290 thoughts on “Dealing with property auction issues”
Hi there,
We exchanged an auction contract recently, on the auctioneer website clear description in two occasions that the property has a side garden unfortunately when the solicitors came on board to do completion she found that the side garden not in the title and the seller has not got any legal paper for the side garden.
Based on the informations we read about misrepresentations this is a clear misrepresentation is it the case please regardles the auctioneer terms and conditions as now adays most auctionner trying hard to not take any responsibility for their online auction contents is it possible the auctioneer in this case to be liable for misrepresentations too as they provide false information to attract more buyers? thank you.
A claim against an auctioneer is less likely to be successful than a claim against a seller. There is generally no contractual or other relationship between an auctioneer and a successful bidder. It would be more likely that your claim lay against the seller.
From what you have written, it does sound as though there is a possible claim for misrepresentation. To expressly state that a garden forms part of a property when it does not would likely amount to a misrepresentation. However, the terms agreed between you and the seller would still be a relevant consideration, in particular as to whether or not there is a breach of contract. Normally, the standard conditions of sale would still be incorporated into the contract. Unless amended, these normally state that a buyer is entitled to compensation if there is a material difference between the description of the property in the contract and what is actually purchased.
Do feel free to get in touch with us if you would like to explore this in more detail.
A property was advertised via a Auction House and a Buy it now offer that i made to purchase the property was accepted however i insisted to cover myself that a clause was put in the contract that was duly signed by both parties that if the buyer of the property i was selling pulled out then the completion time to complete my Auction purchase would be extended to enable a new buyer for my property to be found as i needed funds from my sale to complete, the extension on the contract provided had no specific date inserted other than saying it would be extended to facilitate me finding a new buyer.
Unfortunately my buyer pulled out at the last minute and i have found a new buyer which is in early days of Solicitor work however the seller of the Auction property has become frustrated at the delay and wanted a extra £6000 on the contract price signed, i refused to increase on the contract price agreed and are now aware that the Auction property has been re advertised and a new buyer presumably at a higher price is completing.
The Auction House are refusing to return my deposit paid of several thousand pounds saying i have failed to complete and i have also incurred Solicitor fees for the conveyancing work done and house prices have increased over the past few months which again will cause me a financial loss if i have to seek a new property.
I only agreed to purchase this property at Auction with the clause being inserted which was agreed and signed by all parties and are considering how to proceed for my losses and potential other compensation due.
Thank you for your comment. The position does sound relatively complicated from a contractual point of view, and it would be necessary to have a look at the precise wording that was agreed, and any contemporaneous correspondence relating to that.
We would be happy to look into the position with you in more detail if you would like to get in touch.
Hi, I bought a piece of land for residential development at property auction. 2 days before the auction unbeknown to me the trees on the land had proposed TPO’s Tree preservation Orders placed on them. This information was not disclosed. I do not want to complete the transaction as the development would have little future value now to me. Would there be any chance I can get my 10% deposit back as the buyer would surely have been made aware of this and it was not declared. Let me know if you can help with this matter. Thanks
Thank you for your comment. Whether or not there is any basis to recover your deposit will turn on the contractual position between you and the seller. However, if it can be proved that the seller was aware that tree preservation orders had been placed on the trees but did not update the auction pack accordingly, there may be scope to suggest that there has been a misrepresentation by reason of the fact that the tree preservation orders might prevent development.
Delayed completion: what are your options when someone in your chain of property transactions is late? With a group of strangers all working toward completing on the same date, it's a wonder it ever works out on time.
This collection of cases of property misrepresentation claims should remind all of us how important it is to tell the truth on a Property Information Form
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Hi there,
We exchanged an auction contract recently, on the auctioneer website clear description in two occasions that the property has a side garden unfortunately when the solicitors came on board to do completion she found that the side garden not in the title and the seller has not got any legal paper for the side garden.
Based on the informations we read about misrepresentations this is a clear misrepresentation is it the case please regardles the auctioneer terms and conditions as now adays most auctionner trying hard to not take any responsibility for their online auction contents is it possible the auctioneer in this case to be liable for misrepresentations too as they provide false information to attract more buyers? thank you.
Thank you for your comment.
A claim against an auctioneer is less likely to be successful than a claim against a seller. There is generally no contractual or other relationship between an auctioneer and a successful bidder. It would be more likely that your claim lay against the seller.
From what you have written, it does sound as though there is a possible claim for misrepresentation. To expressly state that a garden forms part of a property when it does not would likely amount to a misrepresentation. However, the terms agreed between you and the seller would still be a relevant consideration, in particular as to whether or not there is a breach of contract. Normally, the standard conditions of sale would still be incorporated into the contract. Unless amended, these normally state that a buyer is entitled to compensation if there is a material difference between the description of the property in the contract and what is actually purchased.
Do feel free to get in touch with us if you would like to explore this in more detail.
A property was advertised via a Auction House and a Buy it now offer that i made to purchase the property was accepted however i insisted to cover myself that a clause was put in the contract that was duly signed by both parties that if the buyer of the property i was selling pulled out then the completion time to complete my Auction purchase would be extended to enable a new buyer for my property to be found as i needed funds from my sale to complete, the extension on the contract provided had no specific date inserted other than saying it would be extended to facilitate me finding a new buyer.
Unfortunately my buyer pulled out at the last minute and i have found a new buyer which is in early days of Solicitor work however the seller of the Auction property has become frustrated at the delay and wanted a extra £6000 on the contract price signed, i refused to increase on the contract price agreed and are now aware that the Auction property has been re advertised and a new buyer presumably at a higher price is completing.
The Auction House are refusing to return my deposit paid of several thousand pounds saying i have failed to complete and i have also incurred Solicitor fees for the conveyancing work done and house prices have increased over the past few months which again will cause me a financial loss if i have to seek a new property.
I only agreed to purchase this property at Auction with the clause being inserted which was agreed and signed by all parties and are considering how to proceed for my losses and potential other compensation due.
Thank you for your comment. The position does sound relatively complicated from a contractual point of view, and it would be necessary to have a look at the precise wording that was agreed, and any contemporaneous correspondence relating to that.
We would be happy to look into the position with you in more detail if you would like to get in touch.
Hi, I bought a piece of land for residential development at property auction. 2 days before the auction unbeknown to me the trees on the land had proposed TPO’s Tree preservation Orders placed on them. This information was not disclosed. I do not want to complete the transaction as the development would have little future value now to me. Would there be any chance I can get my 10% deposit back as the buyer would surely have been made aware of this and it was not declared. Let me know if you can help with this matter. Thanks
Thank you for your comment. Whether or not there is any basis to recover your deposit will turn on the contractual position between you and the seller. However, if it can be proved that the seller was aware that tree preservation orders had been placed on the trees but did not update the auction pack accordingly, there may be scope to suggest that there has been a misrepresentation by reason of the fact that the tree preservation orders might prevent development.