Pre-contract Searches And Enquires Flashcards
(39 cards)
Who makes the searches and enquiries pre-contract?
Buyers solicitor. Due diligence process.
What happens if the buyers solicitor does not do the searches right?
Negligence claim from buyer if buyer should suffer a loss
What are the searches and enquiries that are relevant to EVERY PRPERTY?
Survey and personal inspection
Local search
Water and drainage search
Pre-contract enquiries of seller
Environmental searches
Flood search
Why is a survey and personal inspection a necessary search?
Strongly recommended. If the buyer is relying on mortgage, the lender will require a survey of some kind.
Personal insepction is advisable, as it reveals more that is on the plan.
What form is the local land search?
LLC1 and COP29 for council
What does the local search show?
Search and standard enquiries of local authority should be raised in. EVERY property.
LLC1 shows details of any financial charges or restrictions ont he land, that have been placed by LOCAL AUTHORITIES - such as planning consents, tree preservation orders, conservation areas
COP29, standard enquiries, reveals information of planning permission and restrictions on permitted development, contaminated land etc. also for road repair
What is a CON29O form and when is it needed?
Optional enquiries that ought to be raised, depending on LOCALIT of the property
Diverse matters- environmental and pollution notices, rights over common land.
Why is a water and drainage search required?
Liability for cost of drain and sewage repairs is a major concern.
This is NOT local airport.
COP29DW.
Main purpose is to establish if the drains and sewers serving the property are “adopted” and therefore the responsibility of the statutory undertaker, rather than the owner of the property
Will show if property is connected to public se for both foul and surface water drainage, and if connected to public water supply.
What is the form needed for drainage searches?
CON29DW
Why are environmental searches needed?
With EPA1990, awareness of potential cost of cleaning up sites that are contaminated.
Therefore, should be carried out, as solicitor could be found negligence.
Both COP29 and CON2O optional searches contain questions relating to these, however it is NOT sufficient enough to identify environmental risks.
How is an environmental search carried out?
Desktop search - carried out by a specialist environmental search compan.
Why is a food search awlways needed for a property?
If close to a river or coast. However, ist damage is caused by surface water flooding, which can occur anywhere.
Insruance for flooding is available (Flood Re), but commercial are not covered by this.
When will a Chancel Repair search be required?
Chancel repair liability lost its overriding status in 2013, but continues to bind a buyer if the previous transfer for value occurred PRIOR to that date.
In unregistered land, buyer will ONLY be bond if referred to in title deeds and a caution against first registration.
Even if there are no obvious COfE church nearby, some firms carry it out on al, just in case.
When are mining seraches required?
Not always clear from surface if there is coal mining, therefore makes sense to carry out a coal mining search of every property in a COAL MINING AREA.
CON29M
Ensures protection against subsidence, existence fo underground workings etc.
What is the form for mining searches?
CON29M
When is a canal and river trust search needed?
If property is adjacent to a river or Cana, buyer needs to be aware of any liability to maintenance of waterways, banks, tow paths, or if affected by flooding
Where is canal and river searches obtained. From?
Canal and river trust
When is it necessary to do a Commons search?
Properties on green0field sites or adjoining one space, may affect by commmon rights - right to pasture etc.
CON2O form, enquiry 22 in the local search
When may a railways search be required?
A buyer of land adjoining a railway line wil want to know if there is any obligation to maintain the boundary features separating it, or any building restrictions.
Network rail will not answer, so buyers solicitor will need to raise additional pre-contract enquiries with seller.
When may a highways search be necessary?
Enquiry 2 of COP29, provide certain information about roads adjoining property. - BUT verges and pavements are not included.
If there is a ransom stop - title boundary.
Buyerssolicitor can sent a plan to relevant highways authority, asking for boundaries of publicly maintainable highways
What seraches are needed for unregistered land?
Index map search (SIM)
Land charges department search against seller and PREVIOUS estate owners.
When will a company search be necessary t carry out?
Where the SELLER is a company, buyers solicitor shoudl carry out search at companies house, to see if they have the CAPACITY to enter into the contract, confirm teh identify of currnet owners of the company and if there are any fixed or floating charges secured on the property.
Unregistered - should also be carried out against any corporate estate owners revealed in epitome of title
When may bankruptcy/insovlency seraches be needed?
Solicitor acting for a lender should make search against BORROWER, to ensure no bankruptcy or insolvency proceedings affecting them.
Must be made JUST BEFORE completion.
What form is needed for a bankruptcy/insovlency search
K16
