Restriction at the Land Registry

cornwalltigger

We have an unusual case (long and boring backstory not needed) that resulted in us exchanging on a property 5 years ago (we are the sellers), with a completion date of Nov 2016. Nov 2016 has been and passed and the buyer didn't complete. I want to go elsewhere and sell, but they have a restriction registered on the property at the Land Registry. I have asked them to remove it to no avail (they still want to complete but can't at the moment).


Are they the only ones that can do anything? The restriction states


(17.11.2011) RESTRICTION: No disposition of the registered estate by the proprietor of the registered estate or by the proprietor of any registered charge, not being a charge before the entry of this restriction is to be registered without a written consent signed by
Harry Harper Property Investment Limited of 3 Wellfield Court,

Wellfield Road, Cardiff.




The contract between us is null and void as they have breached the terms, but of course there is no end date on this restriction. I've spoken to a solicitor who wants £250 just to "look into the situation". I don't mind paying them to DO stuff for me, but don't want to pay them if they won't be able to help me!

Cakeguts

You will need legal advice because if they don't complete you have to set in motion to force them to complete. They also owe you interest for the delay I believe.

Mrs36

5 years between exchange and completion? Wow? (sorry, I know you said story not needed, I'm just surprised anyone would agree to those sorts of terms).

steampowered

cornwalltigger wrote: »

The contract between us is null and void as they have breached the terms

This is not true. You need to read what your contract says about termination.

If your contract was done on the "Standard Conditions of Sale" 5th edition - which is used for most standard residential sales - you would need to serve a formal notice to complete. You would then need to wait 10 working days after serving your notice. Only then could you terminate.

If you try to terminate the contract without following the proper procedure, you will be in breach of contract and liable for wrongful termination - and potentially liable for an enormous damages claim.

I think you need to get proper legal advice to get the contract properly terminated.

I've spoken to a solicitor who wants £250 just to "look into the situation". I don't mind paying them to DO stuff for me, but don't want to pay them if they won't be able to help me!

I think this is unfair. Before doing anything your solicitor will need to read your contract, understand the circumstances and discuss the next steps with you. This takes time and I think it is reasonable for the solicitor to get paid for that. £250 sounds very reasonable to me.

Hoploz

Surely the solicitor dealing with the conveyancing needs to get on to this. What do they say?

cornwalltigger

We got stuck with it as a second property, massively in negative equity. It got broken into whilst empty so insurance didn't cover us and damage was circa £15k. The estate agents agreed to pay for the refurb and rent it out for 5 years, taking most of the rent and leaving us just enough to cover our (luckily smallish mortgage). We exchanged with an agreed sale price higher then it was worth. Enough for us to clear our mortgage, and they banked on the value having recovered more, and they then pocket the difference. The problem being they now can't find a buyer at a price they like. I just want it gone.

cornwalltigger

You're correct in saying that it's not actually "null and void", but we can serve a termination notice now because they haven't kept to the agreed terms. If I can apply for the restriction to be taken off the property then I don't see what I would pay the solicitors to do? Hence my original question.

cornwalltigger

It appears that in the 5 years since, the original solicitors have ceased trading. At least I can't find a phone number for them

steampowered

cornwalltigger wrote: »

You're correct in saying that it's not actually "null and void", but we can serve a termination notice now because they haven't kept to the agreed terms.

If the contract allows you to do that!

If the sale is done on the Standard Terms 5th edition (as most residential sales are), you need to serve a "Notice to Complete" and then a separate "Termination Notice" after 10 working days.

If the sale is done on the Standard Terms and you just serve a termination notice - even though the other side have breached the contract - that won't be legally effective, and would put you in breach of contract.

strawberries1

You need written consent from the beneficiary of the restriction ie Harry Harper. Form RX4 is most straight forward but see RX3 too. https://www.gov.uk/government/publications/withdraw-a-restriction-registration-rx4