TOLATA claims are legal claims brought under an Act of Parliament called the Trusts of Land and Appointment of Trustees Act 1966 (TOLATA). TOLATA enables people who do not legally own a property to claim a beneficial interest in that property.
TOLATA claims are incredibly complex and involve complicated legal principles. Accordingly, if you are considering making a TOLATA claim, expert legal support is essential. At Birch & Co, we regularly advise clients on their eligibility to make a TOLATA claim and their chances of success and subsequently represent them in making any claim they wish to bring. We will not confuse you with legal jargon but will instead explain this intricate area of law in plain English, ensuring you understand what is happening at each stage of the process.
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Who Can Make A TOLATA Claim?
Anyone who can prove they have a beneficial interest in a property can make a TOLATA claim. For example, if parents step in to help their children get on the property ladder by contributing to the purchase price of their first home, they may be able to use TOLATA to claim a share of the property based on their contribution should they wish to.
More often than not, however, TOLATA claims are brought by unmarried individuals who have cohabited with their partner in a home held solely in their partner’s name. On the breakdown of their relationship, these individuals discover that they have no automatic rights over the property they had called home, so they turn to TOLATA to assert a beneficial interest.
TOLATA Claim Unmarried Couple
Unfortunately, unmarried couples do not enjoy the same legal rights as those who are married or in a civil partnership. Accordingly, if your relationship breaks down, you have no automatic entitlement to the property you had called home, regardless of how long you had been with your partner and shared their property. However, if the evidence proves you have a beneficial interest in the property, you may be able to make a TOLATA claim.
To make a TOLATA claim, you must be able to establish that you and your ex-partner believed that the property was owned by you both. This requires cogent evidence, the exact nature of which will depend on the circumstances. Say, for example, you can show that you funded extensive home improvements, such as an extension, to be made to the property. In this case, you may be able to persuade a Judge that you and your ex-partner intended the property to be owned jointly since it would be unusual for someone to pay for expensive work to be carried out on a property that they had no financial interest in.
What Happens If Your TOLATA Claim Succeeds?
The outcome of your TOLATA claim will depend on the circumstances. Crucially, the role of a Judge in a TOLATA claim is to decipher what the parties had intended based on the evidence, and to resolve the claim on that basis rather than on what the Judge considers would be fair.
Examples of some possible outcomes include the following:
- The Judge orders that the property be sold and the proceeds split according to your and your ex-partner’s shares.
- The Judge permits you to remain living in the property.
- The Judge orders that you be paid your share of the property.
How Do You Make A TOLATA Claim?
If our solicitors believe your TOLATA claim has merit and you wish to proceed, we will begin by sending a letter, known as a ‘letter of claim’ to the other party. The letter of claim will provide details of your claim and what the other party must do to avoid court proceedings.
Often, receiving a letter of claim from a well-known firm of solicitors like Birch & Co is enough to persuade the recipient to address the issue and enter into settlement negotiations. These negotiations are usually between the parties’ legal advisors, who seek to identify a resolution that works for everyone involved. If negotiations do not result in a settlement, the parties can explore alternative dispute resolution methods, such as mediation, in a bid to resolve the matter without litigation. Alternative dispute resolution methods are quicker and less costly than court proceedings and can produce excellent results in the right case.
If your TOLATA claim proves incapable of resolution without the court’s intervention, our solicitors will guide and support you through the claims process, protecting your interests at every stage. Settlement discussions will continue behind the scenes, and we will strive to achieve a favourable resolution for you before your case reaches trial.
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