Conveyancers from Hell.

Padstow

My conveyance solicitors are the estate agents own. I signed their contract for them to act for me Oct 3rd 2012. My buyers sold and lodge with relatives I'm going into rented.
The only sticking block was that my bankrupt ex had two charges against the property.

The whole process has been a disaster from the start when the the original solicitor wrote to ex's IP and offered for me to pay his creditors. That's just one of many.
After my complaint, her boss, head of department was brought in to handle it, though she was not much better

My original completion date was Dec 17th and I'm still here.
The latest is I was told by conveyancer number three, (actually a paralegal but better than the first two) the other two having disappeared without explanation, is the redemption figure sent to me was worthless as she must receive it. Just one problem with that, she'd never told my lender, although I had, that they were acting for me. More delays.

Friday, convenancer no3, rang me with this request. She asked due to the delay and the mortgage arrears having risen again, obviously, would I be prepared to give £560 of my fixed by the court equity, to my ex's creditors? I didn't know what she was talking about.
It transpires that his creditors were offered a settlement figure to remove their charges so the sale could go ahead. As the mortgage arrears have increased there will be less each for them and would I make up the shortfall so as not to delay further?

My buyers have renewed their mortgage offer three times now and there won't be any more. I'm frankly going under here on state pension, no hot water or heating, creditors ringing daily which would all cease as I have decent equity to come.
Should I agree to pay this sum? Not only does it stick in my craw financially, but one of his creditors is his divorce lawyer who acted against me.
I am also a creditor in his bankruptcy for large sums.

I told the conveyancer, "Just tell his IP that the sum is reduced, they can't have what doesn't exist."

I do intend to take action against this firm when I've moved, whether with FOS or whoever and wondered whether to pay up and add the sum to my complaint.

Please, what would you do?

ValHaller

Previous thread. https://forums.moneysavingexpert.com/discussion/4442513 with more background.

Some advice was to change solicitor.

Can you explain who owned the house when the charges were placed and if jointly whether it was owned Tenants in Common or Joint Tenants

G_M

Very hard to follow the post, and understand exactly what happened, who did what, and what your complaint is.

The key issues for complaint seems to be
1) change of conveyancers
2) poor communication (since you don't seem to know/understand what's going on

These are not that serious : 1) is sometimes unavoidable and 2) you could have been pro-active to resolve.

Apart from this, the issues are of your own making it seems to me.

You have Charges on the property. The property cannot be sold without removing the Charges. You (or joint-owner) have not paid off/removed the Charges.

You have mortgage arrears. Delays caused by the Charges are resulting in further arrears. You are failing to pay the mortgage.

If you wish the sale to go ahead you (or joint owner) clearly need to pay of the debts relating to the Charges, and the mortgage arrears.

edit: having now read the other thread it is clear the solicitor is not to blame for the delays. The accusation that "My conveyancing solicitor has no idea how to remove his charges" is I believe misleading.

In fact, the issue is there is insufficient equity in the property to pay the debts - THAT is why the solicitor cannot remove the Charges.

I do not believe he "does not know how to remove the Charges" I believe he "does not know how to find the money to remove the Charges"!

Issue is lack of money, not poor conveyancer.

Padstow

ValHaller wrote: »

Previous thread. https://forums.moneysavingexpert.com/discussion/4442513 with more background.

Some advice was to change solicitor.

Can you explain who owned the house when the charges were placed and if jointly whether it was owned Tenants in Common or Joint Tenants

I'm darned if I could find my previous thread so thanks.
I tried to change my sol to one I'd used 3 times in the past, but she said that at this late stage would be like trying to reinvent the wheel.
The first thing all divorce lawyers do is change to TIC which was done. I had a 50% share in the local business as I had financed its conception. He then went on to own two more branches.

There was quite a lot of assets involved in the divorce and I asked for the local business and house ie, the Former Marital Home. That would give me an income to pay the mortgage and a clean break. He would keep the other businesses and was living with his new partner. He wouldn't agree so I had to give up my 50% and accept substantial maintenance for joint lives instead and the FMH to be sold. He was also ordered to pay mortgage until it did.
I was also ordered a fixed amount of equity from the sale of the FMH and indemnified as to any debts in the business.
After the final hearing, his lawyer put a charge against his share; ie whatever was left after mine and expenses.

Unknown to all including me in court he had already put the two businesses in the OW's name. He then, once having my name off the local one, stopped paying vat, stopped paying the rent, stopped paying the bank and the bailiffs moved in. He then declared himself bankrupt. The maintenance and mortgage had lasted for just eight months and I was saddled with everything financially on the FMH, but I still get my fixed amount which cannot be touched. It even took my divorce lawyer to contact the con sols to explain it as they were trying to give it away to pay his charges.
If I pay them this £560, yes it will speed the process, but will come from my protected equity which is all I have to live from for the rest of my days. That will be a months rent for me.
The mortgage arrears don't affect me as there is equity left to pay them. The higher they go the less for his creditors, but this drawn out process is not my doing. In fact a large part of my day is spent on the phone trying to sort their mess out.

Maybe a lot of unnecessary info but I was wavering as to whether to pay it. I don't think so now that I've written it down, as I've already been done over like a kipper which has cost me my home and hundreds of thousands over my future years.

thelem

It sounds like a messy divorce and that he's done everything he can to minimise his own financial loss, so I can understand why you don't want to give him another penny.

But what are the options really? Say no, and you risk the sale falling through and costing you even more in mortgage interest.

If you say yes and the sale falls through anyway, then you can go back and renegioate without the deadline.

kingstreet

TBH I'm pushed for time.

Are these sole debts on a joint property? If they are, they are restrictions, not charges. There's a big difference.

Search for restrictions on here and you'll find a big thread on it.