191 thoughts on “Property Misrepresentation Claims in Practice”
Hello, We have just concluded missives on our new build. We were informed that there was a plot of vacant land next to the property which would house stays which support two wooden pylons. We were informed that the pylons would be moved further back and that only the stays would remain on the property next to us.
As we were not permitted to access the building site we got a view of the site weeks later with drone footage. We noticed that the wooden pylons had not been moved and we questioned this via email. The response was that it had not been done but that power company would be moving them.
We sent a follow up email just prior to missives. The sales person moved to a new site and was replaced. It has now come to light that the site manager and building director are advising that the pylons are not going to be moved.
The pylons are literally a few feet off the right side of our fence and we may actually have power cables running over our garden. The property was bought on the premise that these would be moved further back. During the initial review of the plans prior to us paying a reservation deposit it was expressly explained that they would be moved.
Besides being an eyesore and possibly a safety issue. We believe that it may also affect the property value as well. We entered into this purchase being informed about f pylons being moved. Would this constitute misrepresentation and as we have concluded missives are there avenues that we could follow to achieve some sort of compensation or having the seller stick to moving the pylons?
We started to purchase a property in Feb2020, just before the 1st lockdown and completed in July 2020. There were things we were not told on the TA6. One of which was the question that asks whether the Seller owns or owned property/land adjacent to the property. He said no, when indeed he did and he was already in the process of selling it to a friend in the village with a 40% net profit overage and full control with a timeline based on getting planning approval and/or development. Before we purchased the property we tried everything we could in lockdown to find out more about it but information was not forthcoming as councils and land registry were mainly on furlough. We asked the Seller and the Estate Agent about the land surrounding the property and the Seller said that it was all owned by the local Farmer and there is no way it would be built on, followed up by telling us that he was a man of honour and he does not break his word. Stupidly we believed him. The Land to rear of us has subsequently got planning, dubiously for a large Agricultural storage and lambing shed, widening of the access apron on a blind bend and a large driveway. This is basically stage 1 of an in-depth long TA1 set of overidges on the land, which is clear both the Seller and his Friend are looking to develop the land further. Do we have a case against the Seller or do we just have to accept that Cheats really do prosper?
Thank you for this. While we cannot give definitive advice without having seen all the items in question, whether there is a case there will very much depend upon the contents of the Property Information Form and on the contract. It should be noted that it is not normally a misrepresentation for the seller to fail to volunteer information. It is, however, a misrepresentation if they make a statement that is false and which you rely upon and are entitled to rely upon, and as a result of which you have suffered loss or damage.
The concerns I have here are whether the false statement he made, if indeed it was false, would have engendered you undergoing any loss. If he does own land adjacent to the property, then whether he gets planning permission for it or not is a matter for him. Yes, if he did not disclose when asked that he did own that land, then that is a misrepresentation. However, I cannot see that any loss you have suffered would flow directly from this, unless I am missing something here.
As regards verbal misrepresentations that he would not build on this land and that he is a man of his word, I am afraid that is unlikely to be a cause of action. It is usually a term of the contract of sale that no party may rely upon any representation made to the other except those in writing. Obviously, your contract may differ but that is the usual wording included in it, so I do not think that in and of itself would form a course of action.
Hi! We purchased a house 18 months ago which was advertised to us as a 5 bedroom property. Recently the council contacted us to say that we owe 18 months of council tax on the basement flat. Obviously this is distressing as we were not informed we were purchasing two rateable properties and on the TA6 form it referred only to a single council tax rate. I have contacted the seller’s estate agent and they have confirmed in writing that they were never made aware of this fact. The seller’s estate agent contacted the seller to try to get to the bottom of it, and the seller said that because she removed the cooker from the basement, that council tax was not applicable (we never saw it in there and were not told that the basement had eve been used as a separate flat with kitchen, though there is a shower in the basement). I have contacted the council and they have said that is simply not true and they would never give that advice in any case. They have also confirmed that rates have been payable on the basement since the 1980s. And has been paid separately. We since found out that she had been renting the basement to several persons over the years. Obviously, we are now paying two council taxes potentially in perpetuity. We would not have bought the property if that was the case, and our mortgage specifically prohibits renting out any part of the property in any case. It is clear that the seller was aware of the council tax in the second property as she had been renting it out but never disclosed this to either the estate agent nor on the TA6 form which we relied on when deciding to purchase. She has since refused to communicate with us and we now feel that a legal avenue is the only way to resolve the issue. Do you think we have a case to make a claim against the seller in this instance?
This is an unusual situation, but then this blog has thrown up a number of novel points in the past.
In short, there may be a claim for misrepresentation but it will depend a great deal on what you were told. If you were expressly told that there would only be one council tax bill to pay, then this would likely be actionable.
It sounds as though perhaps the seller was aware of this issue and allowed you to proceed on under a misunderstanding. This is not a straightforward point legally. A misrepresentation can occur by reason of what is left unsaid. However, in the simplest of terms, this would involve showing that the seller allowed you to proceed under a misapprehension without correcting you.
Do get in touch if you would like to consider this in more detail.
Note: This is general guidance only and should not be relied on as a substitution for properly considered legal advice.
