for dealing with the property. This is where the problems begin to develop. From Forecast Developers Ltdà ¢Ã¢â€š ¬Ã¢â€ž ¢s point of view, they believe they are dealing with someone with full authority and full knowledge of the property in question. In fairness to Tabitha, Ophelia does not inform her of the interests which are already in existence at the time of her illness (that is, September 2005). As far as Tabitha was aware, she was granted the authority to dispose of the whole estate, unencumbered by subsisting interests of which she was unaware that any existed. This is complemented by the fact that the Register shows no à ¢Ã¢â€š ¬Ã‹Å"adverse entriesà ¢Ã¢â€š ¬Ã¢â€ž ¢ when the solicitor acting for Forecast examined it. This fact also throws doubt on whether th e interests which were created by Ophelia earlier on are valid (at least legally as opposed to merely equitably). During the pre-contract searches which the representatives of Forecast are carrying out, Tabitha makes various misrepresentations, some innocently, others deliberately. This in turn will have an effect on the interests enjoyed in the property by each of the parties. The situation with regard to all the various interests develops after completion of the sale on 17 October 2005 of Greyacre to Forecast. As there are apparently no interest recorded on the Register, it appears as though Forecast take possession free of all the interest mentioned above. Each personà ¢Ã¢â€š ¬Ã¢â€ž ¢s interest will now be considered in more detail in order to assess what the legal position of Forecast is in relation to each one. Paul is a landscape gardener. When he commences a relationship with Ophelia in January 2001, Ophelia invited him to share occupation of the property with her. No for mal agreement of co-ownership or lease, or even an express licence was agreed. This would, at first sight, appear to put Paul in a very unfavourable position when it came to subsequent dispositions of the property. Opheliaà ¢Ã¢â€š ¬Ã¢â€ž ¢s subsequent representations to Paul, however, create a rather different situation. He was informed by Ophelia that à ¢Ã¢â€š ¬Ã‹Å"he would always have a roof over his head somewhere in the propertyà ¢Ã¢â€š ¬Ã¢â€ž ¢ so long as he tended the extensive gardens. This could be seen as an oral contract, and if it had been in any other circumstances than the creation of an interest in land, it probably would have been held to be binding. Section 2 of the Law of Property (Miscellaneous Provisions) Act 1989 stipulates, however, that contracts for land must be in writing. There has been no legal transfer of an interest in the property to Paul, but his right might be protected in equity. It is, however, an established principle of land law that an inter est of a person in actual occupation must be founded on a proprietary right of some kind (Lloyds Bank v Rosset). In this case, it was found that there was insufficient evidence for the court to infer that there was common intention between a husband and a wife that the property the legal title of which was in the husbandà ¢Ã¢â€š ¬Ã¢â€ž ¢s name was held on constructive trust for the wife. Opheliaà ¢Ã¢â€š ¬Ã¢â€ž ¢s words in this scenario, however, might be construed to suggest that there was a common intention for her to hold the property (or at least Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s share) on trust for him. If this fails, it seems very likely that Paul will be able to use the doctrine of proprietary estoppel to protect his interest. The modern position in relation to this is that for it to be established, it must be shown that the assertion of strict legal rights is unconscionable (Taylor Fashions Ltd v Liverpool Victoria Trustees Co Ltd). There are also three essential elements which mu st be satisfied. The first of these is assurance or expectation which must have been given by one party to the other (Ramsden v Dyson). Ophelia clearly gave such an assurance to Paul with her statement that he would always have a roof over his head. Secondly it must be established that the party to whom the assurance was given has been relied upon (Pascoe v Turner). Paul clearly relied upon the assurance by tending to the gardens. He performed in his professional capacity assuming that his services were being paid for by his presence in the property. It is also worth noting that according to Re Basham, the doctrine of proprietary estoppel is not restricted to acts done in reliance on a belief relating to existing rights, but can also be based on the belief that future rights would be granted. In the present context, tit is possible that