Good Leasehold Title describes a situation where:

• A. The freeholder owns the land
• B. Non-owners of the land but benefit from rights over it
• C. It guarantees the freehold estate
• D. It requires no registration

Answer: (B)

The main idea being tested is how a leasehold interest works: someone who does not own the land still has rights over it for a set period. A good leasehold title confirms that non-owners (the tenants) have exclusive possession and other rights under a lease, while the land itself remains owned by the freeholder. That makes option describing non-owners benefiting from rights over the land the best fit, because it captures the essence of leasehold: possession and use granted to a tenant without ownership.

The other statements don’t describe a leasehold situation. Saying the freeholder owns the land points to a freehold arrangement, where ownership is with the person who holds the fee simple, not a leasehold. Claiming it guarantees the freehold estate misstates the nature of a lease, which confirms a leasehold right rather than ownership of the freehold. Finally, the idea that it requires no registration isn’t correct in modern practice, since leasehold interests on registered land are typically registrable and the title would reflect the leasehold rights.