advice

smudger1946

Need some advice please.
My daughter and partner bought a property a few years, not being able to get a mortgage between them, her partners mother lent them the money by borrowing against her own home.
Between them they made up a contract (not done through any legal body), they all agreed to pay a monthly amount into the mothers bank account, if they wanted to go there own way the property is to be sold and pay off the debt and any profit to be shared between the two partners.
All three agreed and signed up to this effect and it was witnessed by someone
The upshot of the story is, they are to split up and put property up for sale, if it all turns nasty, which these things normally do, what rights and wrong does this contract carry?
The typed up contract is very vague! The mother is the legal owner, name on deeds.
Hope the above makes sense!
I thought the mother was foolish or very kind, she is 70+
I see this getting messy!!
Many thanks smudger

BitterAndTwisted

It will get messy if the three parties drew up their own contract and one of them won't adhere to the spirit of the agreement. Is there any provision for what will happen should the property sell for less than the mortgage on it?

Obviously it's not possible to offer any advice at all without sight of the actual agreement by someone with the appropriate qualifications. Legal advice should be sought immediately, which is what should have happened before they went down this route in the first place.

smudger1946

Thanks for reply.
No provision made if there is a shortfall.
I can see the mother coming out of this badly.
As i cant see the sale covering the debt let alone making a profit as the market is very flat.