Ethics / PC issues

Question 1

can you act where there is an own COI?

Answer 1

Never.

Question 2

can you act where there is a COI?

Answer 2

can act if common interest or same objective + conditions met:
o Both parties give informed consent
o Effective safeguard if necessary
o Reasonable to act

Question 3

can you act for buyer and seller?

Answer 3

cannot act for B + S but might be possible if achieving same objective (cannot rely on substantially common interest) + conditions met

Question 4

give an example when you might be able to act for buyer and seller

Answer 4

father selling house to daughter (competing for same objective)

Question 5

can you act for joint buyers? what must be considered?

Answer 5

generally ok. If unmarried, consider advising re: equitable interests.

Question 6

can you act for joint borrowers? what must be considered?

Answer 6

generally ok. But be alert if mortgage sought by one owner over shared home for business loan. Will need to have an in-person discussion with other owner(s) and explain risks etc. Otherwise security could be set aside.

Question 7

can you act for borrower and lender?

Answer 7

common to act for both in residential. Uncommon in commercial conveyance.

Even if COI can act if substantially common interest + conditions met

Question 8

what is a contract race?

Answer 8

pre-contract package sent to multiple prospective buyers on the basis the first to exchange contracts secures the property.

Question 9

are contract races allowed? if so, when?

Answer 9

Only allowed if prospective buyers aware of this.

Cannot disclose without client consent. If client refuses, must cease to act immediately.

Question 10

what is the law society conveyancing protocol?

Answer 10

Designed to standardise residential conveyancing with instructions and templates.

Optional.