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Alice H
Alice H, Solicitor
Category: Property Law
Satisfied Customers: 2847
Experience:  Partner in national law firm with 20+ years legal experience
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Can you help? A friend on the same holiday park as me has

Resolved Question:

Can you help? A friend on the same holiday park as me has sold a static caravan privately for £10,500 on behalf of the owner (the holiday park offered them £4000). The holiday park are insisting that the owner is present for the transition of the sale whereby the holiday park take 7.5% commission of the sale price, plus VAT. As the owner lives in Australia, by the time she's paid for her air fare it will hardly be worth her making the trip with the money left over from the sale. My question is can the holiday park legally demand the owner's presence to fulfil this transaction and can she not sell by proxy due to her location? With regards ***** ***** sale of caravans the holiday park used to just take their 7.5% commission. Now they are taking the whole sale funds and holding the funds for 2-3 weeks leaving owners to wait for the proceeds of the sale when the holiday park finally deduct their 7.5% commission - again is this legal?
Submitted: 1 year ago.
Category: Property Law
Expert:  Alice H replied 1 year ago.
My name is ***** ***** I am happy to help you today. Does the owner have s copy of their agreement with the holiday park available? The terms and conditions would be useful to look at.
Customer: replied 1 year ago.
I am not sure as mentioned she is in Australia, and she bought the caravan 2 years we bought ours 18 months ago and I have our agreement which is very much likely to be the same. I will look through now and see what the conditions of sale are
Expert:  Alice H replied 1 year ago.
OK. If you're able to scan me a copy I could also have a look for you - you can blank out the personal details of course.
Customer: replied 1 year ago.
Yes, that would be great how do I scan to you though? - do you have an email address or something?
Customer: replied 1 year ago.
Hi Alice,
I have just read the section 'selling the caravan' Under section 6.2.3 You market the caravan and find a buyer. 6.2.4. Yu agree to write to us telling us the price at which you intend to sell the caravan to yr buyer in which case we are entitled to buy the caravan from you for the same price, without charging you any commission during the first 5 working day after our receiving your letter. If we wish to by the caravan under this arrange we will notify you in writing. more follows but does state about owner presence. 6.2.6 The transaction must be conducted through our office and you appoint us as your agent for that purpose. We will receive all purchase moneys from your buyer and will promptly pay you and account to you for the same, subject to discharging any finance outstanding on the caravan of which you have notified us in writing and payment to us of the Commission and VAT. 6.2.7 Where we have approved your buyer and the sale has been transacted, we will give him a new agreement for the length of time the Agreement period is still to run. In other respects the new agreement will contain no less favourable terms to your buyer than this licence agreement. 6.2.8 Before we issue the new agreement to your buyer we will charge you a commission at the percentage rate (plus VAT) stated in part 1 of this licence agreement of the price paid for the caravan explained in clause 6.2.6 unless we are proven to be in serious breach of our obligations under this agreement.
Customer: replied 1 year ago.
In 6.2.5 it states 'if we decide not to purchase the caravan, you agree to allow us to vet your prospective buyer by seeking suitable references and carry out the enquiries we consider to be appropriate. As such, you agree to inform us of the name and address of your prospective purchaser. If we wish to we may require a meeting with your buyer in person. We will undertake any enquiries under this clause with reasonable diligence and we will notify you of our approval, or, in writing that our approval is to be withheld, as soon as is reasonably practicable. We will only withhold approval of a prospective buyer on reasonable grounds.'
Customer: replied 1 year ago.
For avoidance of doubt I am scanning docs and will send the 'selling the caravan' terms to you as an 'add file' function but hopefully the above should give an outline
Customer: replied 1 year ago.
Hi Alice, I have added the files entitled 'caravan agreement p1/p2' I hope you have received them and can read them ok?
Customer: replied 1 year ago.
Hi Alice, Do you have enough information to work with now you have details of the selling conditions from the licence agreement?
Customer: replied 1 year ago.
Are you still online and working on this? Please confirm.
Expert:  Alice H replied 1 year ago.
I am offline right now but will be back working at 09.00. Thank you.
Customer: replied 1 year ago.
Hi Alice, do you have an update for us please? Thank you
Expert:  Alice H replied 1 year ago.
Good afternoon - apologies for the delay. I am looking at this now for you. Alice.
Customer: replied 1 year ago.
Thanks Alice, we look forward to your response.
Expert:  Alice H replied 1 year ago.
Good afternoon
There is nothing in the agreement which says the seller must be present for the sale; on the contrary the agreement says expressly that the holiday park owners will vet the prospective buyer and may have a meeting with the buyer. Nothing in the agreement says that the seller must be present and, as a matter of law, I cannot see any reason why your friend in Australia cannot give power of attorney to you or another person to oversee the transaction on her behalf as is common practice when dealing with international sales.
But, your friend cannot arrange for another person to sell the caravan; the park will be conducting due diligence and they appear to have some kind of vetting procedure in place. Plus the T&Cs say that they must be the selling agent for which they get a commission. In other words they have the power to sell the caravan to the buyer of your friends choosing for which they will receive a cut of the proceeds of sale. Clause 6 takes away the power for anyone else to sell the caravan - your friend can find a buyer and receive the sale proceeds but the park owner conducts the sale transactions and get a cut.
On the face of it seems a little unfair that the park has to be the one conducting the transaction and getting a commission but this is the agreement that your friend and then two and obviously she would've been aware of clause 6. Although it may seem a little bit unfair that the park has taken away the right of your friends to conduct the entire sale transaction this is nonetheless the agreement that he entered into and is not one in the court is likely to interfere with and in any event the cost of instructing lawyers challenging this kind of agreement would be very costly indeed.
Alice
Alice H, Solicitor
Category: Property Law
Satisfied Customers: 2847
Experience: Partner in national law firm with 20+ years legal experience
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Customer: replied 1 year ago.
Thanks very much Alice. This has given us all the information we need to pass on. Kind regards, Vanessa

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