Pre-contract searches and enquiries Flashcards

1
Q

What are the standard searches?

A

‘Local search’ – Local Authority (CON29) + local land charges (LLC1)
Drainage and water enquiries
Desktop environmental search
Chancel repair liability

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2
Q

What does the CON29 reveal

A
  • planning consents, refusals and completion notices
  • building regulations
  • roads and public rights of way (such as footpaths)
  • environmental notices (inc contaminated land notices)
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3
Q

What does the CON290 reveal?

A
  • common land and town or village green (restricted)
  • road proposals by private bodies
  • outstanding natural beauty and national parks pipelines
  • noise abatement zones
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4
Q

What does the LLC1 reveal?

A
  • planning permissions that have been granted
  • planning enforcement or stop notices
  • art. 4 directions (restrict Gen. Permitted Dvlpmnt Order)
  • tree preservation orders
  • smoke control orders
  • financial charges such as road-making charges
  • conservation areas
  • listed building status
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5
Q

What might be included in a title report to restrict a solicitor’s liability?

A
  • “We express no opinion on the commerciality of the transaction. We are unable to advise on the value of the Property”
  • “We have not inspected the Property and are unable to advise on the physical condition of the Property. We would advise you to arrange for a survey of the Property to be carried out, if this has not already been arranged”
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6
Q

When is it not a solicitor’s fault if there is an issue with the property not reported on?

A

report does not identify an issue that should have been revealed in a search but was not

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7
Q

What does a report on title show?

A
  • Material facts
  • Issues and their implications
  • Solutions available
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8
Q

What is the structure of a report on title?

A

(a) Interpretation
(b) Scope of the review and limitation of liability
(c) Executive summary
(d) Purchase price and other contract terms
(e) The Property
(f) Matters benefiting the Property
(g) Matters burdening the Property
(h) Search results
(i) Replies to enquiries
(j) Planning and building regulations
(k) Insurance
(l) Stamp Duty Land Tax
(m) Conclusion

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9
Q

How can a solicitor order a search?

A

National Land information Service: intermediary. Register with channel provider.
* Input address
* Sketch boundaries on ordnance survey map.

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10
Q

Who deals with drainage and water enquiries?

A

Relevant water service company

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11
Q

What form is sent for drainage and water enquiries?

A

CON29DW (residential) or CommercialDW (commercial)

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12
Q

Why should an environmental search be obtained?

A

Owner liability for costs of cleaning up contaminated land
Local search – only gives notices.
Desktop = historical use for potentially contaminative land uses

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13
Q

Why should a chancel repair search be obtained?

A

Responsibility for repair of the church – can be expensive if claimed.

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14
Q

How can liability for chancel repair be mitigated?

A

Indemnity insurance

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15
Q

Where does chancel repair apply?

A

Properties in parishes where there is a pre-Reformation church.

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16
Q

What information will an environmental search show?

A

Likelihood of flooding, susceptibility to natural subsidence, industrial use within 250m.

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17
Q

what are the optional searches?

A

Highways search
Mining - Coal mining, Cheshire salt, Tin clay and limestone
Environmental - Environmental phase 1 survey, Environmental phase 2 survey, Flood search
Misc - Utility providers, Railways, Waterways

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18
Q

What are the searches relating to seller/title?

A

Index Map Search
MapSearch
Central land charges K15
Bankruptcy K16
Companies Search

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19
Q

When will a SIM be ordered?

A

Unregistered or comprises more than one title or mineral rights

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20
Q

When is Central land charges search ordered and how?

A

Unregistered – full names of seller and all previous owners in epitome

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21
Q

When is bankruptcy search ordered and how?

A

Against seller if transaction not full market value.
Also carried out at Central Land Charges Registry.
Against buyer taking a mortgage

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22
Q

Why should a company search be ordered?

A

Check company in existence, not in liquidation or dissolved.
Shows security interests co has been given

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23
Q

What is development?

A

carrying out of certain building works on land or a material change of use of the land

24
Q

What are the exceptions to needing planning permission/building regulations?

A
  • building works that only affect the interior of the building; or
  • building works that do not materially affect the external appearance of the building; or
  • changes of use that are within the same use class (s3(1), The Town and Country Planning (Use Classes) Order 1987)
25
Q

What are the different types of listed building?

A
  • Grade I: buildings of exceptional interest (eg, Tower Bridge)
  • Grade II*: particularly important buildings of more than special interest (eg, Battersea Power Station)
  • Grade II: of special interest (eg, Adelphi Hotel, Liverpool)
26
Q

What should we be aware of regarding GPDO?

A
  • can be excluded or amended in a locality by an Article 4 Direction
  • enquiry of local authority whether GPDO excluded (part of local search)
  • Certificate of lawfulness: confirms work doesn’t constitute development/falls in GPDO
27
Q

When is listed building consent needed?

