Selling a rental property

One in five landlords plan to sell, citing increased regulation and less favourable tax treatment as reasons, according to a recent survey by a leading building society. ‘If you have a tenant, a key decision will be whether to sell with them in place or with vacant possession,’ says Tracie Middleton, Solicitor in the Residential Property Team with Pearsons & Ward in Malton (part of Ware & Kay Solicitors). ‘Talking to your professional advisors can help you weigh up all the pros and cons, and plan for the additional things to consider if you want your transaction to go smoothly.’ You can sell your property subject to the existing tenancy, which means your buyer will effectively step into your shoes as landlord. In contrast, if you sell with vacant possession, you must ensure your tenants leave…

The No-Fault Divorce – the end of the blame game

After being considered, debated, postponed again, no-fault divorce is set to come into force in April 2022 – but what does it mean for divorcing couples in the future? The current law As the law stands, married couples who want to divorce as quickly as possible can only do so by relying on one of two reasons; adultery or unreasonable behaviour.  Any couple wishing to avoid the allocation of blame is required to wait at least two years, and even then they will need one another’s consent.  If you think this does not sound like a very productive approach, you are not alone – the no-fault divorce has been hailed by many as a very welcome change. What’s changing? The no-fault divorce will enable couples to avoid allocating blame to either party, but the changes do…

Charitable giving and reduced rate of inheritance tax

At present, gifts to charities in your Will are exempt from inheritance tax and would be taken off the value of your estate before inheritance tax is calculated. Leaving money to charity in your Will could also reduce the rate of inheritance tax you pay. The reduced rate of inheritance tax was introduced by the Government in 2012 in order to encourage people to leave money to charity in their Wills. If the estate qualifies, it reduces the inheritance tax rate which is charged from 40% to 36%. To qualify, at least 10% of your net estate (or baseline amount) must be left to a charity or charities. The net estate is, generally speaking, the value left after the inheritance tax nil rate band (which is currently £325,000 and frozen at that level to 2026 or…

“One Day the Farm Will All Be Yours” – Grounds to challenge inheritance

As a child, I was oblivious to Uncle Len’s misfortune, writes Julie Bradwell, Solicitor with Ware & Kay. During a lifetime working on the land and loyal service to the landowner, he was promised, by his employer,  the land and house in which he lived, would be left to him in his employer’s Will.  Uncle Len never doubted this promise and in reliance, failed to make provision, should he be let down. The trust he placed in that assurance of future inheritance, also took away his motivation to pursue other opportunities for better employment, training, or further education. When his employer died, his Will left nothing to my uncle. He and my aunt had to leave the house which had been their home for decades, promised would be theirs one day. They did nothing further about…

Arrangements for children after a same sex divorce or separation

Following the introduction of civil partnerships in 2005 and same sex marriages in 2014, there has been an increase in families and then relationship breakdown between same sex parents.  Finding agreement over issues relating to children can be tricky in any relationship breakdown.  When a same sex couple separate it can raise several unique additional questions regarding arrangements for children and each person’s legal rights when children may be adopted, the parents may benefit from surrogacy or sperm donation, or one partner may have children from a previous relationship. Robert Bellhouse, a Solicitor in the family law team with Ware & Kay in York & Wetherby looks at some of the steps and considerations same sex couples need to bear in mind in relation to agreeing future arrangements for children.   Reaching agreement together In any family…

Preserving the golden goose, after divorce for a farming couple

The problems in obtaining seasonal labour for British farms hit the headlines with threats of turkey shortages last year, but such pressures can continue well into the New Year sometimes straining marriages to breaking point. January is usually a busy month for divorce lawyers, as couples finally decide that their marriage has broken down irretrievably. While divorce is never easy, with spouses having to agree how to split their assets and make arrangements for children, it can be particularly complex where agricultural assets are concerned. Robert Bellhouse family law specialist at Ware & Kay Solicitors in York & Wetherby explains how it is important to try to preserve the golden goose, by enabling the farm to continue to generate income to support the whole family where possible. He outlines a few of the key considerations for…

Planning ahead with a Lasting Power of Attorney

According to the Alzheimer’s Society, there are almost 885,000 people living with dementia in the UK. Estimates indicate that between 5% and 20% of over-65s suffer from issues which may affect their memory and thought process. No-one wants to consider that they may lose the ability to manage their affairs but planning for this possibility by making a Lasting Power of Attorney is essential. Although it may be awkward, preparing for your future now gives you time to plan carefully and start conversations with your family and those that you trust about your wishes and goals There are two types of Lasting Power of Attorney (more commonly referred to as an LPA). One deals with property and financial decisions and one covers health and welfare matters. You can prepare either or both but both cannot be…

Return to the workplace: be aware of an employee’s disabilities

Now is a time of transition as employees return to the workplace either on a hybrid basis or for all their working time. Employers need to keep in mind the impact of this shift on any employees’ disabilities. The impact of the pandemic on some of your employees’ health may only come to light as employees move away from homeworking.  This article runs through employers’ responsibilities in relation to their employees’ disabilities and key areas to look out for in managing this transition. What is a disability? Employers should not wait for employees to tell them that they have a disability. Instead, you need to be alert to signs of disability. This could mean, for example, if an employee’s performance is below par and there are signs that they are feeling low, it may be appropriate…

Happy New Year from the Property Disputes Team! What to expect in the year ahead

Business tenancies 2022 promises to continue to be a time of change for commercial landlords. Protected rent debt The government aims to pass the Commercial Rent (Coronavirus) Bill 2021-22 by 25 March 2022.  The Bill will ring-fence rent debts built up as a result of mandated business closures during the COVID-19 pandemic and introduce a new binding arbitration process aimed at resolving disputes relating to ‘protected rent debts’ where landlords and tenants have not been able to reach agreement on how those debts should be dealt with. A rent will be protected if the tenancy was adversely affected by coronavirus and was subject to a closure requirement during the period (England only) from 26 March 2020 to 11.55pm on 18 July 2021. Landlords who issued court claims for these rent arrears on or after 10 November…

Court of Appeal finds restrictive covenant preventing redevelopment unenforceable: the case of Bath Rugby Ltd v Greenwood and others

On 21 December 2021, the Court of Appeal handed down judgment in this case concerning the enforceability of a restrictive covenant contained in a 1922 conveyance. The appeal to the Court of Appeal was over whether an area of land in Bath known as the Recreation Ground, commonly called "the Rec" and formerly part of the Bathwick Estate was still subject to a restrictive covenant imposed in a conveyance of the Rec made on 6 April 1922. The claim was brought by Bath Rugby Ltd ("Bath Rugby"), which has a lease of part of the Rec and who wished to replace its existing stadium with a new, larger stadium incorporating various retail and commercial outlets, with associated car parking. The land was subject to an old restrictive covenant that nothing should be "erected, placed, built or…