Chancel Repair Liability

Cumbrian_Male

So if you purchase before the 2013 cut off date then do you remain liable if the church doesn't register the liability on the title deeds with the land registry?

What is the point of either search? Surely just buy the indemnity cover and hope they don't register a liability before the cut off.

timmyt

thescouselander wrote: »

My solicitor has passed me the searches etc for my house purchase. In amongst all the documents is a report from a company called ChancelCheck which states the property I am buying could have Chancel Repair Liability. Coincidently (or not) the same company can offer insurance against such liability.

I've done a bit if research into what Chancel Repair Liability is and it appears the church are entitled to extract money from people who own property within their parish boundary. This sounds pretty off to me especially as I am not religious and I have strong views against large religious organisations like the church.

My question is - What are the chances of the church trying to get money from me for repairs to their Chancel (whatever that is). Is this something I really need to insure against or is it a scam?

there are enough cses of forced payment to warrant a search, whcih my firm does using the same company.

it is a postcode search, and gives a not likely or 'we cannot be sure' and so for the latter we ask the client if they want insurance. Never do we ask the seller as that is just bad practice. it is not a result that says it does, nor does it benefit the seller in any way to get them to pay, it is entirely for the buyers own piece of mind.

we suggest only insurance for the buyers own ownership which is ften just under £60....we do not charge anything for getting the policy....just all part of our service.

there are some lawyrs who just insure all cases, but so many clients would prefer to have a warning in advance of the possibility of it, which the desktop interne chancelsure searches do give.

personally, i think the search is cheap enough t let your lawyer just do it, and you then decide if you want insrance. £80 in total worst case usully. the only other search we do is an enviro one.

LittleTed

There seems to be confusion regarding what happens after 2013 (ie the end of the 10 year time allowed for Parishes to register their interests at the Land Registry). Edward Nugent QC's paper on the Peterborough Diocese website entitled "The Consequences of Aston Callow" includes the following worrying words:

"The method of registration which has been adopted, however,

means that if the liability is not registered within the 10-year period, it is still enforceable after
the expiration of the period against the owner of rectorial land until he disposes of his land; for it
is only a successor in title who takes the land freed from the liability. The failure to register,
therefore, does not lead to the immediate extinction of the liability at the end of 10 years; but it

does eliminate the conveyancing trap for the benefit of purchasers."

It seems to me that this means that anyone buying property prior to October 2013 needs a Chancel Check to see if they are potentially liable and if so, an insurance policy. There could still be repair bills to pay regardless of whether or not the church registers prior to 2013, it is just that after 2013 you can resell without the new owners having a potential liability.

However, as I am not legally qualified, I would be grateful if someone who is could let me know if I have understood this correctly.

Thanks

DVardysShadow

Possibly true. But bear in mind that you might be poorly advised to do more than make an educated guess as to whether you would be liable, because if you find you are fora fact, I believe the premiums are higher.

redlady_1

morg_monster wrote: »

Don't think this link has popped up in this long thread anywhere but thought it might be pertinent
http://www.guardian.co.uk/money/2009/sep/28/glebe-farm-church-bill-sale
the ridiculous thing in this story though is that it seems (though isn't crystal clear) that they didn't originally have chancel repair liability on their farm, but accepted the role of lay rectors (and hence the liability) when they bought some land from the church! Then when the liability was invoked, they spent 18 years fighting it in the courts, spending £250,000 in the process, and finally lost last month, so still owe the church £230,000... (guess they should feel lucky that the church didn't add inflation which would make it more like £420,000 ...)

This is the case I was thinking of. I have just bought a house and have taken out the insurance. At no point was I told that it was registered anywhere. I have also only taken the insurance for myself. If the property is sold then its up to the buyer as far as I am concerned if they want to take it up. I have no desire to lose my house to a flipping church.

Vomityspice

lindos90 wrote: »

Well Ive just found out that the cost quoted by our solicitor is not for the indemnity itself..its just the cost to do a search to see if we need one!

Then if we do there will be the premium (what ever figure they decide to pluck out of the air)....AND then a £50 on top of that for the solicitor to 'procuring and advise' on the indemnity :eek:

(no wonder they dont make 'commision' on selling imdenmities, if they charge £50 for ?)

God I hate the small print, just been wading through it, and now see that if they have a phone call with me, or write a letter, they may charge me an additional £200 per hour, on top of the fixed price they quoted me:eek::eek:. If I have to call them, I will talk very, very fast!!!

Solicitors are not allowed to take profit from a commission (FMSA rules). Any commission earn't (i.e that they may be paid) MUST be given back to the client (often refunded of the cost of the bill owed). It's in the SRA rules, 2.06.

If your concerned about the solicitor's costs for doing it, do it yourself. Chancel check is available to anyone. It's not that difficult to do the search yourself and avoid paying the Solicitor an additional £50.

dieselhead

Can I just add to this thread that the chancel repair liability is a real possibility, the company I work for are currently repairing a chancel roof, paid for by some people who have chancel liability.

Woby_Tide

LittleTed wrote: »

It seems to me that this means that anyone buying property prior to October 2013 needs a Chancel Check to see if they are potentially liable and if so, an insurance policy.

So by my reckoning that means that every single household in the country should have this policy as every single property in the UK has been bought at some point prior to October 2013.

Is there anyway to check that everyone has a policy?

jdurnall

my wife and i are currently buying a property in an area which may be subject to chancel repair liability. we will take out the liability insurance, which is obviously a no brainer. my real concern is that before october 2013 the local parish will list an interest against my property and therefore render it unsellable in the future!

casper_g

Woby_Tide wrote: »

LittleTed wrote:

It seems to me that this means that anyone buying property prior to October 2013 needs a Chancel Check to see if they are potentially liable and if so, an insurance policy.

So by my reckoning that means that every single household in the country should have this policy as every single property in the UK has been bought at some point prior to October 2013.


Is there anyway to check that everyone has a policy?

No, LittleTed's post implies everyone who bought/buys before Oct 2013 should have checked and bought insurance if potentially liable, not that everyone should have bought insurance.