No independent legal advice
In the case of Saranovic v Saranovic (2017), a man put his name to a deed that was put before him by his brother but which eventually led to the forced sale of his £750,000 home.
The man and his brother had used money given to them by their mother to buy the flat. He believed that it would provide a home for him and his family indefinitely, but his brother considered it a development opportunity.
Following a conversation in a coffee shop, the man signed a deed that enabled him to live in the flat rent free and capped his brother’s interest in the property at £367,500.
However, unbeknown to the man, the deed included a provision that either of them could require a sale of the property, without the other’s consent, a year after it was purchased. They subsequently fell out and the brother sought to force a sale.
After the brother launched proceedings, a judge commented on the man’s naivety. He was not good with details and had relied upon his brother to explain to him the meaning and effect of the deed. However, his brother had not breached the duty of candour that he owed to him and had not brought undue influence to bear.
The brother was entitled to expect that his brother would take independent advice before signing such a document. Had the mutual power to force a sale not been included, the brother would have been obliged to allow the man to live in the flat, rent free, indefinitely and would not have been entitled to share in any increase in its capital value.
In the circumstances, the effect of the deed was fair and reasonable and the judge gave the man and his family one month to move out before the flat would be put on the market.
[edit] Find out more
[edit] Related articles on Designing Buildings Wiki
Featured articles and news
Infrastructure that connect the physical and digital domains.
Harnessing robotics and AI in challenging environments
The key to nuclear decommissioning and fusion engineering.
BSRIA announces Lisa Ashworth as new CEO
Tasked with furthering BSRIA’s impressive growth ambitions.
Public buildings get half a million energy efficiency boost
£557 million to switch to cleaner heating and save on energy.
CIOB launches pre-election manifesto
Outlining potential future policies for the next government.
Grenfell Tower Inquiry announcement
Phase 2 hearings come to a close and the final report due in September.
Progress from Parts L, F and O: A whitepaper, one year on.
A replicated study to understand the opinion of practitioners.
ECA announces new president 2024
Electrical engineer and business leader Stuart Smith.
A distinct type of countryside that should be celebrated.
Should Part O be extended to existing buildings?
EAC brands heatwave adaptation a missed opportunity.
Definition of Statutory in workplace and facilities management
Established by IWFM, BESA, CIBSE and BSRIA.
Tackling the transition from traditional heating systems
59% lack the necessary information and confidence to switch.
The general election and the construction industry
As PM, Rishi Sunak announces July 4 date for an election.
Eco apprenticeships continue help grow green workforce
A year after being recognised at the King's coronation.
Permitted development rights for agricultural buildings
The changes coming into effect as of May 21, 2024.