Paul felt his rights would be legally acquired in the future. Although this is not necessary for establishing the proprietary estoppel, it might hel p make Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s case stronger. The final element required to establish an estoppel is detriment on the part of the party who relied upon the assertion (Dillwyn v Llewelyn). Paul clearly suffered detriment in this case as he gave up his own flat in order to move in with Ophelia. It seems certain, then, that Paul would be able to establish a proprietary estoppel which Forecast would have to consider. It is worth noting that even if Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s beneficial interest is overreached by the transaction, his interest in the property will be converted into an interest in the proceeds from the sale and Forecast will therefore be liable to pay Paul this value out of the proceeds of the sale. The next interest which Forecast will have to consider, and for which they may be liable, is that of Rick, Opheliaà ¢Ã¢â€š ¬Ã¢â€ž ¢s friend. This interest was a lease for a period of two years of a distinct part of the property known as the Coach House. In this case, much d epends on how the lease was created. The fact that it was executed by a deed suggests that it was created properly and would exist at law. According to the Law of Property Act 1925, section 52(1), the only requirement is that a legal estate be created or transferred by deed. This, however, applies to unregistered land. In the present context, Greyacre is a registered property, and as such has its own unique title number. The register is supposed to reflect, at any given time, the state of the title to the property and any interests which affect it. The relevant provision in the LPA 1925 for the lease granted to Rick is section 52(2) and section 54(2). This states that no deed is required for a legal lease or sublease which takes effect in possession at an open market rent without a premium for a period not exceeding three years. An exception to this was established in the case of R v Tower Hamlets London Borough Council, ex parte Von Goetz. In this it was stated that a term which do es not take effect immediately (as is the case for Rick), the lease can only be created by deed. This requirement, then, was complied with. The next issue with regard to Rickà ¢Ã¢â€š ¬Ã¢â€ž ¢s lease is whether it should have been registered. A lease term for not more than three years can generally be created at law by simple writing or even orally. This would mean that Rick and Ophelia were under no obligation to register the lease, and that it enjoys legal statue which would, obviously, survive the disposition of the freehold estate to Forecast. The Land Registration Act 2002 states, however, that a reversionary lease taking effect in possession more than three months after the date of the grant must be registered. As the lease was granted in March 2005, and it was intended to take effect in January 2006, it should have been registered under this provision (LRA 2002, ss4,27). This lease, however, will probably be deemed to override the subsequent disposition of the freehold est ate to Forecast. It is possible that Forecast will be able to argue that the lease has been frustrated following the case of National Carriers Ltd v Panalpina (Northern) Ltd. The final party whose interest in the property needs to be considered by Forecast is Susan. It is Susanà ¢Ã¢â€š ¬Ã¢â€ž ¢s solicitors who contact Forecast and tell them of Susanà ¢Ã¢â€š ¬Ã¢â€ž ¢s right to purchase the Stables for  £100,000. Susanà ¢Ã¢â€š ¬Ã¢â€ž ¢s position and rights in relation to the property change substantially throughout the period of the scenario. As a paying guest at the Stables (which have been converted into holiday homes), she is a mere licensee, present with the permission of the owner of the estate, Ophelia. Because Susan likes the property so much, she convinces Ophelia to enter a contract for the sale of the Stables, and therefore the creation of a freehold estate carved out and distinct from Greyacre. It would appear that the document which Susanà ¢Ã¢â€š ¬Ã¢â€ž ¢s so licitor drew up relating to this sale constitutes the contract for the sale of the property, and as such, Ophelia is bound to complete the sale on 1 November. There is, apparently, sufficient clarity with regard to what part of the property is being sold to Susan, so that it is a valid contract. In the period between the contract being exchanges, and 1 November when completion is due to take place, Susanà ¢Ã¢â€š ¬Ã¢â€ž ¢s status remains that of a mere