Revolt over changes to Property Information Form gathers momentum

The Property Lawyers Action Group (PLAG) has warned the Law Society (LS) that it should indefinitely postpone the implementation of the Fifth Edition of the TA6 Property Information Form that supports National Trading Standards (NTSELAT) material information guidance or risk revolt from its members.

The Neg reported last week how the new TA6 includes the information that NTSELAT says should be disclosed by estate agents on property listings and that The Society of Licensed Conveyancers (SLC) had already expressed its disappointment that the TA6 and TA7 forms have been updated by the LS without consultation.

LACK OF DIPLOMACY

Now PLAG, an informal non-profit group of property lawyers, has written to the LS saying its lack of diplomacy when implementing policy changes ‘risks a revolt by its members’.

In an open letter to Ian Jeffery, Chief Executive of the LS, PLAG warns that it remains opposed to MI and to the Fifth Edition of Form TA6.

No tangible benefits, only increased cost and complexity.”

It says: “In the interests of streamlining conveyancing and reducing the time and cost of transferring title to land CQS has strongly discouraged solicitors from raising numerous enquiries that may not be relevant. The new TA6 and TA7 forms flies in the face of this policy, with no tangible benefits, only increased cost and complexity.”

NO MANDATE

PLAG goes on to question why the LS did not consult with its own members before implementing ‘such fundamental changes’ and points out it ‘has no mandate from its members to impose the outcomes of these consultations with third party organisations’.

It adds: “The implementation of the Fifth Edition of the TA6 appears to be the most flagrant disregard for the LS’s membership to date. This is a habit that must be broken, or else the LS risks a revolt by its members.”

Risks driving a wedge between conveyancing Solicitors and Licensed Conveyancers.”

Licensed Conveyancers are not members of the LS although adopt its practices out of courtesy. But PLAG says the LS’s ‘lack of basic diplomacy… risks driving a wedge between conveyancing Solicitors and Licensed Conveyancers’.

PLAG says: “Conveyancing relies heavily on firms adopting similar procedures and standards, and the changes announced by the LS therefore risk making transactions considerably more difficult for this reason alone.”

TOO MANY QUESTIONS

And it adds: “In our opinion there are far too many questions at this stage surrounding the legal status of the guidance and potential implications and the implementation of the Fifth Edition of the TA6 was clearly rushed and ill-advised.”

And in a further blow it adds: “Frankly, we also do not trust some of the organisations which comprise the MI steering group. We have been unable to ascertain who funds them. It seems there may be vested interests intending to benefit from these fundamental changes, which we are concerned will have the effect of and may very well be intended to marginalise property lawyers.

Implementing the new TA forms will give the unregulated sector greater control.”

“Implementing the new TA forms will undoubtedly give the unregulated sector greater control over transactions. Such firms are already springing up offering “Home Packs” – meaning sellers may be disclosing information without the benefit of legal advice that may permanently undermine or frustrate their sale.”

Among a raft of reasons before TA6 and TA7 can be fully adopted PLAG wants the LS to ‘fully consult with its members as well as the wider conveyancing sector and undertake not to make the new TA forms mandatory’ until that consultation has concluded.

A Law Society spokesperson told Legal Futures: “We are aware of concerns that have been raised by some of our members. We are taking them seriously and have been looking into them.