The luck of the law — Ikbal v Sterling Law
In the case of Ikbal v Sterling Law, the court was asked to decide whether a firm of solicitors acting for the purchaser of a property was liable to its client for a breach of trust and/or breaches of duty of care after it failed to recognise that a property purchase was a fraudulent transaction, the result of which being that its client did not obtain legal title.
Mr Ikbal instructed Sterling Law to act for him on his purchase of a property in London. Although at one stage he intended on purchasing the property with a mortgage, Mr Ikbal eventually purchased the property free of a mortgage with the assistance of funds from family sources. This was not a case of mortgage fraud.
Completion was believed to have occurred on 26 July 2010, when Sterling transferred the full purchase price of £350,000 to the seller’s solicitors, Fernando & Co. Sterling believed that completion had occurred pursuant to the Law Society Code for Completion by Post, which contains various undertakings that are impliedly accepted by solicitors using the code relating to completion. These include an undertaking that a seller’s solicitor will forward to a purchaser’s solicitor an executed transfer form following receipt of sale funds and completion…
If you are registered and logged in to the site, click on the link below to read the rest of the Walker Morris briefing. If not, please register or sign in with your details below.
News from Walker Morris
News from The Lawyer
Briefings from Walker Morris
On 7 April, Eric Pickles and Danny Alexander announced new powers for councils that, they claim, will enable 10,000 new affordable homes to be built.
The Sentencing Council has published its definitive guideline for the sentencing of environmental offences.
Analysis from The Lawyer
The law school war shows no signs of ending. But we have, perhaps, reached the end of the beginning.
New EU rules and lawyers’ increased comfort with digital formats are sparking a sea-change in the way law firms manage their documents