licensee. Her continued (albeit sporadic) presence is simply by virtue of her booking the premises out as a paying guest. She has acquired no proprietary right in the interim. The significant change in circumstance relates to the fact that although still only a licensee, she now has a contractual right to purchase the property. The doctrine of privity of contract states that only the contracting parties themselves will be bound by the contract. In the context of land law, however, this doctrine has been undermined by the Landlord a nd Tenant (Covenants) Act 1995. The effect of this Act on the present scenario is that Forecast will not take the property free of pre-existing contractual obligations which Ophelia has entered into for the disposition of part of the land. A common law requirement for contracts for the sale of land is that there must be one document containing all the terms of the agreement (Commission for the New Towns v Cooper (Great Britain) Ltd). This appears to have been complied with. The contract has not had a chance to be completed, however, because prior to completion, a disposal of the entire Greyacre estate takes place benefiting Forecast. In the circumstances, it seems likely, however, that a court would order specific performance of the contract, even though it is now Forecast who stand to lose out. Susan should be able to purchase her new freehold estate in the Stables for the agreed sum. There are, or course, certain preconditions to specific performance being granted. Firstly ther e must be a transaction for value (this has been agreed but has not yet taken place; it should have taken place on the day of completion). Secondly there must be a contract in writing duly signed (under the Law of Property (Miscellaneous Provisions) Act 1989). The party seeking specific performance must come à ¢Ã¢â€š ¬Ã‹Å"with clean handsà ¢Ã¢â€š ¬Ã¢â€ž ¢ (see Coatsworth v Johnson). As Susan is innocent in this scenario of any wrongdoing, she meets this requirement. It is, however, the final requirement of specific performance on which Susan falls down, and which will offer Forecast a reprieve. This is that the specific performance must not prejudice third parties or cause excessive hardship. This was established in Patel v Ali, in which it was held that where the subject matter of the contract had already been transferred to a third party, specific performance will not be available. The situation with regard to Susan, then, is unclear. It is possible, then, that Forecast will be liable to various parties who have acquired rights and interests of varying degrees in the property. The fact that Tabitha misrepresented about Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s situation will add strength to Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s case, and will also offer Forecast a remedy as they presumably can show that they relied upon this representation. Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s case is also the strongest for the simple reason that he is already in possession of the property. The problem with Paulà ¢Ã¢â€š ¬Ã¢â€ž ¢s situation, however, is that it remains unclear what part of the property Paul has an interest in. Opheliaà ¢Ã¢â€š ¬Ã¢â€ž ¢s original words to him simply guaranteed him a roof over his head in some part of the property. At no point was this specified. Tabitha herself might be liable in negligence for her dealings with the estate, as it became her duty to find out fully the condition of the title to the property when she was granted the right by Ophelia to handle the sale of it. Forecast will certainly not, however, take the property free of any of the subsisting interests. BIBLIOGRAPHY Statute Landlord and Tenant (Covenants) Act 1995 Land Registration Act 2002 Law of Property Act 1925 Law of Property (Miscellaneous Provisions) Act 1989 Cases Coatsworth v Johnson (1885) 55 LJQB 220, CA Commission for the New Towns v Cooper (Great Britain) Ltd [1995] 2 WLR 677 Dillwyn v Llewelyn (1862) 4 De GF J 517 Lloyds Bank v Rosset [1991] 1 AC 107 National Carriers Ltd v Panalpina (Northern) Ltd [1981] AC 675, HL Pascoe v Turner [1979] 1 WLR 431 Patel v Ali [1984] Ch 283 Ramsden v Dyson (1866) LR1 HL 129 Re Basham [1986] 1 WLR 1498 R v Tower Hamlets London Borough Council, ex parte Von Goetz [1999] QB 1019, CA Taylor Fashions Ltd v Liverpool Victoria Trustees Co Ltd [1982] 1 QB 133 Secondary sources Gray, K., and Gray, S.F., Land Law (LexisNexis, 2004) Gray K., and Gray, S.F., Elements of Land Law (Oxford, 2005) Don’t waste time! Our writers will create an original "Law of Property" essay for you Create order