Bulletin Index
Number 20: 27th November 2008 – CLS Follows VAT Reduction
Following the Government's announcement on VAT, CLS will be reducing their VAT charges to 15% from Monday 1st December.
ChancelCheck® will cost £17.25 inclusive of VAT as of Monday 1st December 2008.
The VAT change will also affect the administration fee on ChancelSure® products ordered from this date. Please logon to our website at www.clsl.co.uk to view the revised ChancelSure® price list from Monday.
ChancelSure® policies offer the market leading indemnity cover for Chancel Repair Liabilty. ChancelSure® remains the only product providing the diminution in value cover required by lenders and the Law Society.
There will be no alteration to the pricing structure of our ConveySure® products.
CLS continues to lead the market by ensuring its products are fully HIP compliant, offering extended escalator clauses, in perpetuity cover and successor cover.
CLS - Trust Innovation Expertise
If you have any queries on any of the above please do not hesitate to contact our sales team at sales@clsl.co.uk or Tel: 0870 013 0872 Number 19: 29th August 2008 - The CLS IPSA endorsed Personal Search Insurance (PSI) is now available online.
The CLS IPSA endorsed Personal Search Insurance (PSI) is now
available online. Simply go to www.clsl.co.uk, and you will be able to take
advantage of the discounted price of only £4.00 per certificate (including Insurance Premium Tax)
By using our online service your PSI will be returned
immediately via email.
No more manual inputting of spreadsheets – the borderaux
will be produced by us online and sent to you for payment monthly.
Personal Search Insurance is compulsory to cover all
personal searches entered into a HIP and the CLS PSI is available to cover both
residential and commercial properties.
Although it’s not necessary to include PSI on commercial
personal search transactions it is recognised as good practice.
For more information go to www.clsl.co.uk,
email sales@clsl.co.uk or call our team
of underwriters on 0870 013 0872
Number 18: 10th April 2008 - ChancelCheck® - includes up to £2m Search Insurance on every search
CLS are pleased to announce that
ChancelCheck® is now provided
with the benefit of a HIP compliant Search Insurance Policy offering market
value up to £2m cover where a pre-existing matter adversely affects the result
of the
ChancelCheck® provided on the property. Policy details are available on request.
CLS continues to lead the market by ensuring its products
are fully HIP compliant, issued in accordance with PCCB guidelines and easily
available.
Where potential liability is indicated, CLS can provide
ChancelSure®
Insurance - the market leading chancel repair liability insurance product.
ChancelSure® policies offer HIP compliant
cover for successors in title and in perpetuity cover.
ChancelCheck® and
ChancelSure® - part of the
ConveySure®
suite of defective title policies available online at
www.clsl.co.uk
Number 17: 5th February 2008: First Anniversary of the House of Lords decision on the quantum of damages awarded in the Aston Cantlow v Wallbank case
Today is the first anniversary since the House of Lords ruling which cost the Wallbanks £186,969 + costs for the Chancel Repair liability attached to their land.
"With the resurrection of this worrying medieval law no property can, at first glance, be guaranteed safe from a potentially crippling liability. At the very least we strongly recommend that everyone should establish if they are in a risk parish." - Andrew Wallbank
ChancelCheck® is still the only solution enabling conveyancers to fulfil their obligation to buyers and lenders to carry out "all usual and necessary" searches, screening property to parish and tithe district level (where possible).
ChancelCheck® is an "authorised search" within the HIP legislation and can be included in every pack.
ChancelSure® remains the market leading Chancel Repair indemnity product, offers HIP compliant cover for successors in title (always recommended as the best policy for clients) diminution in value and in perpetuity cover.
ChancelSure® is part of the ConveySure® suite of legal indemnity and defective title insurance products available online 24/7 at www.clsl.co.uk
- offering the best value premiums with extensive cover.
For more information on our complete range of defective title and legal indemnity products please visit www.clsl.co.uk or contact our underwriters at sales@clsl.co.uk or call us on 0870 013 0872.
