May 2017 - UTK

Enforcing Judgement against a Debtor – the Options

May 17, 2017/0 Comments/in Uncategorized /by (suspended) UTK_Up289

A money judgement is a court order requiring a debtor to pay a sum of money to the creditor by a specified date. Although a creditor may obtain judgement against the debtor, this may not be the end of the matter as the debtor may not be in a financial position to make the payment; it is then for the creditor to decide how best to enforce the judgement.

You can ask the Court for an Information Order if your Debtor is evading payment and enforcement. The Debtor must then attend before the Court to answer questions regarding their assets and means.

The County Court Bailiff – An application can be made for a Warrant of Execution, this allows a Bailiff to attend the debtor’s premises to seize assets to satisfy the debt. It is important to be aware that Bailiffs have no power to force entry into residential premises and it is not always easy to obtain goods to the value of the debt, particularly if the debtor has removed the goods first.

Attachment of Earnings Order – This allows for the creditor to compel the debtor’s employer to make regular deductions from the debtor’s earnings and pay them to court. The court must take in to account the debtor’s circumstances and living expenses, the result can be the court ordering repayment in relatively small instalments. Of course, the debtor must be in gainful employment!

A Charging Order – Where a debtor has an interest in property, a Charging Order may be obtained against that interest. A Charging Order means that when the property is sold, the debtor must satisfy the debt out of the proceeds. Searches of the Land Register can be made to investigate the extent of someone’s ownership of property and any charges or mortgages already secured against their property.

Third Party Debt Order – Where a creditor is aware that the debtor is owed money by a third party or where the debtor’s bank or building society account is in credit, the creditor may make an application for the third party, bank or building society to pay that sum to the creditor in full or partial payment of the debt. An application can be made without notice being given to the debtor, however, the creditor will first need knowledge of the debtors bank or building society accounts. You can also apply to freeze any monies in the Debtor’s bank account if you are aware of these details.

Bankruptcy/Liquidation – This can be an expensive and potentially risky option which is only worth considering if you are owed a significant amount of money and there are no or few other secured or unsecured creditors. Before issuing a Bankruptcy Petition (against an individual) or a Winding-Up Petition (against a company), you may serve a Statutory Demand which does not involve expensive court fees and may encourage the debtor to ‘show their hand’ and thus indicate if they have anything to lose.

For specialist advice on how to enforce your Judgement, or indeed in relation to aspect of debt recovery, please telephone our Litigation Team on 01267 237441.

What is the difference between joint tenants and tenants in common when purchasing a property?

May 12, 2017/0 Comments/in Uncategorized /by (suspended) UTK_Up289

Property Purchase in Joint Names – What You Should Know

Where a property is owned by two or more people, under English and Welsh Law the co-owners must hold it by one of two methods, namely as beneficial joint tenants or as tenants in common. Both methods have very different implications on the death of one of the co-owners.

As tenants in common, co-owners of property can specify in what shares the property is owned between them, for example a wife might own 70% of the property while the husband owns 30% depending on what each may have contributed to the purchase price of the property. On the death of one co-owner, their share will pass under their will or according to the laws of intestacy – it does not automatically pass to the other owner(s). This is often a popular choice where a co-owner has children by a previous marriage.

As joint tenants, co-owners of property together own an equal and undivided share in the property, regardless of their contributions. On the death of one co-owner, their entitlement passes automatically to the surviving co-owners. This might be a sensible choice for an unmarried couple where they would wish the surviving partner to remain in the property. The share does not form part of the deceased’s estate for administrative purposes, although it does for the purpose of Inheritance Tax. Please note that Inheritance Tax is not payable on dispositions between husband, wife or civil partner.

For informed and comprehensive advice on how to hold your joint property, or indeed on any aspects of buying or selling a property, please contact our Conveyancing Team on 01267 237441.

STEP

May 10, 2017/0 Comments/in Uncategorized /by (suspended) UTK_Up289

All of our Wills and Probate Solicitors are involved with STEP. What does this mean?

STEP (The Society of Trust and Estate Practitioners) is the world-wide professional association for those advising families across generations. STEP members are recognised experts in their field with proven qualifications and experience. All members are subject to an extensive Code of Professional Conduct and in many cases have had to sit exams to hold full membership. Adam Bruce and Ceri Davies of our office both hold full membership and Luned Voyle is in the process of working through the exams. STEP provides top class training to its members and ensures that they maintain and develop their knowledge and skills relevant to their role as a condition of their continued membership.

Full members of STEP can use the letters ‘TEP’ after their name, which stands for Trust and Estate Practitioner. Working with a STEP member means that you are dealing with a trusted adviser with expertise, in terms of training and experience, backed up by a top professional body.

