No solicitor means no professional negligence protection
February 26, 2010
Consumers are increasingly putting themselves at risk by undertaking their own conveyancing for the sale or purchase of property without the involvement of a solicitor. The development takes place against the background of a volatile housing market and an exploding DIY culture as consumers tighten their belts.
The benefits are obvious but legal experts question whether the effect of saving approximately £500 in the short term could result in hefty costs consequences in the long term.
If a solicitor makes a mistake when acting for a client, a professional negligence claim can be brought against them. Solicitors are required to have professional indemnity insurance in place to be allowed to practice, and in the event of a negligence claim against the solicitor, the insurers will make any necessary payouts.
However, if an individual carries out his own conveyancing, his inexperience could mean that he is unable to identify or deal with. issues which may be apparent to a solicitor.
An example of such an issue in recent years has been liability for chancel repairs. This liability can be traced back to medieval times and makes property owners responsible for the cost of repairs to their local church. If a liability of this nature exists over land and is overlooked, it could result in the owner having to meet significant costs. An obligation that arose centuries ago could perhaps be overlooked as insignificant but the consequences of that could be costly if enforced by the Church. If a solicitor made an error of this nature, a claim for professional negligence may be brought against them. A recent case about this liability resulted in a couple being ordered to pay £200,000 towards chancel repairs.
The cost of residential conveyancing, at fixed fee prices, is relatively conservative compared to the amounts of time spent progressing these cases, not to mention the stress of dealing with other parties in the chain, their solicitors and estate agents. Moreover, the protection and peace of mind that the involvement of a solicitor affords an individual in the event of something going wrong far outweighs the fees charged for this type of work.
If you have any concerns about any conveyancing work carried out on your behalf by a solicitor or licensed conveyancer please contact Stephen Hill of the professional negligence team to discuss.