Seeking a Court Order for Property Sale: What to Know
Entering into a property purchase with a friend or partner is often seen as a favourable venture. However, disagreements may arise, and when joint property owners can’t decide on a sale, there are legal avenues available.
Understanding an Order for Sale
When joint property owners can’t agree on a sale, the law allows for one party to apply for an Order for Sale. This is outlined in sections 14 and 15 of the Trusts of Land and Appointment of Trustees Act 1996.
Typically, jointly owned properties are viewed as a “Trust for Sale.” Therefore, if one party wishes to sell, the general stance is in favour of the sale of the property in question.
The court typically expects both parties to amicably settle their differences, especially if one party offers a fair price to buy out the other.
Scenario: A Tenants in Common Dilemma
Q: Six years ago, my colleague, Ben from last place of work and I bought a property as “tenants in common”. We had an understanding to retain the property for a minimum of five years and then consider selling. However, while my life has seen changes, Ben has moved abroad and wants to retain ownership.
What options are available for a tenant in common like me?
A: As tenants in common, both of you own distinct shares in the property.
If you had set up a declaration of trust initially, it would dictate the terms of your joint ownership. If such a document exists, it should guide your next steps.
If not, consider proposing to buy your colleague’s share at a reasonable price.
Compelling a Property Sale
Should discussions break down, inform Ben of your intention to seek an Order for Sale. Keep in mind that this approach might lead to decreased sale profits and potential disagreements.
In this process, it’s pivotal to ensure the court allows you control over the sale. If your co-owner becomes difficult, you may need the court to sign the “contract for sale and transfer,” which could escalate costs. This scenario underscores the importance of legal agreements in the early stages of joint ventures.
Procedure to Obtain an Order for Sale with Adel Jibs & Co Solicitors
Should you decide to pursue a court Order for Sale, it’s recommended to seek legal representation. With no dependents residing in the property and absent other special circumstances, this process should be relatively uncomplicated. However, complexities do arise, and that is where Adel Jibs & Co Solicitors is able to help you.
To initiate this, you’d begin proceedings at the County Court. Navigating property disputes can be challenging. Adel Jibs & Co Solicitors brings experience, professionalism, and a dedication to ensuring the Order for Sale process is as streamlined as possible for our clients. If you’re facing a property disagreement and need legal support, contact Adel Jibs & Co Solicitors at 020 3417 3859.Top of Form
Please note that the information provided here serves general purposes only and should not be considered a substitute for professional legal advice.
