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Resolving property disputes in the UK - Your options and the benefits of negotiated dispute resolution
Property disputes, whether residential or commercial – can be time-consuming and stressful. Resolving a property dispute through communication or negotiated dispute resolution can be considerably faster and more cost-effective than going to court.
In this guide, we explain the common causes of different property disputes and your options for resolving them. We also explain the benefits of using negotiated dispute resolution and how Giambrone’s real estate team can help.
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What are the different types of property disputes?
The following are the most common types of property disputes in the UK:
Commercial property disputes
Disputes between landlord and business tenants can occur for many reasons, such as a late payment of rent, damage to property, inadequate maintenance, disputes over service charges. When dealing with a commercial property dispute, it is advised to keep a log of any incidents that may have occurred with respect to the dispute before embarking on negotiated dispute resolution.
You can find out more about commercial property disputes in our full guide.
Family property disputes
Family disagreements are one of the most common reasons for UK property disputes and can occur due to a breakdown in relationships, inheritance disputes or issues surrounding a joint property dispute.
Joint property disputes often occur when one person wants to sell their share of the property, and the other does not. Other causes of disputes are when one person feels they have “put in” more financially to a property, leading to a disagreement over property shares. Before taking further steps, it is useful to find any written formal agreements to support your dispute and help to gain settlement.
When there is an unclear will or disagreement over the shares of property inheritance, this can also lead to a property dispute.
You can find out more about resolving property inheritance disputes here.
Property construction disputes
Construction projects are often cash and time-sensitive, with multiple sub-contractor businesses involved in bringing the building to completion. When a construction project isn’t properly managed, it can lead to delays, dissatisfaction and disputes during the various stages. Construction disputes often occur due to issues such as outstanding payments, extensions of time, damage to property or poor-quality work and penalty clauses. It can help to ensure both parties are clear on the expectations of the project beforehand to prevent construction disputes from occurring. Depending on whether negotiated dispute resolution is successful, you may need a construction lawyer to advise when disputes arise and represent you in any legal action.
You can read more about the causes of property construction disputes here.
Resolving a property dispute – Your options
The key focus in any dispute should be good communication. Constructive discussions about the situation can be beneficial in both resolving the dispute and keeping your relationship with the other party intact. If you are dealing with a commercial dispute, a record should be kept of all meetings and dealings, including writing follow-up letters or emails following face-to-face meetings so that any meetings or conversations can be referred to if necessary.
Methods for resolving a dispute may differ slightly depending on the nature of the dispute – you can find out more about resolving each type of property dispute here. However, the following are the most common methods for resolving property disputes:
Resolving a property dispute through negotiated dispute resolution
Negotiated dispute resolution (NDR) is a method of obtaining a binding decision other than litigation in court to solve your property dispute and is a common option when a dispute cannot be resolved through communication. It can be a more straightforward experience than going to court, and it can also be more cost-effective. NDR also allows you to have more input in the overall decision that is made.
Using negotiated dispute resolution provides the opportunity of meeting on neutral ground with an impartial party to oversee the discussions and avoid the escalation of the dispute to a court setting and avoiding the stress of litigation. The different methods of negotiated dispute resolution include the following:
Mediation
During mediation, you will usually be in the same room as the other party, with an impartial mediator overseeing the discussion and illuminating the points of each party to help you gain a greater understanding. The mediator will help you to reach a decision together through a process of discussion - however, they will not make the decision for you, and it will not be legally binding. There is a range of mediation centres for private and commercial issues. The National Family Mediation Service or the London Mediation Office are two such examples.
You can find out more about the benefits of mediation here.
Arbitration
The second form of dispute resolution is arbitration. This is a more formally structured type of dispute resolution for higher conflict situations, where you may not wish to be in the same room as the other party. A qualified person will arbitrate your discussion, and you will have a chance to plead your own case. This differs from mediation in that an arbitrator looks into the legal rights and wrongs of a dispute and makes a decision. The ultimate decision will rest with the arbitrator, and the court will make the decision legally binding.
Giambrone’s NDR lawyers represent clients located across the globe. Disputes are settled in the quickest time possible which minimises costs and stress associated with lengthy court litigation proceedings. By using sophisticated negotiations skills, easing tensions and building a consensus at the bargaining table, disputes are approached in a conciliatory and mediatory manner.
You can read more about our arbitration service and how we can help you here.
When is litigation necessary?
Litigation becomes necessary when you have tried all alternatives and found them to be unsuccessful. When seeking legal representation during property litigation, you will usually be asked if you have attempted NDR first.
When you have attempted to resolve a property dispute by other means, obtaining the right lawyer is necessary. They can help to guide you through your legal position of your argument and provide an opinion as to whether your argument is likely to be accepted in your particular case. A lawyer will lay out the benefits and pitfalls of going to court. If litigation does become necessary, your lawyer will help you obtain the best possible outcome.
You can find out how Giambrone’s litigation team can help you here.
How does the court deal with property disputes?
If you go to court, you will first prepare necessary documents and file a claim form. The next step is the trial, where your lawyer will be able to state your case, as will the other party. Witnesses can be called, and evidence to back up your assertions produced, and your lawyer will argue on your behalf.
The judge will make a decision based on the evidence presented by both parties. If you are successful enforcement of the judgment is a separate matter. the judgement is then able to be enforced to your satisfaction. Depending on the type of property dispute, for example if it is predominatly between family members, other factors will also be considered by the court – including whether the best interests of children are involved.
You can find out more about using a property real estate lawyer for your dispute here.
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