Property purchase - Vendor and Buyer having same solicitor!

[marcusjames]

Had an offer accepted on a house purchase. Estate agent has asked if I could use their solicitor (apparently not to do with kick-backs, more that they have an established relationship etc etc!!). On further investigation, it would appear that the vendor is also using their solicitor. I spoke with them and they claim that we will be dealing with different branches and so eliminates any conflict of interest.

Is this legal ?

After making noises about going with my usual solicitor, the estate agent has mentioned that the vendor accepted my offer on the basis that we exchange with the same solicitor to speed up the process (there’s no chain).

Thanks

[Jobbo]

Various things here:
1. It is now permitted for the same firm to act for both parties in a conveyancing transaction - see rules 3.09 and 3.10: Clicky; your written consent is required.
2. Why are they recommending this firm? There is never a compulsion to use a particular solicitor and I would suggest you choose your own. If a conflict were to arise in future the firm would have to stop acting for both parties and you'd have to start again with new lawyers...
3. It won't necessarily speed things up at all.

But one thing is in your favour - if there is an issue later on, the fact that the same firm has acted for both sides (and is likely to have done something in breach of rule 3.09 or 3.10 at some point) means you're going to find them very accommodating in the event of a complaint.

[5pen]

Different branches of the same solicitor is legal - did it myself on my last sale/purchase and my solicitor did get quite bolshy with theirs over a couple of points. I can't say for certain of course, but it probably did help smooth the transaction in my case.

The second bit sound iffy to me. Offer accepted on the condition of which solicitor you use? Sounds like this is the first you've heard of that condition, which makes it a bit odd don't you think?

[Manks]

marcusjames said:

Had an offer accepted on a house purchase. Estate agent has asked if I could use their solicitor (apparently not to do with kick-backs, more that they have an established relationship etc etc!!). On further investigation, it would appear that the vendor is also using their solicitor. I spoke with them and they claim that we will be dealing with different branches and so eliminates any conflict of interest.

Is this legal ?

After making noises about going with my usual solicitor, the estate agent has mentioned that the vendor accepted my offer on the basis that we exchange with the same solicitor to speed up the process (there’s no chain).

Thanks

Yep, quite legal.

In fact I have made it a condition of purchase before now that the vendor used the same firm as me.

But if this is anything to do with the estate agent it likely has something to do with kick-backs or reciprocal business. Though to be fair they might just not be as big a PITA as other sols.

Edited by Manks on Tuesday 19th April 16:38

[marcusjames]

I have informed the agent that I will be instructing my existing solicitor. They have "strongly" advised me to reconsider claiming the vendor will pull out if I refuse to use the same solicitor.

I've offered to call the vendor to explain the situation but obviously they're not keen.

The risk is that they put pressure on the vendor to pull out of the agreed sale.

Any advice guys ?

[RedLeicester]

Tell them to stick it.

[Jasandjules]

RedLeicester said:

Tell them to stick it.

This.

When you put the offer in was it accepted upon the basis that you use the solicitor? If not, I'd tell them to stick it.

[marcusjames]

Jasandjules said:

RedLeicester said:

Tell them to stick it.

This.

When you put the offer in was it accepted upon the basis that you use the solicitor? If not, I'd tell them to stick it.

They asked me to consider using their solicitor. I said I would speak to them and check the quote etc. They didn't mention it was also the vendor's solicitor.

Not that this is the deciding factor, but their price is also £200 more than my usual guy. There's only one reason to use them, and that's so I don't rock the boat !!

[Jasandjules]

marcusjames said:

They asked me to consider using their solicitor. I said I would speak to them and check the quote etc. They didn't mention it was also the vendor's solicitor.

Not that this is the deciding factor, but their price is also £200 more than my usual guy. There's only one reason to use them, and that's so I don't rock the boat !!

I can understand why they would do this (I have little doubt they have a referral fee). It is easier for them.

However, the solicitor you want to instruct is the one you want to instruct, you have to feel comfortable with them etc. becuase you need to trust them - after all, this is the most expensive purchase you are likely to ever make.

[K50 DEL]

When I bought a couple of years ago, the estate agent tried to talk me into using their recommended solicitor (the same one as the vendor was using)
I said no as I have an existing relationship with a very good solicitor and I'm so glad I did.... the vendor's sol. caused no end of delays and hassles and were it not for mine keeping on the ball I think my purchase would have taken a lot longer.

OP, the estate agent may threated to advise the seller to pull out, but given the commission from the sale will be far more than any kickback from the sol. I fail to see why they would.

Stick to your guns and instruct a solicitor you feel happy with.