A

needed to demolish, alter or extend a building

28
Q

What is the effect of conservation areas?

A
  • GPDO restricted, changing external appearance may require PP
  • England – PP needed to demolish unlisted building in CA
  • Wales – CA consent needed to demolish unlisted building
  • Consent to cut back/down trees
29
Q

Why should buyer’s solicitor must check for breaches of planning control?

A

enforcement is against the current land owner, not the person who caused the breach.

30
Q

What is the local authority’s enforcement notice for planning permission enforcement?

A

LA 28 days’ notice that:
* Land must be restored to condition it was in before or
* comply with any conditions or limitations imposed
After 28 days, land owner may be fined, LA can enter the land to carry out the work, recovering its expenses from the land owner

31
Q

When can a stop notice be served?

A

Only after enforcement notice.

32
Q

What can a stop notice not prohibit?

A

use as a dwelling house
activity carried out for >4 years.

33
Q

What are the Local authority’s enforcement options for planning permission?

A

Enforcement notice
Stop notice
Breach of condition notice
Injunction

34
Q

What are the Local authority’s enforcement time limits?

A

4 years:
* Building works – start with date ‘substantially completed’
* Change use to single dwelling house – start date use begun

10 years:
* Other changes of use
* Breach of planning condition

35
Q

What are the Local authority’s enforcement options for building regulations?

A

Prosecution
Enforcement notice
Injunction

36
Q

What are the rules for enforcement notices re building regulations?

A

Local authority One year after completion to serve EN.
28 days to alter/remove work.
Failure to comply – LA can undertake work at land owner expense.

37
Q

What are the rules for prosecution for breaching building regulations?

A

Local authority 6 months after discovering breach to prosecute responsible person (builder, installer, main contractor) for breach in Magistrates’.
Unlimited fines.
Prosecution up to 2 years after completion of building work.

38
Q

What is the time limit for an injunction for unsafe work?

A

None

39
Q

What should be advised if there has been a breach of planning permission/building regulations in the past?

A

o Withdraw from transaction
o Invite seller to regularise matters before completion
o Obtain indemnity insurance

40
Q

What may a seller be able to obtain if there has been a breach of planning permission/building regulations in the past?

A

o retrospective planning permission for development
o regularisation certificate for works that did not have building regulations approval but otherwise comply.

41
Q

What does CPSE 1 cover?

A
  • responsibility for boundaries, and their extent
  • rights benefiting and burdening the property
  • access to the property
  • physical condition
  • contents
  • utilities and services
  • planning and building regulations
  • occupiers and employees
  • notices and disputes
  • Value Added Tax (VAT) treatment
42
Q

When is CPSE 2 used?

A

property is subject to commercial tenancies `

43
Q

When is CPSE 3 used?

A

grant of a new lease

44
Q

What residential forms are always used?

A

TA 6 - Property information
TA 10 - Fittings and contents

45
Q

What will the TA 6 cover?

A
  • boundaries
  • rights benefiting and burdening the property
  • disputes, complaints and notices
  • alterations
  • planning and building regulations occupiers
  • services and utilities
  • energy efficiency
46
Q

When are damages available for misrepresentation

A

only where ‘material difference between represented and the actual description or value of the property’.

47
Q

What additional enquiries can be made?

A
  • Commercial: can raise whatever but seller solicitor may decline if irrelevant, unnecessary time, expense etc.
  • Residential: (following protocol) raise enquiries to clarify issues from docs provided or relevant to title, existing or planned use, nature or location.
    o Not about the state and condition unless arises from search results, standard replies to enquiries, inspection or surveyor’s report.
48
Q

When may enquiries breach the protocol?

A
  • use non-Protocol ‘standard’ enquiries indiscriminately
  • raise enquiries that seek the seller’s opinion rather than fact
49
Q

What does the protocol say about buyer’s solicitors enquiries?

A

only make enquiries that are essential to act in their client’s best interests

50
Q

What does the protocol say about seller’s solicitors enquiries?

A

confirm and update replies if completed more than two months earlier
don’t have to deal with enquiries that don’t comply

51
Q

Who has to adopt the protocol?

A

Solicitors who are members of Law Society Conveyancing Quality Scheme

52
Q

When is the protocol not appropriate?

A

New build homes

53
Q

What are the consequences of breaching the protocol?

A

LS may require explanation, potentially leading to monitoring or removal from CQS.

54
Q

What are the transaction forms?

A

TA 6 property information
TA10 Fittings and contents
TA7 Leasehold information
TA8 New home information

55
Q

What is the GPDO?

A

allows certain development without planning permission

56
Q

What is an article 4 direction?

A

Gives local authority power to disregard GPDO