ConveySure® and ChancelSure® - leading the UK's conveyancing insurance market by providing the best cover, best prices and simplest ordering system available.
Number 16: Conveyancing Liability Solutions Ltd Appointed as Lloyd's Coverholder
CLS are proud to announce that they have been appointed to Lloyd's Coverholder status. To reflect this accreditation we have re-designed all policies within the market leading ConveySure® range of defective title and legal indemnity products to ensure that they offer even more competitive prices with extended cover across the range.
More of our policies now offer Escalator Clauses, In Perpetuity, Successor and Commercial cover.
The Escalator Clause we offer has increased to a market leading maximum of 200% of the value of the property.
All our policies have undergone a re-design to make them even easier to review, understand and order. ConveySure® uses the same fast, easy and cost effective ordering system that you already use to purchase the ChancelCheck® tithe district level chancel repair screening reports and ChancelSure® insurance.
ConveySure® avoids the use of cumbersome cover notes requiring duplication of effort. The Policies can be ordered online 24/7 and are delivered instantly via email saving you time and money.
ChancelSure® remains the market leading Chancel Repair indemnity product, offering the most comprehensive protection (including the new 200% escalator clause) with best value premiums.
To review and purchase the increased cover on our policies please logon to www.clsl.co.uk or contact our underwriters at sales@clsl.co.uk or on 0870 013 0872.
ConveySure® and ChancelSure® - leading the UK's conveyancing insurance market by providing the best cover, best prices and simplest ordering system available.
Number 15: National Archives at Kew Closed 21st - 27th January 2008
The National Archives at Kew will be closed to the public from Monday 21 to Sunday 27 January inclusive. This means that no Full Chancel Repair Searches
can be carried out during these dates. As an alternative to a Full Chancel Repair Search it is still more cost effective to use
ChancelCheck® - the only online search which is able to identify a potential liability down to Tithe District Level.
Where there is a potential risk, ChancelSure® policies provide market leading chancel repair liability insurance which include:
- Comprehensive HIP compliant cover with in perpetuity terms
- Diminution in value and a 200% escalator clause
- No cover notes actual policies are issued instantly and are available online 24/7
- Bespoke policies for both residential and commercial properties, available from our experienced underwriting team on 0870 013 0872 or sales@clsl.co.uk
ChancelSure® - one of the ConveySure® suite of products leading the UK's conveyancing insurance market by providing the best cover, best prices and simplest ordering system, available at www.clsl.co.uk
Number 13: 30th November 2007 - National Archives, Kew - Closure
The National Archives at Kew will be closing for maintenance work 1-16th December 2007 and 21 - 24th January 2008. This means that no full chancel repair searches can be carried out during these dates, which is likely to generate a backlog of search requests.
As an alternative to a full chancel repair search it is still more cost effective to use ChancelCheck® as the only online search to identify a potential liability down to Tithe District level. Where there is a potential risk, ChancelSure® provides market leading chancel repair liability insurance.
- No delays to completion dates as results and policies are delivered immediately via email
- HIP compliant searches and policies
- In perpetuity successor policies are required within a HIP and ChancelSure® offers this AND includes diminution in value with a 5% escalator clause
- Bespoke policies for both residential and commercial properties available in 24 hours
- Available online 24/7 at www.clsl.co.uk
MakeSure you use ChancelSure®, one of the ConveySure® suite of defective title policies available at www.clsl.co.uk
Number 12: 22nd November 2007 - HIPs - Government announces roll out of HIPs to one and two bedroom properties from 14th December 2007
ChancelCheck® is an authorised search for HIPs. The tithe district level screening report should be included in all conveyancing transactions and so in all HIPs.
If a potential liability arises, ChancelSure® provides the market leading online solution with comprehensive protection and security along with the best value policies and cover.
Successor policies required
Any policy contained within a HIP has to include successor cover.
In perpetuity
ChancelSure® also now offers in-perpetuity policies so that you can cover your clients against potential chancel repair liability forever.
