13Effect of instruments executed by bodies corporate

13 Effect of instruments executed by bodies corporate

13 Effect of instruments executed by bodies corporate

(1) Notwithstanding section 9—

(a) The execution by a body corporate created by this Act of an instrument purporting to deal with land not under the provisions of the Real Property Act 1900 shall, in favour of every person claiming any estate or interest under or through that instrument, and against every body corporate created by this Act, be conclusive evidence that the land thereby dealt with was at the time of such execution community land, and that, at the time of such execution, the body corporate had the estate or interest therein sufficient to make the instrument effective to pass or create the estate or interest which the instrument purported to pass or create.

(b) The execution in accordance with this Act by a body corporate of an instrument purporting to deal with land not under the provisions of the Real Property Act 1900 shall, if such instrument is registered under the provisions of the Registration of Deeds Act 1897, be conclusive evidence that the land thereby dealt with was at the time of such execution community land, and that the body corporate had the estate or interest therein sufficient to make the instrument effective to pass or create the estate or interest which the instrument purported to pass or create, in favour of every person claiming any estate or interest thereunder and having taken for value without notice that the land so purported to be dealt with was not community land or that the body corporate had not the estate or interest which it thereby purported to have, and in favour of every person claiming through or under him, as against any person having or claiming to have an estate or interest in such land other than an estate or interest under an instrument registered under the provisions of the Registration of Deeds Act 1897, prior to the registration of the firstmentioned instrument.

(2) Any person other than a body corporate created by this Act, deprived of any estate or interest in land by any such instrument, may bring and prosecute an action for damages against the body corporate by which the instrument was executed, and may recover the amount of a judgment therefor out of any real or personal property for the time being vested in such body corporate, and any real or personal property taken by a purchaser on a sale pursuant to any execution shall be freed from all trusts affecting the same, except in the case of a trust created by the Crown, and the proceeds of every such sale shall, in the hands of the Sheriff, and of the execution creditor, be freed from all trusts to which it would be subject in the hands of the execution debtor.