Repayment of stolen management fees a condition of sale?
There are 6 freehold properties all equally own a shared drive and communal land. Membership of the management company is a condition of purchase of any of the 6 properties.
One property is now for sale and the joint owner of that property got access to the management company bank account and emptied it?
Can repayment of these management funds be made a condition of sale?
We’ve had brief legal advice (with which I agree) that we can’t – that it’s theft by an individual and isn’t a recoverable debt associated with the property and that we should try & recover the money through small claims court.
One or two members still want to make it a condition of sale. I’m concerned if we do that we could cause the sale to fall through and be liable for compensation to the purchaser and/or innocent joint owner of the property for sale.
Any advice would be greatly appreciated.
Becky
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Member Since October 2013 - Comments: 1630 - Articles: 3
4:32 PM, 24th May 2024, About 2 years ago
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