Escalator clauses
All ChancelSure® policies contain diminution in value cover and 5% escalator clauses.
With ConveySure® you can now order all your conveyancing policies in one fast, easy cost effective system knowing that you are getting the best value premiums with market leading cover.
MakeSure you use ChancelSure®, one of the ConveySure® suite of defective title policies available at www.clsl.co.uk
Number 11: 11th May 2007 - ConveySure® Insurance Launch - MakeSure your clients are covered
CLS Ltd are pleased to announce the launch of ConveySure® Insurance, an online suite of legal indemnity products for conveyancers. We combine the best prices with comprehensive cover, using the simplest ordering system available.
ConveySure® Insurance - leading the conveyancing insurance market:
- Complete suite of legal indemnity and defective title insurance products
- Lowest prices in the market offering the best cover available
- Order online 24/7 with policies delivered instantly via email
- Policies are on risk the second they are ordered
- No Cover Notes issued, so you don't waste valuable time re-visiting the file on receipt of the policy
- Simple, fast and intuitive ordering system saving you time and money
- ConveySure® ordering is via the same familiar system that you use to order ChancelCheck® and ChancelSure®
- Bespoke quotes available within 24 hours
Conclusion:
ConveySure® - saves you time and money
ConveySure® - saves your clients money and provides the best policy cover
WITH UP TO DATE PRICING AND POLICY WORDINGS ISSUED INSTANTLY ONLINE, CONVEYSURE® IS THE ONLY SOLUTION FOR BOTH CONVEYANCERS AND THEIR CLIENTS
DON'T WASTE TIME & MONEY WITH ARCHAIC HARDCOPY SELF ISSUE BOOKS
Log on to ConveySure® at www.clsl.co.uk to view the new product range and obtain instant pricing. Please note that as an existing customer you may want to bookmark this link - https://secure.clsl.co.uk/login.php to login, obtain instant quotes and order.
ChancelSure® Policies
ChancelSure® continues to offer the best cover (including diminution of value) at the best prices. In direct response to clients' requests, ChancelSure® now offers policies in perpetuity up to an industry leading £2.5 million, with increased acreage bands to help reduce the need for bespoke quotes - saving you time and your clients' money.
Company Name Change
To better reflect the expansion of our product range and increased capabilities we have also changed our company name from Chancel Liability Services Ltd to Conveyancing Liability Solutions Ltd (CLS Ltd).
Number 10: 7th February 2007 - Major House of Lords case on Chancel Repair Liability: Aston Cantlow v Wallbank (HoL) - The Result
The Wallbanks have received the decision of the court with regard to the quantum of the costs of repair of the chancel for which they are liable.
The repair bill is £189,969 plus any VAT payable, plus legal costs estimated to be in excess of £400,000. The judgement appears to confirm that repairs go beyond simply “wind and water tight.”
The initial claim by the Church was for £6,000.
Andrew Wallbank stated:
“With the resurrection of this worrying mediaeval law no property can, at first glance be guaranteed safe from a potentially crippling liability. At the very least we strongly recommend that everyone should establish if they are in a “risk parish”.”
Mrs. Wallbank's father sought advice from the local PCC about whether the entry in their deeds relating to chancel repair liability was relevant. The advice given by the PCC was incorrect.
Contrary to recent guidance by Trevor Aldridge of the Law Society's Conveyancing and Land Law Committee (published in “Property In Practice”), contacting the church at any juncture is clearly not advisable. Not only would this approach place the church on notice, but any advice given by the Church can not be relied upon and does not provide any form of protection for the conveyancer or their client. This approach may also negate any indemnity policy purchased to protect against this potential liability.
The Conveyancing Handbook (13th Edition) states:
“Where the liability is not recorded in the title deeds, consideration should be given as to whether it is appropriate to make enquiries”.
ChancelCheck® and ChancelSure® remain the only instant, cost effective means of establishing potential liability and providing market leading indemnity cover (including diminution in value).
