In our previous article, Selling a Residential Property: What Sellers Must Disclose When Selling a House, our property team covered the legal obligations that sellers face in disclosing property information during the sale of a residential home.
However, what happens if a dispute arises because a seller fails to disclose certain issues or misrepresents a property?
In this article, our specialist property solicitors look at how new property owners can resolve disputes stemming from property misrepresentation or non-disclosure in residential conveyancing transactions.
What is a Misrepresentation and Non-Disclosure Claim?
When selling a house in the UK, there are certain legal obligations that sellers must adhere to during the conveyancing process. These requirements aim to ensure transparency and protect buyers from any hidden defects or issues with the property.
The types of issues that may arise during a residential property sale can include:
- Misrepresentation: This refers to when a seller misrepresents the property’s condition, history, or other material aspects (e.g., misstatements about the structure, plumbing, or local area). This is sometimes known as mis-selling a property.
- Non-Disclosure: This occurs when a seller withholds vital information that could affect the buyer’s decision-making process, such as past flooding incidents, legal disputes, or existing issues with the property that were not disclosed before the sale.
Both misrepresentation and non-disclosure can lead to disputes, potentially resulting in legal action, financial compensation claims, or even the rescinding of the sale. For example, if the contract is rescinded, you may be entitled to claim the full purchase price along with interest. If you are claiming damages, you may be entitled to seek compensation for any decrease in the property’s value or related costs that directly arise from the misrepresentation or non-disclosure.
Steps to Resolve Disputes Over Misrepresentation or Non-Disclosure
If you find yourself in a dispute due to misrepresentation or non-disclosure following a residential property sale, it is advisable to seek early legal guidance from a property dispute specialist. Below, we cover a few other steps to take when making a claim:
- Reviewing the Property Disclosure Forms
The first step is to carefully review your terms of sale and property information provided by the seller. If completed correctly, the property information forms, including the TA6 Form and TA10 Form, should have accurately disclosed any known defects or issues with the property. After a property sale is finalised, proving misrepresentation can be challenging. Therefore, it is essential to seek specialist legal advice as soon as possible. - Gather Evidence and Notify the Seller
Collect any supporting documentation that demonstrates the seller’s failure to disclose important information or made misleading statements. This could include repair records, photographs, survey reports, or correspondence between the buyer and seller and the parties’ solicitors. You should contact the seller in writing and detail your findings. Clearly outline any false statements made regarding the property and specify any financial or non-financial losses you have incurred as a result. - Seek Legal Advice
If the seller is uncooperative or you cannot reach a resolution, it is crucial to consult with a solicitor who specialises in property disputes and property misrepresentation. At Rose & Rose, our property solicitors can help identify any inaccuracies or errors in the seller’s responses on the property enquiry forms and provide guidance on the next steps. Our team can also determine if any third parties may be liable and help make a complaint for professional negligence to seek compensation for any missed issues. With many years of experience, we can guide you through the complexities of a property dispute claim, exploring options such as claims for breach of contract or misrepresentation.
How Rose & Rose Can Help Resolve Property Disputes
At Rose & Rose, we have extensive experience in resolving disputes arising from misrepresentation or non-disclosure in residential conveyancing transactions. Our approach is both thorough and tailored to your specific case. Our property dispute team offer the following services:
- Specialist Legal Advice: Our team will provide you with clear, understandable advice on how to proceed with your dispute.
- Negotiation & Mediation: We can work with all parties to resolve the matter without the need for lengthy legal battles.
- Litigation Support: If litigation becomes unavoidable, we will represent your interests in court, ensuring your case is presented with the utmost care and attention.
Our experienced and understanding team are here to help you. We will work with you to ensure the best possible outcome.
Please contact us at info@roselegal.co.uk to discuss the best way forward for you and we will provide you with further and specific advice tailored to your circumstances.
This blog post is not intended to be taken as advice or acted upon. If you are seeking legal advice, please contact our team of solicitors.
