Claims for Property Misrepresentation

Before you exchange contracts on your property purchase, you will be told much about the property you are hoping to buy.

Some of this information could be considered to be mere sales puffs, which have no legal effect; however, some matters will be considered to be statements of fact made by the seller which encouraged you to buy the property.

Misrepresentation occurs when for example a seller makes a statement of fact to the buyer which is actually untrue (or incorrect), and that persuades the buyer to agree to buy a property, and as a result the buyer suffers loss.

Misrepresentation could also sometimes occur when a seller has omitted to say something. For instance, where the seller tells you a half truth (where he says something that is true but it becomes a Misrepresentation by what is not said); or where a seller gives you information that is initially true but fails to update you if the situation changes.

The options open to a buyer who has been the victim of a Misrepresentation vary according to the circumstances of each case but they may be able to claim damages. In more extreme cases, it may be possible to pass the property back to the seller and recover the purchase price in addition to damages.

The Dispute Resolution Team has significant expertise in this area. They can advise you on the options available to you and guide you through the process of making a claim.