Don't Chance it, ChancelCheck® it!
Number 9: 18th January 2007 - ChancelCheck® Data Upgrade & Price Amendment
Refinements in the ChancelCheck® Search
Following major investment in our unique GIS mapping system and the associated core data, Conveyancing Liability Solutions Ltd has now refined its ChancelCheck® search to Tithe District, Township, Hamlet and Manorial level (these are sub-divisions within historical parishes). Where these sub-divisions are located within a "risk parish", but do not themselves contain "liable land", we are able to issue a Certificate rather than a Report.
Notification of Price Alteration
ChancelCheck® searches will be priced at £15 plus VAT from the 19th February 2007.
Whilst the data refinements in the ChancelCheck® search are live as of today, the price change will not be implemented for another month.
Please amend your client care letters to take account of this pricing adjustment.
- ChancelCheck® is the only online service that can deliver instant searches based on the correct historical mapping data.
- The ChancelCheck® search complies with the CML and Law Society requirements to consider and/or establish potential liability in every transaction.
- “Where the liability is not recorded in the title deeds, consideration should be given as to whether it is appropriate to make enquiries” – Law Society’s Conveyancing Handbook (13th Edition)
Number 8: 10th January 2007 - Important Clarification of “Diminution in Value” Cover
- In order to clarify the unique new addition to ChancelSure® Insurance policies of “diminution of value” cover (per the sample wordings and key facts documents that are available on this web site), this element of the cover is taken into account only if diminution of value is deemed to have occurred at the point of sale of the property after a claim for chancel repair liability has been received and/or paid under the policy.
- Mere registration of chancel repair liability at the HMLR, whether by the church or conveyancer who receives notice of the overriding interest as a result of a positive full chancel repair search (per Land Registry Practice Bulletin 15) does not trigger a right to claim under the policy cover.
ChancelCheck® remains the only search of parish level liability that uses the correct mediaeval parish boundary data. It should be noted that one cannot rely upon modern (post 1840) Ordnance Survey mapping to establish potential risk as this mapping can illustrate incorrect parish boundaries with regard to chancel repair liability.
Number 7: 20th December 2006 - ChancelSure Policy Upgrade - Diminution of value cover added
Conveyancing Liability Solutions Limited announce an important upgrade to their ChancelSure® insurance policies
Please ensure that all Conveyancing fee earners are made aware of this important change
- Conveyancing Liability Solutions Limited (CLS Ltd) is pleased to announce that from today all ChancelSure® policies will uniquely include diminution in value cover.
- The cover will protect the occupier and lender against any loss in value due to the property being registered at HMLR as being liable for chancel repairs and/or as a result of having to pay a contribution for repairs to a chancel.
- There is no increase in premium as a result of this important upgrade.
- The polices are available online, at www.clsl.co.uk, and the completed policy is returned to you in seconds via email.
- As part of our ongoing commitment to delivering solutions and improvements to the conveyancer, and as experts in the field of chancel repair liability, CLS Ltd negotiated this important and unique upgrade in response to market demand and in accordance with the Law Society's recommendations.
- ChancelCheck® continues to be the ONLY search that delivers an instant, cost effective means of determining if a property is located within a "risk parish" simply by using modern address data, by reference to its unique GIS database.
Number 6: 5th October 2006 - Conveyancing Handbook (13th Edition, 2006) revises editorial content regarding Chancel Repair Liability
New wording clarifies that if there is no reference to chancel repair liability within the title documents, you SHOULD CONSIDER if it is appropriate to make further enquiries. {See page 238, section B 10.6.9}
The Handbook confirms that the risk attaches to properties in both England and Wales, that properties do not have to be close to a church to be affected and that they do not have to be in a rural location.
Deciding whether, in addition to perusing the title documentation, further enquiries are “appropriate” in any particular transaction is left to the practitioner.
