can't sell our house, dissolved management company restriction on a freehold house

laskoibence

Good Afternoon,

I hope someone can help me with this issue. We are in the process of selling our freehold house, but our conveyencer does not really know what to do at the moment.
The house was built back in 2008, there was a management company /lets call it C1/ which has been dissolved after a year or so. I managed to find the old director's mail address, contacted him. He advised me that all the management rights were taken over by an other company /C2/ . Then I called C2, to help us remove the restriction.
There is an RX3 form submitted to the land registry, but they are asking for evidence to remove the restrictions. After a few days C2 contacted me and my conveyencer, asking for the form so they can sign it. After a few days C2 could not find anyone who has the right to sign it. They found out, that there is no one who manage the property, but the Liverpool council has the rights of managing the streets, etc. Not the house. The council is not helpful at all!

So the question is, how can we remove the restriction? The buyer is cash buyer, but he won't buy unless we get the restriction removed ASAP.
Lenders are not happy either to give mortgage with the restriction.
Land Registry needs the form signed, but no one wants to sign it.

laskoibence

Mickey666 said:

It might help if you describe what the restriction is actually about.

Also, the dissolved management company sounds like a bit of a red herring.  That's just history and the restriction (whatever it is) seems to have been passed on to another company - your C2.

1. (15.09.2009) RESTRICTION: No transfer of the registered estate by the proprietor of the registered estate is to be registered without a certificate signed by C1 or their conveyancer that the provisions of clause 13.6 of the Transfer dated 24 July 2009 referred to in the Charges Register have been complied with.

Tiglet2

Your solicitor will obtain a copy of the Transfer dated 24 July 2009 and will write to the company C2 for their consent/signature that the provisions of the said clause have been complied with.  You may even have a copy of the Transfer in the documents provided to you when you purchased so you could post the actual wording of the clause here.

I wouldn't have thought this was a major issue.

laskoibence

Tiglet2 said:

Your solicitor will obtain a copy of the Transfer dated 24 July 2009 and will write to the company C2 for their consent/signature that the provisions of the said clause have been complied with.  You may even have a copy of the Transfer in the documents provided to you when you purchased so you could post the actual wording of the clause here.

I wouldn't have thought this was a major issue.

Thanks! I forgot to mention that I was not the first owner. We bought the house 2 years ago, in our case the land registry has dis applied the restriction. But now we would need to remove it.

Land_Registry

You’ve still got some unravelling to do it seems as initially C1 had been dissolved so getting the restriction cancelled isn’t likely to be an option. Disapplication is usually the way forward. 

https://www.gov.uk/government/publications/corporate-insolvency/practice-guide-35-corporate-insolvency#restrictions-favour-dissolved

However you then refer to C2 taking over but they’re not named in the restriction so if you are asking them to withdraw it (RX4) or consent to you cancelling it (RX3) then you’ll need to make that connection re C2 now having the protected interest?
The Council would very rarely have any involvement in such matters 

laskoibence

Land_Registry said:

You’ve still got some unravelling to do it seems as initially C1 had been dissolved so getting the restriction cancelled isn’t likely to be an option. Disapplication is usually the way forward. 

https://www.gov.uk/government/publications/corporate-insolvency/practice-guide-35-corporate-insolvency#restrictions-favour-dissolved

However you then refer to C2 taking over but they’re not named in the restriction so if you are asking them to withdraw it (RX4) or consent to you cancelling it (RX3) then you’ll need to make that connection re C2 now having the protected interest?
The Council would very rarely have any involvement in such matters 

C2 is not named, but they have managed the house for a while. This is confirmed by C1 and C2 as well. The buyer's solicitor told the buyer , that most of the lenders won't lend for this property until there is a restriction on it! He is a cash buyer, but he is worried about any future sale of the house.

laskoibence

@Land_Registry

Land_Registry

Unsure what more I can add here? 

I posted that you may have to prove the link between C1 and C2 - simply stating it or them confirming that may not be enough in law so you need to clarify the legal requirements. Same if they’ve been fulfilling the role
As to the advice given re lenders in my experience most go the disapplication route, hence the link, but lenders offer a variety of products some of which carry different risk criteria, Presumably the mortgage product they have has a risk level that requires the restrictions removal (guessing you meant isn’t and not is). Only they can clarify/confirm on that point.