Professional negligence in residential conveyancing

Residential conveyancing transactions are often the subject of professional negligence claims. In this article, we explore common reasons for this, along with steps you can take if you believe there’s been professional negligence in your property transaction.

Why does residential conveyancing result in professional negligence?

Residential conveyancing work is typically high-volume and form-driven, with parts of the process being delegated to junior or non-qualified staff. Without diligent supervision, errors can occur, and the consequences often only come to light when the property is subsequently sold.

Qualified lawyers are responsible for signing off key documents in a conveyancing transaction, but unless the detail behind those documents is thoroughly reviewed, issues can transpire later. High-volume models aren’t negligent by default, but they can be problematic without adequate procedures in place.

Areas of professional negligence in residential conveyancing transactions

Professional negligence is a failure to meet the standard of a reasonably competent conveyancer. Negligence can occur in:

• Title and registration
• Easements, covenants and boundaries
• Lease issues
• Searches and enquiries
• Lender requirements
• New build and shared ownership.

It’s worth noting that boundary disputes aren’t always the result of negligence – they often arise due to owner conduct and maintenance. Boundary disputes are usually handled by a real estate disputes lawyer and don’t involve professional negligence from the conveyancing transaction.

How do I know if there has been professional negligence in my conveyancing transaction?

You may realise something isn’t right or not as you understood it when you purchased a property. Perhaps you’ve tried to sell your property and the buyer has raised an enquiry about something unexpected – for example, regarding a search.

Or maybe you’ve applied for planning permission only to be told that development isn’t permitted because your property is within a conservation area or is listed.

It’s useful to retain documents, searches and reports on title from your transaction. These can give an insight into the cause of an issue. Negligence is usually apparent from the residential documents, as conveyancing is documentary in nature with prescribed forms and searches.

Causation and loss

You’ll need to demonstrate that better advice or competent conduct would have avoided the loss. Typically, you might seek:

• The difference in value between the property as bought and its value with the defect
• Costs of remedying the defect, if possible
• Abortive costs of a failed sale or remortgage
• Additional finance or transactional costs linked to negligence.

What can you do if you suspect negligence?

• Gather evidence – request a copy of your conveyancing file from your solicitor and review any documents or emails you kept during the transaction
• Consider limitation and seek advice – the limitation period for a breach of contract is six years, but there are alternative limitation periods which can be considered for conveyancing matters, starting from the date you became aware of the issue. This can assist where a defect came to light years after completion of the property
• Check your insurance – this could be a title indemnity policy or even your home insurance policy
• Follow the Professional Negligence Pre-Action Protocol – this gives guidance and timelines for taking pre-action steps in a potential professional negligence dispute.

How we can help

Our expert dispute resolution team can help if you think your conveyancing was mishandled or a defect has emerged that’s putting a sale at risk. Early, informed action can protect your position and improve the remedy you may receive.