Given the following facts, you may consider that carrying out a ChancelCheck® is “appropriate” in every transaction:
- Every county in England and Wales has mediaeval “risk parishes”
- Diocese are already actively registering property, in advance of the 12/10/2013 deadline
- The risk affects property in towns and cities as well as rural areas
- Liable land can be located anywhere within the “risk parish”, not just near a church
- 100,000’s of properties are located on “liable land” within the mediaeval “risk parishes”
Number 5: 27th April 2006 - Conveyancing Liability Solutions Limited have upgraded their ChancelSure® suite of insurance products
- Simplified wording provides greater clarity
- Improved cover
- Greater flexibility
- No increase in premiums
Residential Properties
- The Residential policies have a new and improved definition of Insured Use – cover is now provided for “continued use of the property for Residential purposes” with the restriction to use as a single unit being removed.
- The new non-successor wording now refers to cover being provided for the named property owner and the lender. Reference and restriction to First Mortgagee has been removed so that these policies only cease when the property owner changes, not when the lender changes. This more flexible cover means that the policy remains on cover even if the property is re-mortgaged.
- The policies cover any claim for chancel repair liability irrespective of how a claim arises.
- The policies cover any number of claims up to the total indemnity during the Period of Insurance.
These upgrades have added clarity, flexibility and improved value for money.
Commercial Properties
ChancelSure® now offers another tier of cover for both successor and non-successor polices. The new £750k insurance tier completes the most cost effective and comprehensive suite of indemnity products for Chancel Repair liability in the market.
Bespoke Policies
Bespoke policies for both residential and commercial properties remain available where high (over £1 million) levels of cover are required, for large areas of land (over 5 acres) or where there is prior knowledge of a risk and/or caution noted in the title deeds. Please email the property address and level of indemnity required with the acreage of the land in question (with a copy of the entry if relevant) to sales@clsl.co.uk.
Number 4: 5th April 2006 - Church begins pro-active registration
Church commences pro-active registration
Even with over 7 years to go before the end of the period the church has to register liable land, we have confirmation that four Diocese have already instructed their Parochial Church Councils to actively seek out and register all liable land within their parishes.
Legal update on entries in title documentation relating to tithes
Where there is an entry in the title deeds that relates to tithe responsibility rather than chancel repair liability please note that the Tithe Act 1976 abolished all Tithe responsibilities.
The following statement was recently issued by the Church Commissioners:
“Tithes, which descend from the tenths payable to the Church on the land's produce to support the clergy, were abolished by the Tithe Act of 1976. A few forms of Tithes did 'escape' from the legislation but have now been redeemed.” The net result is that where such an entry is found it can be ignored per the abolition of tithes under the Tithe Act 1976. If the property receives a ChancelCheck® report indicating that the subject property is within a “risk parish” then a normal ChancelSure® policy can be purchased as there is “no entry in the title documentation relating to chancel repair liability”. Thus a bespoke quote is not required.
Where an entry in the title documentation does relate to chancel repair liability specifically bespoke quotes are still available. Please email a copy of the entry, property address and level of indemnity required with the acreage of the land in question to sales@clsl.co.uk.
Update on City of Wells liability
The Parochial Church Council (PCC) for Wells, Somerset has issued a Deed of Relinquishment cancelling all chancel repair liability for lay rectors within the City of Wells and In and Out Parishes of St Cuthbert. The PCC decided in this instance that as the liability per property was statistically insignificant it would not be viable to register and claim against the lay rectors.
NB: CLSL have amended their data as a result of receipt of this information to ensure that any ChancelCheck® carried out on property within this historical parish is issued a Certificate.
Number 3: 14th December 2005 - Price Update & HMLR Requirements Impact Conveyancers
As from the 20th January 2006 the new price for ChancelCheck® will be £10 plus VAT.
Please ensure that you amend your client care letters to take account of this change.
Land Registry Act forces conveyancers to disclose and register risk results from “full” Chancel Repair searches.