Why use a TEP?

As specialists in inheritance and succession planning, STEP members draft wills and trusts, administer estates, act as trustees and advise families on how best to structure their finances to ensure compliance and preserve their assets for future generations. In their professional practice, TEPs often help people at difficult or emotional times, such as after the death of a close family member. Choosing a professional to help you to deal with such important and often sensitive issues can be difficult. Many aspects of planning are non-regulated, meaning anyone can write a will, for example, regardless of training or expertise. With a TEP, you are in safe hands.

Currently STEP has more than 20,000 members across 95 countries from a range of professions, including lawyers, accountants and other specialists which enables them to share knowledge and expertise. STEP members are organised between branches and Adam Bruce of our office is Chair of the STEP Wales branch.

STEP also takes a leading role in explaining its members’ views and expertise to Governments, tax authorities, regulators and the public and has been very influential in the development of legislation in this country.

For more information about STEP please visit www.step.org or contact our Wills and Probate Department on (01267) 237441.

Environmental Searches and Flood Risk Issues

May 4, 2017/0 Comments/in Uncategorized /by (suspended) UTK_Up289

We are often asked in the Property Department at Ungoed Thomas and King, the reason why Environmental Searches are so important.

The Environmental Searches that we undertake make reference to plans and assess whether the property is likely to be affected by flooding as a result of river, coastal or surface water flooding. It would also assess the likelihood of the property flooding and how often, so that you can make an informed decision about whether to proceed with your purchase.

We advise all our clients who purchase a property to undertake an Environmental Search and Environmental Searches are undertaken by us at the outset of the transaction and we then advise our clients upon them as soon as they are received. If there are any concerns with regard to flooding, we would normally raise additional enquires with the solicitors acting for the seller about the flooding history of the property.

We would also advise our clients to make specific enquires with their proposed building insurers to ensure that they are able to obtain insurance at a reasonable premium and also to ensure that any damage arising from flooding will be covered under the policy.

If you are having a mortgage, your lender will probably insist upon us undertaking an Environmental Search in any event, but even if you a cash buyer purchasing a property, we would always advise that an Environmental Search is undertaken, in addition to other normal searches which we undertake.

For further information in connection with the conveyancing process, whether you are buying or selling, please contact our Property Department on 01267 237441 or mail@utk.co.uk.

Chancel Repair Liability Update

May 1, 2017/0 Comments/in Uncategorized /by (suspended) UTK_Up289

Existing clients of ours who have bought or sold land in the last 15 years or so, may be familiar with the concept of Chancel Repair Liability.

Chancel Repair Liability is a liability where property owners are subject to or are obliged to contribute towards the repair to the Chancel of Churches in the vicinity. Although this liability dates back many centuries, it was originally introduced for large land owners to contribute towards the local parish church. Since the introduction of this ancient law, it is likely that these large areas of land have been divided up and therefore this liability could affect the property which you are buying.

It is important therefore, that if your property is subject to Chancel Repair Liability that you are aware of the risks.

There was a fundamental change in the law in October 2013 in how Parochial Church Councils could enforce Chancel Repair Liability against land owners. Prior to this change in the law, the liability was enforceable by the church even if the property owner was unaware of it and the liability was not registered at the Land Registry.

After October 2013, the position changed and the right to demand repair costs was only enforceable against a property owner, if that liability was registered at the Land Registry against the individual property owner’s title. If the land was unregistered, the liability could be registered by way of a caution.

The common way with dealing with such a liability was that purchasers of properties prior to 2013 would have taken out Indemnity Insurance which is effectively an insurance policy covering against any possible liability to contribute toward the repairs of the local Church or any decrease in value as a result of any perceived liability which would affect the value of the property when changing hands.

Changes to the Land Registry’s system will therefore help buyers in the future but it has not completely eradicated the risk. It is important to note that Chancel Repair Liability has not been abolished, nor does the fact that a Church has not registered a Liability by 2013 mean that they will lose the right to apply for registration. The right will only be lost once the property with a registered title changes hands at full market value or when an unregistered property is first registered.

Conveyancing solicitors will continue to advise upon Chancel Repair Liability searches and where appropriate, indemnity insurance arranged with properties which are currently unregistered or which have not been transferred for full market value since October 2013.

If the title to a property reveals that the property is definitely subject to a Chancel Repair Liability, indemnity insurance can be still obtained against any future demands or reductions in value.

For further information with regard to this or any other concerns you may have when buying or selling a property, please contact our Property Department on 01267 237441 or mail@utk.co.uk.

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