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INC Law, Solicitor-Advocate
Category: Law
Satisfied Customers: 16350
Experience:  LL.B, LPC, LL.M, Pg.Dip, Solicitor-Advocate. UK Practising Certificate issued by SRA., DIFC Courts Registered (Dubai)
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FCO on my brother's benficial interest, Bury, lancashire,

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FCO on my brother's benficial interest
JA: Where are you? It matters because laws vary by location.
Customer: Bury, lancashire
JA: What steps have you taken so far?
Customer: UK
JA: Is there anything else the Lawyer should know before I connect you? Rest assured that they'll be able to help you.
Customer: he has not had any input into the property for 10 years
Customer: replied 9 days ago.
File attached (51LV6PL)

Thank you for your query.  I am a Solicitor-Advocate in the UK and will be assisting you with your question today.

What exactly is your question in relation to this?

Customer: replied 9 days ago.
I am joint owner of a buy to let property, with my brother. We bought it in September 2005 with a mortgage from BIRMINGHAM MIDSHIRES. We put in a 5% deposit on £71000. On a buy to let interest only mortgage, from a joint business account which the mortgage is paid from.My brother walked out on our buy to let business 10 yrs ago and has not made any mortgage payments or contributed to repairs or upgrades, or court costs involved with evicting tenants, or any council tax/utility liabilities during voids. He has never received any portion of rent from September 2009.He was declared bankrupt in 2017, and unknown to me a charge had been placed on the Land Registry Title. LA252104, 19.07.2017 BY CATALYST BUSINESS FINANCE LIMITED C/O PDT SOLICITORS PREMIER HOUSE, QUEEN ST, HORSHAM RH13 5AD.The company concerned has since gone into liquidation, and a firm of solicitors have now contacted me. They claim they wrote to me on 17th July 2017 and 4th October 2017. I have not received either of these letters. I can only assume they wrote to the rental property address and not my home address.I only became aware of the Charge when I put the house on the market 15.03.2022 I have now withdrawn from sale until the Title issue is resolved..With regards ***** ***** insolvency solicitors handling the matter and writing to me, they have said that a joint BANK account with my brother, should have been shut down in 2017. This has not happened. They must have missed this and made a mistake.The solicitors are asking for £9,899.34, fee’s costs, interest etc, to be paid from his beneficial interest, which, in my opinion after 10yrs of no interest/participation, he has no entitlement to a beneficial interest.I would ask, does he have any entitlement to a beneficial interest after basically abandoning the property and leaving me doing all the work? I have also asked my brother to sign over the joint bank account, but he has not complied.


The Receivers or their Solicitors will attempt to argue that he does have a beneficial interest.  It would be up to you to show that you have maintained the property and managed it at your own expense and that you have had the benefit of the rent entirely and not your brother.

It would then be up to the Receivers to review this and make a decision.

I hope this answers your question. If you have any further questions, please do not hesitate to ask.

Kind regards,

Customer: replied 8 days ago.
thank you for your reply. unfortunately, i am unable to prove without doubt that the account has been managed by myself for the 10 yrs. i would like to ask a few more questionsquestion please. my brother was trading as pearlman technology ltd. a loan was arranged and agreed with a company called catalyst business finance (liquidated).he failed to make the repayments and was declared bankrupt. a charge was put on his 'beneficial interest' of the property. i do understand he has a 50% share on paper legally, but obviously i dispute that.
the property in question is in our joint names onlyquestion 1, can/could he use his share of the property as a guarantee on the loan amount without my permission?
question 2, can he, as an individual in a ltd company, have his beneficial interest charged against a property that the ltd company does not own?
question 3, can he as an individual take a loan, guaranteed against the property, without my knowledge or consent?thanks again.


He would normally need to notify you if the property is used as security for a loan.

It appears the charges relate to charging orders made by a county court.

Customer: replied 8 days ago.
the charges were made by county court. i was not notified correctly, as they wrote to the rental property, not my home address. do i have any redress against this?

If notice of the claims were sent to an old address, you can attempt tonhave the orders set aside.

Customer: replied 7 days ago.
Hi, thank you for your reply. The claims were sent to the rental property not my home address. Therefore I was never made aware of the situation. I have a copy of the letter with my name and the rental property address, which, has only just recently been sent as an attachment via email.
Thanks again.

Hi Martin,

You should be able to apply to have the initial judgement set aside.

Customer: replied 7 days ago.
Thank you for your reply, if i do apply for the judgement to be set aside, and it is granted, will I be able to put the property back on the market, providing my brother is in agreement, with out any problems ?
Customer: replied 7 days ago.
Thank you. I have looked at how to apply to have the judgement set aside using a form N224. There is a fee of £275 to pay. Is this the correct form to use in this case?
it is.  A Form N244.
Customer: replied 7 days ago.
Thank you. Would I be correct to assume if it was set aside, that the solicitors chasing his debt could simply restart the whole process through the courts again?
Providing they use the correct addresses for correspondence........

Yes, that is correct.

Customer: replied 6 days ago.
thank you, ***** ***** did decide to apply to have the judgement set aside and was successful. would i be doing any illegal/fraudulent in selling the property, knowing the existing situation?
is there any onus on me to disclose this information if the sale were to proceed?

If it is set aside, there should be no charge.

Customer: replied 6 days ago.
thank you, ***** ***** professional opinion, is it likely to be set aside considering i could not respond to the court, due to the documents being sent to the wrong address?


It would be difficult for me to say without having sight of documents.  The length of time since the claim is also a concerning factor.

Customer: replied 5 days ago.
I have attached the correspondence i have received in the last couple of months. these were all sent by email as attachments, many thanks for your help and replies. it is much appreciated.

Hi, A review of documents is charged as a Premium Service.  I would be happy to review the documents if you are agreeable to the premium service.

INC Law and 4 other Law Specialists are ready to help you
Customer: replied 4 days ago.
Thank you for your reply. What are the premium service benefits and how much does it cost please?
Customer: replied 1 day ago.
thank you for your replies so far, could you tell me if there is a time limit that applies to my brother's debt? ie does it last forever until it is paid? or does it expire at some point?
if it does it expire, can the debt be removed from the land registry records?

Debts can be chased for 6 years after the debt arises.

In your case, as it is secured against the property, they will last until paid.