We detail below an extract from the Land Registry Practice Guide 15, December 2005:
Disclosable overriding interests
4.1 When must you disclose an overriding interest?
You must disclose overriding interests when making an application for first registration or for registration
of a registrable disposition of the registered estate.
You must disclose any such interest that is within the actual knowledge of the person applying for registration.
There is no need to carry out any special investigation, although you might need to explain to your client what interests should be disclosed.
As a result of the above, if you choose to carry out a full chancel repair search that identifies that the subject property is on a liable plot of land, the result will have to be registered as an overriding interest and the documentary evidence disclosed. This in essence puts the Church on notice. Potentially a “sweep” by the church of all such registrations would allow the picking of some very low hanging fruit – all at your clients’ expense…
ChancelCheck® continues to provide the solution whereby conveyancers can identify potential risk and instigate indemnity cover if deemed necessary without having to disclose or register information with the HMLR.
Number 2: 13th July 2005 - Wales Now “ChancelChecked”
Conveyancing Liability Solutions Ltd is pleased to announce the release of the ChancelCheck® service for properties in Wales. This is now in addition to the existing coverage for properties in England.
ChancelSure® Insurance policies are also available for England and Wales.
In addition to our standard insurance policies we offer a bespoke service to address larger areas, higher values and the requirement for cover for successors in title. Please call Client Services on 0870 013 0872 or email details to sales@clsl.co.uk.
Number 1: 23rd June 2005 - Conveyancing Liability Solutions Ltd Release New Insurance Products
The unique ChancelCheck® screening report (£10 plus VAT) is now complimented by the release of six new ChancelSure® Insurance policies to provide the most competitive and comprehensive indemnity insurance cover available.
Fully compliant with the requirements of Part II of the CML Handbook, the new 25 year policies provide full value indemnity insurance against claims for chancel repair liability up to £1m of cover and premiums start from as little as £54. Insurance is available for both residential and commercial property. (See Premium table below)
ChancelSure® Insurance Premiums
(Figures quoted below include IPT at 5% and administration fees of £5 plus VAT)
Period of cover 25 years
| Limit of Indemnity |
Residential Premium (2 acres) |
Commercial Premium (1 acre) |
| £250,000 |
£59.88 |
£155.88 |
| £500,000 |
£80.88 |
£355.88 |
| £1,000,000 |
£99.88 |
£555.88 |
Higher value cover can be obtained where required – contact client services on sales@clsl.co.uk or 0872 013 0872. Full details and sample policy are available here.
CML Clarify Chancel Liability Issue
The CML Legal Advisory Committee recently confirmed that chancel repair liability is an issue of concern. Subsequently, the CML have updated the FAQ’s section on their website to help clarify their position, as set out below:
CML FAQ:
Q: What should I do if chancel repair liability is raised during enquiries?
A: Chancel repair liability affects land within a Church of England parish which has a vicar and has a church dating from the medieval period or earlier. It is an overriding interest and need not be on the title documents to affect a property. The Church has been given until 2013 to register liability. It remains the responsibility of the conveyancer to identify where there is potential risk in the first instance. The Law Society's Conveyancing Handbook 2002 states in B 10.6.10.11 "If it appears that liability may exist, a buyer should consider taking out insurance to cover this liability".
General indemnity insurance requirements are set out in paragraph 9 of the Lenders' Handbook.
Warning
- This risk affects circa 5000 out of 15000 parishes in England and Wales
- It affects both rural and urban parishes– (Fulham and Hammersmith have a risk)
- As an overriding interest conveyancers cannot rely on standard searches or title documents
- Property does not have to be in close proximity to a church in order to be liable
- The Church is intending to register, where possible, all liable land by 2013
- It affects the title, value and marketability of property
- Many 10’s if not 100’s of thousands of properties are affected
- Checking if there is a parish level liability (at a cost of £10 plus VAT) and then insuring the risk is the most cost effective solution for home owners and ensures that the conveyancer has carried out all necessary and appropriate searches
- Where a property is affected, conveyancers who have failed to screen for the risk may be deemed negligent
|
