Risk management

Don't rely on othersYou wouldn't expect a solicitor in another firm to do your job for you ...

or would you?All too often, we assume that a document is correct merely because it originates from another solicitor's office or because it has been used before.One example of this problem arises in matters relating to new-build properties.

The developers are selling an estate, and have drawn up all the plans and contracts.

There's usually little flexibility in such arrangements - the developers are dictating the terms and conditions of sale.

The plans have been drawn up by professionals, the developers' solicitors are specialists in this sort of work, and probably by the time your client buys a property several others on the same estate have already been sold and occupied.

In these circumstances, it's easy to assume there is no need to check the documents in detail - they must be right, mustn't they?There is no substitute for reading the transfer documentation carefully every time - even if you have acted in the purchase of another property on the same estate or the same street.

Take the development of seven houses around a circular close, all of which need access across the driveway of two of the properties to reach the detached garages.

The developers omitted to reserve rights of way over these driveways and the shared road, making the garages effectively landlocked.

It was only on the subsequent transfer of one house that the problem was discovered - all seven had been bought from the original developer without one of the solicitors involved spotting the defect.With new-build properties, be particularly alert to problems that may arise some time after completion of the purchase.

Put yourself in the buyers' shoes - how are they going to gain access to the property, how will they maintain it, what will they do if a problem develops, and are there adequate bonds to ensure completion of the roads and services? Are you sure the property has been built in accordance with the plan? Your client may be more concerned with choosing the bathroom tiles than with checking the boundaries of the property - it's essential that you send them a copy plan as soon as you have one, and tell them to check it.Make it clear to the client that any 'snagging' is likely to be a matter for them to resolve with the builder direct, and that you will not become involved in a dispute over the kitchen fittings.Will the builder supply National House-Building Councils cover, and what if they go bust before the estate is completed? In short, don't rely on the solicitors acting for other parties to do your job for you, because if a claim is made they won't be liable - you will.l This column was prepared by the St.

Paul risk management team.