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Ups & downs

21 October 2010 / Christopher Warenius
Issue: 7438 / Categories: Features , Property
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Loss of profit on a sub-sale: who pays? Christopher Warenius reports

There are some signs that the downturn in the property market following the credit crunch in 2008 and 2009 is coming to an end. However, that downturn led to an upturn in property litigation, which is still very much ongoing as cases reach trial after a year or more of preparation.

One of the most obvious symptoms of the downturn was the large number of new build properties that could not be sold. Many developers faced purchasers who were unable to complete because they could not obtain mortgage funding to do so or who were otherwise unwilling to complete. 

While traumatic for the buyers and sellers involved, these cases have raised some interesting issues for lawyers. Liability is generally not much of an issue in these cases. The wriggle room for both parties comes in the area of quantum. How do you assess what the Defendant should pay?

The basic principles relating to damages for failure to complete are relatively straightforward. The Defendant

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MOVERS & SHAKERS

Birketts—trainee cohort

Birketts—trainee cohort

Firm welcomes new cohort of 29 trainee solicitors for 2025

Keoghs—four appointments

Keoghs—four appointments

Four partner hires expand legal expertise in Scotland and Northern Ireland

Brabners—Ben Lamb

Brabners—Ben Lamb

Real estate team in Yorkshire welcomes new partner

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