Supporting Farleigh Hospice | Limited Places Available We’re delighted to announce that Cunningtons is once again partnering with Farleigh Hospice for the annual Make a Will charity campaign this September! What We’re Offering ✅ Completely FREE Will preparation by our qualified solicitors;✅ Professional legal advice and guidance on making your Will; and of course,✅ Support […]
Planning for the future as we get older is a vital part of life – that’s why many of us provide for ourselves with pensions and Wills. However, one of the most important tools available to us is often neglected: Lasting Powers of Attorney. According to CanadaLife UK, 78% of UK adults don’t have a […]
Cunningtons help with "Your Legal Journey Through Life". We cover key areas: your first home, your relationships and family law, then growing families, employment matters, dispute resolutions, property investments, and planning your estate. We focus on continuity, trust, understanding clients, and personal service by offering the same legal team throughout life.
Hello,
We have just concluded missives on our new build. We were informed that there was a plot of vacant land next to the property which would house stays which support two wooden pylons. We were informed that the pylons would be moved further back and that only the stays would remain on the property next to us.
As we were not permitted to access the building site we got a view of the site weeks later with drone footage. We noticed that the wooden pylons had not been moved and we questioned this via email. The response was that it had not been done but that power company would be moving them.
We sent a follow up email just prior to missives. The sales person moved to a new site and was replaced. It has now come to light that the site manager and building director are advising that the pylons are not going to be moved.
The pylons are literally a few feet off the right side of our fence and we may actually have power cables running over our garden. The property was bought on the premise that these would be moved further back. During the initial review of the plans prior to us paying a reservation deposit it was expressly explained that they would be moved.
Besides being an eyesore and possibly a safety issue. We believe that it may also affect the property value as well. We entered into this purchase being informed about f pylons being moved.
Would this constitute misrepresentation and as we have concluded missives are there avenues that we could follow to achieve some sort of compensation or having the seller stick to moving the pylons?
We started to purchase a property in Feb2020, just before the 1st lockdown and completed in July 2020. There were things we were not told on the TA6. One of which was the question that asks whether the Seller owns or owned property/land adjacent to the property. He said no, when indeed he did and he was already in the process of selling it to a friend in the village with a 40% net profit overage and full control with a timeline based on getting planning approval and/or development. Before we purchased the property we tried everything we could in lockdown to find out more about it but information was not forthcoming as councils and land registry were mainly on furlough. We asked the Seller and the Estate Agent about the land surrounding the property and the Seller said that it was all owned by the local Farmer and there is no way it would be built on, followed up by telling us that he was a man of honour and he does not break his word. Stupidly we believed him. The Land to rear of us has subsequently got planning, dubiously for a large Agricultural storage and lambing shed, widening of the access apron on a blind bend and a large driveway. This is basically stage 1 of an in-depth long TA1 set of overidges on the land, which is clear both the Seller and his Friend are looking to develop the land further. Do we have a case against the Seller or do we just have to accept that Cheats really do prosper?
Thank you for this. While we cannot give definitive advice without having seen all the items in question, whether there is a case there will very much depend upon the contents of the Property Information Form and on the contract. It should be noted that it is not normally a misrepresentation for the seller to fail to volunteer information. It is, however, a misrepresentation if they make a statement that is false and which you rely upon and are entitled to rely upon, and as a result of which you have suffered loss or damage.
The concerns I have here are whether the false statement he made, if indeed it was false, would have engendered you undergoing any loss. If he does own land adjacent to the property, then whether he gets planning permission for it or not is a matter for him. Yes, if he did not disclose when asked that he did own that land, then that is a misrepresentation. However, I cannot see that any loss you have suffered would flow directly from this, unless I am missing something here.
As regards verbal misrepresentations that he would not build on this land and that he is a man of his word, I am afraid that is unlikely to be a cause of action. It is usually a term of the contract of sale that no party may rely upon any representation made to the other except those in writing. Obviously, your contract may differ but that is the usual wording included in it, so I do not think that in and of itself would form a course of action.
Hi! We purchased a house 18 months ago which was advertised to us as a 5 bedroom property. Recently the council contacted us to say that we owe 18 months of council tax on the basement flat. Obviously this is distressing as we were not informed we were purchasing two rateable properties and on the TA6 form it referred only to a single council tax rate. I have contacted the seller’s estate agent and they have confirmed in writing that they were never made aware of this fact. The seller’s estate agent contacted the seller to try to get to the bottom of it, and the seller said that because she removed the cooker from the basement, that council tax was not applicable (we never saw it in there and were not told that the basement had eve been used as a separate flat with kitchen, though there is a shower in the basement). I have contacted the council and they have said that is simply not true and they would never give that advice in any case. They have also confirmed that rates have been payable on the basement since the 1980s. And has been paid separately. We since found out that she had been renting the basement to several persons over the years. Obviously, we are now paying two council taxes potentially in perpetuity. We would not have bought the property if that was the case, and our mortgage specifically prohibits renting out any part of the property in any case. It is clear that the seller was aware of the council tax in the second property as she had been renting it out but never disclosed this to either the estate agent nor on the TA6 form which we relied on when deciding to purchase. She has since refused to communicate with us and we now feel that a legal avenue is the only way to resolve the issue. Do you think we have a case to make a claim against the seller in this instance?
Thank you for your comment.
This is an unusual situation, but then this blog has thrown up a number of novel points in the past.
In short, there may be a claim for misrepresentation but it will depend a great deal on what you were told. If you were expressly told that there would only be one council tax bill to pay, then this would likely be actionable.
It sounds as though perhaps the seller was aware of this issue and allowed you to proceed on under a misunderstanding. This is not a straightforward point legally. A misrepresentation can occur by reason of what is left unsaid. However, in the simplest of terms, this would involve showing that the seller allowed you to proceed under a misapprehension without correcting you.
Do get in touch if you would like to consider this in more detail.
Note: This is general guidance only and should not be relied on as a substitution for properly considered legal advice.