Charging order restriction stopping sale

[Worryworm21]

Hi,

Desperately seeking some advice as I don’t know where else to turn.

I am currently in the process of selling house which is jointly owned. The property has very little equity as been on an interest only mortgage and we really need to sell in order to have somewhere to live in the future.

Anyway, we have a buyer and I have found I have 2 interim charging orders in the form of restrictions (standard form k). Due to the lack of equity we are unable to pay these from the proceeds of the sale.

I have informed my solicitor all she has to do is notify the creditors of the sale but she has said she needs confirmation from them that they will lift the restrictions, despite this not being a requirement of the restrictions.

I have sent her information from the land registry but she won’t budge.

the issue I have despite the lack of equity is one of the creditors has sold the debt several times to the point no one knows who owns it. I am paying an AOE on this direct from my salary (not sure where this is being paid) I have advised the solicitor of this and that I don’t know how she can get confirmation if she doesn’t know where the debt belongs.

I have tried contacting other solicitors but no one seems to be able to help me I genuinely don’t know what to do? I have reached out to the other creditor and asked if they would take a reduced settlement to remove theirs but I am not convinced they will agree.

Please can someone advise what I can do?

[atticus]

Use the law firm's complaints procedure

[atticus]

To add to that:

The procedure for dealing with a Form K restriction is clear, and frankly it makes a charging order over the interest of one party in a jointly owned property worthless.. It appears that your solicitor does not understand that. Your solicitor is not acting in your interests.

[Worryworm21]

Thank you. I have advised her of this and she just said she is not comfortable to proceed, I will speak to a senior on Monday to see if they can help, if not do you have any suggestions or firms that might be able to help me?

[Worryworm21]

I have spoke to my solicitor again, who is insisting she contacts the creditors asap so they have “sufficient” notice of the sale.
She advised she is “familiar” with these restrictions and her requirements.

If they write back they are obviously going to say they want the money (and there isn’t enough equity to settle the outstanding amounts) what can I do?
Can we just move forward as they have been contacted as per the requirement or will my solicitor insist they settle the debts?
Is it worth me switching solicitors? Please help

[islandgirl]

Does the buyer know? I would run a mile (sorry) if the restrictions were not lifted. I would want a "clean" title no matter what the solicitor said!

[Worryworm21]

The buyer is a developer, the restriction will be lifted at the point of transfer which is confirmed by land registry

[Worryworm21]

Hi, just want to update and ask for further advice.
so we moved house last month, creditors were notified on the day of the sale and everything went through without the “charge” being paid.
ive been contacted by the creditor (restons) to advise they are aware the house was sold and for me to pay the outstanding balance for the charge to be lifted (already done and dusted) im just wondering how to proceed and wether they may try other methods of enforcement? The original debt will be around 20 years old and the ccj was from around 2011 I think. I know it still stands but im just wondering what to expect and how to handle any letters etc
thank you

[Ramsseasider]

Hi, just wondering how you've gone on regarding the form k since the sale of your property? I'm going through a similar sale/situation atm.
thankd