Father places Charging Order on My Property

AdrianC

Carol1604 wrote: »

He was in rented with mum before she died and they preferred it that way as a landlord would deal with any problems to do with the property.

As I said, my father wanted to buy the flat

The "let the landlord have the problems" stopped at that point, then?

and suggested it be in my name and pointed out I may as well receive the benefits now.

If he'd passed away within seven years, it would still have counted as part of his estate. If he'd needed care and run out of other assets, it would have been counted as intentionally depriving himself when it came to local authority funding.

Some may consider that I should just sign the paper so that the property becomes his and his alone but having said that, I am disappointed that just because I developed a friendship my father should turn and make live unpleasant for me. It's not a matter of me holding on but more one of principle.

There are two questions here.

There's a legal one - and that's simple. It's your flat. You own it.
There's a moral one - and that's MUCH less clearcut. Do you think it's the right thing to do?

If you were to ask me - and you did, by posting your question here - then the answer to that second one is simple. You say that...

from my point of view, legal ownership mattered little.

...so you view it as being his property, right?

Which means that you're intentionally depriving him of ownership of his property because you feel slighted, right?

Has it crossed your mind that he might feel slighted, too? From his point of view, it sounds like he thought you were looking after him in his old age and need - but the first sign of a better offer, and he was second-best. Some thanks for buying you a flat, right? Sorry to be blunt, but...

Carol1604

You own a town house and were occupying it until your father suggested that you should live with him in a flat which he would buy in your name? Yes, father moved in with me but could not cope with the stairs.


There was no written agreement to show whether the flat was a gift to you or a Trust arrangement whereby you were the legal owner but he was the beneficial owner? No, nothing in writing but the solicitor knew where the money came from and what was being done.

You lived with him in the flat until he took umbrage at your relationship with a person of whom he did not approve - you moved out into rented accommodation because your own house was tenanted? Correct - I was happy in my town house but tried to help my father. HONEST

Your father wants you to sign over the flat to him on the basis that he provided the money and always regarded the flat as his - a constructive trust? Constructive trust. What is that? Correct, he supplied the money.

Has the charging order been registered against the flat or your house? If done, it will have been the flat.

It seems to me that you need to establish whether or not you are both the legal and beneficial owner of the flat and should take advice from a solicitor. No idea what I am just know that the property was in my name.

xylophone

There was no written agreement to show whether the flat was a gift to you or a Trust arrangement whereby you were the legal owner but he was the beneficial owner?

From your additional post 8 above, it appears that when the flat was purchased with your father's money, he fully intended that you should own it both legally and beneficially as an early inheritance, perhaps as a Potentially Exempt Transfer?

If this is the case then he made you a gift of the flat and it is yours legally and beneficially.

You should see a solicitor?

Thrugelmir

Sign the flat back over to your father.

Give notice to your tenants and move back in once they leave.

Status quo returns. Everybody is happy,

xylophone

"A constructive trust is not an actual trust by the traditional definition. It is a legal fiction that is used as a remedy for unjust enrichment. Hence, there is no trustee, but the constructive trust orders the person who would otherwise be unjustly enriched to transfer the property to the intended party."

Your father (and or his solicitor) claim(s) that you are unjustly enriched because he never intended that you should be anything other than a nominee? This being the case a charging order is being placed against the flat?

Carol1604

My father did not like the kitchen, so I had a new kitchen put in. He did not like the bathroom, so I had a new bathroom put in. He does not know it, but I borrowed the money and am still paying it back. I paid the gas and the electric plus the maintenance charges. He complained about the aluminium windows and wanted me to have them changed. I said, you can do that. He told me, it's your flat. You can pay. I also paid the 10% deposit on the flat.

I think he was unfair on me just because I got involved with someone. He even suggested I went out with this person thinking I never would. Believe me, I was always there for him.

dancingfairy

It sounds a mess to be honest. It's not clear whether it was a gift/ early inheritance from your father or whether it was merely put in your name for practical reasons. You've now spent money on the property. He's got the hump and wants his money back as you've met someone.
Has the property risen in value? Morally in my mind you should get the deposit back and he should get his capital back ( not sure on the money spent on windows etc). Neither of you can easily get your money out unless you force a sale. Assuming the value of the charging order is fair for the amount he put in then that seems fair enough. You should get legal advice though and consider whether you want to sell the property and he gets his share and you get your share and go your separate ways
When the property was bought what did your respective legal representatives advise? Was his money noted as a gift to you? What notes/ decisions were made if you ever fell out? You did both have solicitors for this?
It seems you're both hurting but depends what you truly believe was agreed and whether you can sort things amicably or whether you both start taking legal action. If you can sort it yourselves and come to an agreement then both get solicitors to check it over for you this could be better than protracted ) and expensive ) legal battles.
Df

ViolaLass

You need to decide what you want out of this. If you want your money back (money that it took you until post 17 to disclose you had spent) then tell your father.

If you don't, cut your losses, give it back and move on.

Carol1604

There was just the one solicitor and nothing was noted as a gift. The solicitor asked where the money came from and I said my father. He never queried it. We were at times in the solicitors office together.

I don't want the place sold. It's my father's home. I just wish I'd never got involved as I was happy as I was.

AdrianC

AdrianC wrote: »

The "let the landlord have the problems" stopped at that point, then?

Carol1604 wrote: »

He told me, it's your flat. You can pay.

Mmm. Yes, that was one of the possibilities I had in mind.

He sounds like a lovely chap.

If you regarded it as his flat, then you were spending money on his flat.
If he was regarding it as YOUR flat when it came to spending money, then he seems to have changed his mind quite quickly.