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Thomas
Thomas, Lawyer
Category: UK Law
Satisfied Customers: 6515
Experience:  BA (Hons), PgDip, Practising Solicitor
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Can the transferor of a title deed restrict the selling price

Resolved Question:

Can the transferor of a title deed restrict the selling price of the title land
Submitted: 2 years ago.
Category: UK Law
Expert:  Thomas replied 2 years ago.
Hi
Thanks for your question.
To enable me to answer your question could you please respond to the following:-
1. Can you explain the situation a little more please
Kind regards.
Tom
Customer: replied 2 years ago.
My father transferred a piece of land by the river to me in 1989 and there is a restriction that I can only sell this for no more than £5,000 is this legal I ahave title asbolute and it is in my name with the Land Registry.
Expert:  Thomas replied 2 years ago.
Hi,

When was the restriction imposed.?

Is it in the form of a covenant?

Tom
Customer: replied 2 years ago.

It was imposed in July 1989 and it is in form of covenant.

 

Many thanks

 

Sarah

Expert:  Thomas replied 2 years ago.
Hi Sarah

Have you asked your father why the restriction was imposed?

Tom
Customer: replied 2 years ago.
No he is dead
Customer: replied 2 years ago.

FAO TOM

 

No he is dead

Expert:  Thomas replied 2 years ago.

Hi
Thanks for your reply
I would attempt to get in contact with the solicitors who administered your father’s estate and also the conveyancers who imposed the covenant in the first place. I would think that the executors should be able to arrange a Deed of Release/Modification of the covenant so that you can sell it for more than £5000.00.
Your solicitors who you instruct to sell the property should be able to deal with this in reply to pre-contract enquiries raised by the Buyers
Ultimately if a Deed of Release cannot be secured then you could obtain a Indemnity insurance policy which will cover you in the event that enforcement action is taken against you to compensate for any loss suffered. However, if your father imposed it then it would be for his executors to decide whether or not to take enforcement action. If they are not minded to do so then you will be fine.
It’s possible that insurance will not be available if you inform the executors so I think the best thing would be to arrange a sale then speak with your conveyancing solicitor about your options to proceed.

If this has been useful please kindly click accept so that I may be rewarded for my time. If you do not click accept your money stays with the site and I do not receive any credit for the time I have taken to answer your question. You will not be charged any further money for clicking accept.
If you wish for me to provide you with further guidance on any question you may have in the future then please submit a further question to the board requesting me either by my profile or by marking your question. “FAO Tom”.

Kind regards,


Tom
Customer: replied 2 years ago.

FAO TOM

 

The property is a piece of land with no house built on it just a leisure plot does this change your answer.

 

Many thanks

 

Sarah

Expert:  Thomas replied 2 years ago.
Sarah,

No. It applies to the registered title of the land, it does not matter whether or not there are buildings on the land.

Trust this clarifies, please click accept.

Kind regards,

Tom
Thomas, Lawyer
Category: UK Law
Satisfied Customers: 6515
Experience: BA (Hons), PgDip, Practising Solicitor
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