The Bill proposes new rules for flats and tenements
|
Proposed legislation to make flat buyers pay the debts of previous owners has been described as "very unfair" by a committee of MSPs.
The Justice 2 Committee said it was concerned about new owners in tenement blocks having to pick up the bill for certain costs, such as common repairs.
The comments are contained in a report on the Tenements (Scotland) Bill which is currently before parliament.
MSPs doubt the idea that the costs could be recovered from the seller.
Their report says: "The committee is of the view that this provision, as it stands, is very unfair to the purchaser."
The Scottish Executive has given MSPs an assurance that it will look further at this issue.
 |
A purchaser relies on the seller confirming that there are no arrears of charges
|
Despite its concern, the committee endorsed the Bill's general principles. It is due to be debated on 3 June and is almost certain to pass to the second parliamentary stage.
The legislation, if ultimately approved, would grant new rights to more than 1.4 million home owners in about 826,000 flats.
The Bill proposes that every tenement, modern flat and high-rise office block would have to include a management scheme in its title deeds.
Solicitor Ian Ferguson, a partner with Glasgow firm Mitchells Roberton, welcomed the bill's proposal that repair work to communal areas would need the agreement of the majority of residents, not all of them as is currently the case.
Appeal process
All private owners would pay towards the cost of maintaining areas of communal ownership, like the roof and external walls, but there would be an appeal process for objectors.
However, he said: "The Bill now provides for a new owner to become liable for costs for which a former owner is liable.
"While it is true that the new owner would be able to reclaim the costs from a former owner, that would be dependent on being able to trace the former owner and that former owner having funds to make the payment.
"While this will be warmly welcomed by factors and property managers, this will be of great concern to purchasers.
"This is likely to be a particular problem where there is no factor managing the property.
"In that case, a purchaser relies on the seller confirming that there are no arrears of charges. If the seller omitted to disclose these or concealed these, the purchaser will be responsible for the full amount of the arrears.
"His liability would be unlimited and may run into many thousands of pounds."