Paul Marsh explains how the Law Society's TransAction protocol could offer a workable
alternative to troubled home information packs



As soon as the government announced the delay of implementation of home information packs (HIPs) to 1 August, the Law Society requested an urgent meeting with housing minister Yvette Cooper.



We were seeking clarification on HIPs and how the government expected the scheme to work in the best interests of consumers and stakeholders. Our main aim at that meeting, which took place only last week, was to reiterate our offer to work with the government to create an alternative to HIPs, based on the Society's conveyancing TransAction protocol.



The reason we are being so firm in our approach towards the government on this is that we all need to know what is coming next, to plan and up our game to promote solicitors as the principal providers of conveyancing services. We have threats from suppliers such as Tesco, which is embarking on a cheap and cheerful approach to conveyancing, that we must counteract by convincing consumers that solicitors are best placed to help them.



The Law Society is eager to see some real improvements in the conveyancing procedures. We are encouraging the government to do a number of things:

l Improve the search market;

l Work with the Law Society to ensure that e-conveyancing is implemented effectively;

l Abolish restrictive covenants and chancel repair;

l Review the working of stamp duty land tax;

l Improve the money transfer system;

l Implement a different scheme for buyers; and

l Greater transparencies on referral arrangements.



Now that the TransAction forms have been revised, we are continuing our work to revise the protocol. The Law Society guide to HIPs, to enable solicitor to be HIP compliant, is now online at www.lawsociety.org.uk. The TransAction working party will be considering ways in which it can tackle the issues at hand. The Law Society is also giving consideration to getting the TransAction protocol into the process at an earlier stage, namely in estate agents' offices. It has been said that the reason for the introduction of HIPs was due to constant criticism of the current system, where so many transactions failed even after a 'hand shake' between buyer and seller.



While we understand that there must be the ability by the buyer and seller to change their minds prior to exchange, there must be a system in which there is greater commitment so that transactions are less likely to fail. Solicitors are the obvious choice to supervise and sanction such arrangements. This buyer-and-seller protocol is something that is being considered in detail by the Law Society.



But for now we still have HIPs and the introduction date is looming. We are aware that there is a great deal of confusion and uncertainty in the market and that you are probably hearing a number of differing views from pack providers and others in the industry about what is likely to happen.



Our advice is to continue with your plans to offer HIPs if you routinely deal with four-bed properties.



The HIPs task force is monitoring the situation carefully and is in touch with all the key stakeholders to ensure that you can rely on the Law Society to give you the facts in what is a confused market-place. As soon as we have any reliable information, we will let you know.



Paul Marsh is the Law Society Deputy Vice-President and a member of the HIPs task force