Solicitor mistake- failed to complete

aoleks

Reimbursement for your additional moving costs and a discretionary discount on your bill will do.

As far as you’re concerned, nothing happened.

badger09

user1977 said:

Titus_Wadd said:

I assume OP's solicitor knows whose account the money went to, and can easily draw it back?

Not "draw it back", I would expect it needs the recipient to send it back - but that shouldn't be an issue if it's another law firm's client account - they're not allowed to keep random amounts accidentally credited to them anyway.

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

robatwork

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

user1977

robatwork said:

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

Yes, there is no easy way of clawing back a CHAPS payment, or indeed a Faster Payment - otherwise the system would be ripe for fraud. The banks will ask the recipient nicely but beyond that I think it would be up to the payer to launch an action for unjust enrichment or the like. Goodness knows what the solicitors would do in the meantime, assuming they don't have sufficient spare cash to complete before they get the funds back.

GDB2222

user1977 said:

robatwork said:

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

Yes, there is no easy way of clawing back a CHAPS payment, or indeed a Faster Payment - otherwise the system would be ripe for fraud. The banks will ask the recipient nicely but beyond that I think it would be up to the payer to launch an action for unjust enrichment or the like. Goodness knows what the solicitors would do in the meantime, assuming they don't have sufficient spare cash to complete before they get the funds back.

Most banks have signed up to a 'voluntary code'. If the recipient doesn't dispute entitlement to the money, it will be returned within 20 days. Disputing would involve knowing where the money came from, for a start. 

silvercar

robatwork said:

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

Correct. Solicitors use TT - telegraphic transfer - to transfer funds between themselves.

badger09

silvercar said:

robatwork said:

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

Correct. Solicitors use TT - telegraphic transfer - to transfer funds between themselves.

I had understood that effectively, CHAPS & SWIFT payments are TTs. 

Perhaps a conveyancer could comment on my musings above?

user1977

badger09 said:

silvercar said:

robatwork said:

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

Correct. Solicitors use TT - telegraphic transfer - to transfer funds between themselves.

I had understood that effectively, CHAPS & SWIFT payments are TTs. 

Perhaps a conveyancer could comment on my musings above?

Yes, "telegraphic transfer" is an archaic term which seems to have stuck among solicitors, but the banks stopped calling it that years ago - what they mean is what the banks and everybody else calls CHAPS. 

badger09

user1977 said:

badger09 said:

silvercar said:

robatwork said:

badger09 said:

Just musing… I can see that if funds were sent to another conveyancer’s account in error, would be returned quickly. However, what if the error was a simple typo (though I’d expect COP warning to flag this up) and instead, funds were sent to some random individual’s account? That could take much longer to rectify & costs could be substantial. 

Surely the method solicitors use isn't Faster Payments therefore COP wouldn't be in effect? In the back of my mind is some ancient system involving a fax machine, a cow bell and a magic incantation that they use to transfer funds between themselves. Perhaps a conveyancer/solicitor can clarify? I can see you there, reading this forum!

Correct. Solicitors use TT - telegraphic transfer - to transfer funds between themselves.

I had understood that effectively, CHAPS & SWIFT payments are TTs. 

Perhaps a conveyancer could comment on my musings above?

Yes, "telegraphic transfer" is an archaic term which seems to have stuck among solicitors, but the banks stopped calling it that years ago - what they mean is what the banks and everybody else calls CHAPS. 

So, in the case of a simple typo error, it could take a while to recover any misdirected completion funds. 

TBagpuss

OP, I hope that eveything was sortted out today.

As others have said, you would be entitled to recover any adtional costs you incurred. I don't think that the removal costs would necessaily fll into this ctegory becaue even if eveything had happened normally, completion might not have taken place until late afternoon and you m,ight well have gone past 5, however, you can sk.

If your sellers incurred costs they could claim them from you but it would be your solicitors who would pay.

They ay offer to knock a bit off their bill or the stress but at the end of the day, yo were able to move in as planned so you haven't suffered any actual loss.

In repsonse to your question about whether this is ommon - the answer is no, but that solicitors, conveyancers and their ccashiers / accounts department are all human and humans make mistakes, so occasionally this kind of thing hppens. 
It sounds as though the trasers were happening late on n the afternoon so the banks closing would have limited how quickly it would be resolved - and the timing is likely due to how long the chain was so likely not in your conveynacer's control. 

I suspect that your solicitor didn't get involved in asking if you could move in because they would have had to go via your seller's solicitor, they could not have spoken direct to your seller,  and their solicitor would alost certianly have advised them not to agree,  so by suggesting that you spoke direct (or at least that you did so as a first step!) your conveyancer may well have  given you a better chance of getting an agreement.