Key Takeaways
- Adverse possession, sometimes called squatter’s rights, lets someone claim ownership of land they have occupied without the owner’s permission for long enough.
- Every claim needs two things: factual possession of the land and a clear intention to possess it, without the owner’s consent, for the required period.
- For registered land the period is 10 years, but the owner is notified and can usually defeat the claim by objecting. For unregistered land it is 12 years.
- Owners can both defend and prevent claims by acting quickly, keeping land secure, and documenting any permission they have given.
It sounds almost too strange to be true: that someone can occupy a piece of your land for long enough and eventually claim to own it. Yet adverse possession is a real and long-standing feature of English property law, and for commercial landowners it is not a museum piece. Disused yards, boundary strips, access lanes, spare plots and empty units are exactly the sort of land that gets quietly taken over, sometimes for years before anyone notices.
It cuts both ways. A business that has openly used a piece of land as its own for a long time may have a genuine claim to it. An owner who discovers an encroachment may be able to stop a claim in its tracks, but only if they act in time. In both cases, the detail matters enormously.
This guide explains how adverse possession works, how to make a claim, and how to defend against one, with commercial land in mind throughout. If you are dealing with either side of this, Osbourne Pinner offers a free 30-minute consultation with a commercial property solicitor.
What adverse possession actually is
Adverse possession is a claim to ownership that comes not from a deed or a purchase, but from occupation. If someone treats land as their own, without the owner’s permission, for a long enough period, the law can eventually recognise them as the owner. It is the formal legal doctrine behind the popular idea of squatter’s rights, though in a commercial context it far more often involves boundaries and disused land than anyone squatting in a building.
The two things every claim needs
Whoever is claiming has to show two things. The first is factual possession: real, exclusive physical control of the land, of the kind an owner would exercise. Fencing it off, putting up gates or locks, cultivating it, parking on it or building on it are the sort of acts that count. The second is the intention to possess: an intention to occupy the land as one’s own, to the exclusion of everyone else including the paper owner. Above all, this must be without the owner’s consent. If the owner gave permission, by a licence, a tenancy or even an informal arrangement, the clock never starts, which is the single most important point on both sides.
How long you need: registered versus unregistered land
This is where the rules split, and it makes a big difference. For registered land, under the Land Registration Act 2002, a person can apply to be registered as owner after 10 years’ adverse possession. But the Land Registry then notifies the registered owner, who can object. If they object in time, the claim will almost always fail. Only if the owner then does nothing to remove the occupier for a further two years can the occupier reapply and be registered regardless. In practice this makes registered land very hard to claim, provided the owner is paying attention.
Unregistered land is different. Here the older rules under the Limitation Act 1980 still apply, and 12 years of adverse possession can extinguish the owner’s title, allowing the occupier to apply for first registration with possessory title. There is no notification step in the same way, so an inattentive owner of unregistered land is far more exposed. You can read the Land Registry’s guidance in Practice Guide 4.
Making a claim
If you believe you have a claim, the case stands or falls on evidence. You need to be able to show when your possession began, that it has been continuous ever since, and that it has been exclusive and obvious to the world. Photographs, dated records, invoices for fencing or works, witness statements from neighbours, and anything showing you treated the land as your own all help. You then apply to the Land Registry, which will inspect the land and notify anyone with an interest. Because the burden is on you to prove every element, a well-documented, properly presented application makes all the difference.
Defending a claim as an owner
If someone is claiming your land, or you receive notice of an application, do not ignore it. The strongest defences are usually straightforward: show that you gave permission, because consent defeats a claim outright, show that the occupier never had genuine exclusive control, or show that the occupation has not lasted the required period. For registered land, objecting promptly when the Land Registry notifies you is usually enough to stop the claim, but remember the two-year trap: an objection is not the end of it if you then leave the occupier in place. Once you have objected, you need to actually recover possession.
How owners can prevent it altogether
Prevention is far easier than a dispute. Make sure your land is registered, because registration gives you the protection of the notification regime. Keep vacant or peripheral land secure and inspect it regularly, so encroachments are spotted early rather than after a decade. And if you are happy for someone to use a piece of land, put it in writing as a licence. A short, clear permission not only keeps goodwill, it also stops time ever running against you, because the use is with your consent. Our guide to commercial property possession rights covers the wider picture.
What counts as possession, and what does not
It helps to know where the line falls. Enclosing land with fences or walls, changing the locks, building on it, laying hardstanding, storing goods on it or farming it are the kinds of acts that point to genuine possession. Occasional or shared use tends not to be enough. Cutting across land now and then, parking on it alongside other people, or using it with the owner’s knowledge and blessing will usually fail, because it is neither exclusive nor adverse. The question the Land Registry or a court asks is a simple one: has this person dealt with the land as an owner would, keeping everyone else out, for the whole of the required period?
Why it matters in commercial property
Adverse possession comes up more often in commercial settings than people expect, usually over boundaries, access strips, yards and unused plots rather than dramatic squatting. It is also a real issue on purchase: a buyer should check on due diligence whether any part of the site is occupied by someone else, or whether the seller is relying on land they do not formally own. Boundary encroachments in particular sit close to this area, and we look at those in our work on boundary disputes. The related question of whether a tenant can claim squatters’ rights is a common one too.
Speak to a Commercial Property Solicitor About Adverse Possession
Adverse possession claims turn on fine detail and tight timing, whether you are trying to establish ownership of land you have long used or protect land that someone else is occupying. Acting early, with the evidence in order, is what decides the outcome.
At Osbourne Pinner, our commercial property solicitors can assess the strength of a claim, prepare or object to a Land Registry application, and help you recover or protect commercial land.
Please note that this article is for informational purposes only and does not constitute legal advice. We always recommend speaking to a qualified solicitor for advice tailored to your specific circumstances.
We offer a free 30-minute consultation to discuss your situation. You can speak with us via video call or visit our offices in Harrow, Canary Wharf, Piccadilly Circus or Manchester. To arrange your consultation, call 0203 983 5080, email [email protected] or complete the form below.
