Nightmare Loft and Neighbour woes

[user1465407599]

Hi everyone, I’m after a bit of legal advice. Having spoken to the Citizens Advice (case too technical for their service) they referred me straight to a lawyer who wants to charge before helping understand mine and my neighbours rights. Which is key here.

I am undergoing a loft conversion to a top floor flat. Sort partywall agreements on neighbouring sides but didn’t know I had to get ones signed from downstairs neighbours as the work shouldn’t have impacted them. We have a share of the free-hold and all neighbours were aware of the build and were informed along the way. Unfortunately my builder was negligent and provide poor weather protection and other properties were damaged. The downstairs flat is tenanted and they had to move out for 10days while the damage was repaired. The builder has since run off with a big chunk of my money. Leaving me responsible for finishing the repairs etc of each of the properties damaged as a consequence of my build. I have done my best to do this in a timely manner.

My neighbour (their landlord) has texted me with a request for £2500 compensation for ‘hardship’ and ‘stress’ endured by himself and the tenants above the cost of repairing his property. My budget is now so tight I cannot really afford this and feel it’s very unreasonable. What I would be prepared to do Is to counter- off the time lost out 10days/2weeks worth of rent for time lost directly to the tenants (or the landlord if the tenants haven’t paid him). But no more. However I need to understand both of our legal positions.

If anyone could give me some advice on this matter or send me in the direction of some information I can access that would be extremely helpful.

Thank you!

I think you really need to engage a solicitor. What a mess. You have been ripped off by your builder, which is shitty, but I have to say, if I was one of your neighbours I would be steaming too and expect compensation. How many other properties were damaged? Have you got any legal cover via property insurance?
You may resent paying out for a solicitor, but it could ultimately save you money. There's nothing to stop you shopping round for solicitors too, fees vary wildly.

Did you advice your insurers that you were undertaking this work? If so, could you consult with their legal team?

The party wall agreement is not relevant as the damage is your responsibility either way. But sounds like a pain and i think you should check your work and home in case you have some kind of legal advice service. Even if they won't take the case they can advise

Do you have legal expenses insurance e.g. on your home insurance / through trade union? If so, contact them. You need legal advice for this.

I would suspect they can’t recover this kind of loss from you.

work covered under party wall is determined non delegable so unfortunately you are responsible for your contractors. Neighbours protected by an award can claim damages via the surveyor which can include financial damages for rent/ loss of earnings /expenses. Those without an award in place can either come to agreement with you or it becomes civil. My biggest concern for you is if your neighbours take court action they will also claim their legal expenses which would make the damages bill a drop in the ocean never mind the £2500. You need legal advice before they begin court action on you.

You really need to talk to a lawyer ASAP but your first port of call should be your home/buildings insurers.

If you have a share of freehold it’s common that there is a buildings insurance that you and your neighbours collectively pay covering the structure and the building itself and separate contents insurance.

First try the insurance company that covers the freehold building. I own a flat with share of freehold and I know for a fact that our insurers have covered similar issues in the past. They might well then seek to be indemnified by the builder (but that’s their business).

Failing that, see what, if any, legal cover you may have under your contents insurance policy. If you have cover they may well refer you to their in-house or approved solicitors or authorise an amount for at least an initial consultation. They may even take the view that settling your neighbours’ claims will be cheaper than involving solicitors.

Ultimately you need to talk to all your insurers ASAP to determine your options and take it from there. I wish you all the very best!

Thanks so much everyone for your input. Today I’ve spoken to a lawyer who has given me great advice on how to proceed and what would be a realistic expectation for compensation for the tenant that was affected or payout to the landlord if he didn’t receive the rent due to the water damages. However ‘hardship’ compensation isn’t relevant for the landlord. Will do some investigations and counter offer. Thank you very much for your time.

Speak to your building insurance, if nothing else most insurance included basic legal advice