7 THINGS YOU ARE PROBABLY NOT TOLD REGARDING YOUR LEGAL RIGHTS AS THE SELLER OF YOUR PROPERTY.

1. As the Seller, you have the exclusive legal right to choose your own independent attorney for the transfer of your property. Neither the Buyer, nor the estate agent (“Property Practitioner”) should do this on your behalf as this could compromise your position if a dispute arises during the transfer process;

2. The Buyer of your property is legally responsible for payment of all of the transfer costs. Your right to choose the transferring attorney stems from the fact that you bear the most risk associated with the sale and transfer of your property. It is advisable not to accede to the Buyer’s request to use his/her own attorney especially not when motivated by reasons like discount or familiarity, as this could be detrimental to the successful outcome of the transfer;

3. When a Property Practitioner presents you with an “offer-to-purchase” (“OTP”) from a potential Buyer, ensure that an attorney of your choice reviews the offer on your behalf to avoid common pitfalls which could otherwise delay the transfer process and ultimately cost you money. Following this route may also prevent future disputes which may arise between you, the Buyer or the Property Practitioner since you know that by appointing your own attorney, your legal rights as seller will be protected as far as is possible;

4. If the Buyer’s attorney is allowed to attend to the transfer of your property and a dispute arises, said attorney might not have your best interest at heart. Oftentimes, this can result in desperate sellers seeking independent legal advice in order to remediate disputes arising during the transfer process, but being unable to find any, as the Legal Practice Council forbids third party attorney’s intervention in an ongoing transaction. In essence, this means that once you, as the Seller, have nominated an attorney who was chosen by another party, you will have limited legal recourse and you will have to abide by said attorney’s decisions made during the transfer process;

5. Similarly, if the Property Practitioner eagerly promotes their preferred attorney to attend to the transfer and a dispute arises between you and the Property Practitioner, said attorney might have the interests of the “referral Property Practitioner” at heart and understandably so. It is advisable not to use an attorney keenly promoted by the Property Practitioner as there might arise a conflict of interest during the transfer process which could be detrimental to your rights as the Seller of the property;

6. A Property Practitioner may not persuade or influence you to use a particular attorney of his/her choice, and with good reason. The Code of Conduct of the Property Practitioners Regulatory Authority (PPRA) prohibits it. Only if and when a Seller requests the Property Practitioner to make a recommendation, is the Property Practitioner legally compelled to offer a minimum of two recommended attorney’s that will in no way financially benefit the Property Practitioner;

7. In terms of the “72 hour clause”, an offer which is accepted, but is still subject to the suspensive condition that the Buyer must obtain bond approval within a certain time period, can be replaced by a second and better offer if the initial OTP makes provision for it. This reiterates the importance of having an OTP reviewed by your own attorney to ensure that it contains the necessary clauses that will allow for continued marketing and the possibility of obtaining a better offer for your property after acceptance of the initial offer that is still subject to bond approval.

(The above is merely a general information sheet and should not be used or relied on as legal or other professional advice. No liability is accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information contained herein. Always contact your legal advisor for specific detailed advice or contact us for further assistance.)