Rights to Equity in Property

[Matty B]

Hi

I am posting on behalf of a good friend who has got himself into a pickle

He entered a civil partnership about 5 years ago and at the same time they bought a 40%share in a shared ownership flat. When they bought it it was signed for on 30% for my friend and 70% to his partner. Since then they have bought the rest of the property on a full mortgage and my friend does not remember signing anything other than the conversion.

The partner has now asked my friend to move out and has said he will not get any money from the sale of the flat because he (the partner) has paid considerably more towards the mortgage than my friend. I should point out my friend is on a near minimum wage job whereas his partner earns 70K+ . There has been no mention of dissolving the CP but I suspect there are other issues at play here - the partner has just received residency being a non EU national.

I think this is totally wrong and would really love to help my friend because - well he is my friend and not the most assertive person in the world.

Thank you in advance for any advice you could give

he has contacted a solicitor who wants him to book an appointment at 250

Checked the land registry and they are both down as owners

[Amethyst]

Re: Rights to Equity in Property

As they are civil partners and were when they purchased the property it is not really up to his partner how much he does or doesn't get, he has rights and has contributed to the civil partnership, and the property, in other ways. The starting point will normally be 50/50. He needs to find out what the ownership of the property is though and whether the mortgage is in his name too - a good first step is to look at the Land Registry to see who the registered owner is.
https://eservices.landregistry.gov.u...285.1501684179

Not sure what he means by conversion, presumably from shared to full ownership ?

I'm sure there are people who can formally advise on the finances and break-up generally without charging £250 for an appointment btw. There's always CAB and Family Law Centres. I'm not sure where he is based but have a mooch on here https://justbeagle.com/search?fixed_...st_appointment to get an idea of fixed fee 1st appointments

[MENTION=85489]FionaC[/MENTION];

[Matty B]

Re: Rights to Equity in Property

Sorry I didn't explain. The conversion was to a 100% mortgage rather than part own part rent

It was a land registry search that shows them as co owners but I believe when the flat was first purchased an agreement was signed 30:70 in the partners favour.

It seems that all the documents relating to the purchase have been removed from the property and are being kept at the partners place of work. I will suggest just beagle - living arrangements are somewhat complicated at the moment

[Amethyst]

Re: Rights to Equity in Property

He will need to get some advice and if things get complicated he is likely to need some help - if he has a look around a bit there are firms that will do a free initial consult to give an idea of where you stand and how much things might cost - also assess if legal aid might be available - as it seems this will progress to dissolution at some point and the property and financial arrangements can be looked at during mediation through that process. But now, at very least, he should go get an appointment at Citizens Advice or a Law Centre and get an idea of his rights.

Someone will look in I'm sure that will have some suggestions.

[FionaC]

Re: Rights to Equity in Property

Hi Matty B,

I'm sorry your friend is in such a difficult situation. Amethyst is quite right while many of us charge now for a first appointment most of us do so on a fixed fee basis some still do a free first appointment for just generic advice. The 70/30 split was agreed in relation to property rights and will be evidence but your friend as lots of other rights because of the civil partnership and in certain circumstances the agreement could be overruled.

I suggest he looks at www.resolution.org.uk. This is the website that most expert family lawyers join and has lots of useful info.

As solicitors we want your business but these days there are more and more ways of paying for different amounts of advice. You should never be afraid to question a solicitor in detail about costs.

I hope this helps!

best wishes

[Matty B]

Re: Rights to Equity in Property

Hi

Sorry for the delay in responding

My friend has now found an email chain with emails from himself and his partner to the solicitor saying they want the the property to be tenants in common on a 30:70% split in the partners favour i.e my friend has 30%

My advice to him is that should the flat sell he should contact the solicitors handling the deal ( no doubt the estate agents will be able to tell him) and make it absolutely clear in writing that he owns 30% of the property and he expects 30% of the proceeds after disbursements and the mortgage

I hope that is the right advice for him

My guess is that if a prospective buyer knows there is an unresolved dispute they may well run a mile although my friend is at the point he just wants out.

Apparently the partner has said my friend has neither the knowledge or backbone to follow this through - oh I so hope we prove him wrong

Personally I think he should contact immigration and tell them he was duped into the civil partnership - probably too late for anything to happen but hey Karma and it will make him feel better

[Matty B]

Re: Rights to Equity in Property

Quick update- As I typed the message above I got an update

My friend has now been offered 8K - fees as a settlement. I think there is about 100K equity which would mean 30K or at least 20K if the flat sold

Any thoughts?

[Peridot]

Re: Rights to Equity in Property

Hi Matty B,
FionaC and amethyst have given some good pointers. He really does need some formal legal advice on this. The offer he has just received would appear derisory but being more optimistic it does seem he is looking to settle matters. With some sensible legal advice a counter offer could be made and a fairer settlement reached.
Please be wary of jumping the gun with regard to the partnership and rights to remain for example. A previous thread dealt with ‘sham’ marriages and there is a link to a government paper discussing this issue in the thread http://legalbeagles.info/forums/show...marriage-valid
It is really difficult when money is tight in justifying the expense of face to face advice, but if the property equity is sufficient and there are not significant debts of the partnership that would effectively wipe out any equity between them then it really would be money well spent to ensure a fair division of the assets, now the relationship appears to be over.

[Matty B]

I thought I would update this now it is all resolved.

Against my advice- and others, my friend settled for a lump sum , greater than initially offered but less than hoped for. He is now planning to invest it into repairs on his mothers house, again we have warned him about the dangers of this should his mother have to go into long term care- he could end up with nothing.

Thanks for all your help and advice

[Amethyst]

Well, you can't help some people, all you can do is be there to try pick them up if things do go wrong.

He could look at having part ownership of his Mum's house depending on situation, mortgage and whatnot ... as you say 'investing' it then it does seem he thinks he'll get it back if/when house is sold, or his mum passes .... He would have to take advice on maybe having his Mum transfer a % into his ownership.... Of course if he's just helping his Mum out then all bees to him.

Is he sorted with somewhere to live and did he get the dissolution of the civil partnership sorted ?

[Matty B]

I said investing , not as a financial investment but to do some much needed repairs . He is now back living there

I don't necessarily disagree with what he has done, he is happy with the settlement and is now free and single again

[Amethyst]

Ahhh okay that's cool then, so long as he's okay, back on his feet and out of that relationship