It's Still Rock & Roll to me!

And so the Government has confirmed that Northern Rock will increase mortgage lending by up to £14 billion over the next two years. Evidently a strategy has been agreed so that £5 billion of new mortgage lending will be available for 2009 and three to nine billion pounds from 2010 on. That is if, of course, there is a market demand for it.

We are told that the new lending will be on good commercial terms to ensure it represents good value for money (for the taxpayer one hopes) and will allow Northern Rock to get back into the mortgage market with a variety of products on offer. We are also told that the mortgage side of the business will be managed separately following restructuring.

The Government has further said that it “wants to see a well functioning mortgage market where lenders lend responsibly and borrowers have access to a wide range of mortgages that they can afford to repay” (don’t we all).

In certain respects, well done to the Government. But does this also mean that we, the taxpayers, as the owners of Northern Rock and therefore the employer, have the right to ensure that there are no contract clauses which will make it necessary to pay out bonuses (huge or otherwise) to anyone unless they really deserve it? Probably not. Who else believes that once this current crisis/recession/dip – call it what you like – is over, the Government and the bankers will just go back to the greedy self serving individuals they were before? It is very often amazing what is NOT learned from hindsight!

Don’t cry over spilt milk…it’s breaking the bottle that becomes expensive!

Recently a mother went into one of her local shops with her child who accidentally ran into a display of glass jars knocking over and braking quite a few. The lady in question was asking for advice because the store in question had asked her to pay £90.00 to cover the cost of the damage.

The law is not hard and fast on this and consumers are expected to take reasonable care when shopping, including supervision of any children they have with them. A shop can and probably will ask you to pay for the broken or damaged items however payment of the cost price only should be requested and paid, not the retail price. Very often stores will only request payments if they believe you have been careless or negligent.

On the other hand shops can be guilty of negligence as well, for example, if items are badly stacked, in the wrong position or if a slippery floor has not been correctly cleaned. If any of these have contributed to an accident, you can refuse to pay, or even sue if you're injured.
In practice, the larger shops will probably not ask for reimbursement if it was a genuine mistake, but often smaller ones can’t afford to absorb the loss and will therefore ask for payment. If you are asked to pay, only do so if you think you're responsible and only pay the cost price.

If you refuse to pay, the shop's only recourse is to sue you for the money through the Civil Courts. Remember this is a civil matter, not a criminal one; do not be intimidated by threats to call the police!

Hello Scotland, and Welcome to our World!

A recent survey carried out by the BBC has found that, following the introduction of Home Reports on 1st December 2008 the Scottish housing market is suffering reduced activity. The survey was aimed at solicitors throughout Scotland to find out how much the new Home Reports had affected the market. Those of us involved in the industry in England and Wales could have told them the outcome of the introduction of Home Reports long before the actual date and probably could have provided accurate survey responses as well. According to the BBC home owners rushed to put their houses up for sale before the date of the introduction of the compulsory Home Reports and, we are told, few houses have been placed on the market for sale since.

Many of the solicitors consulted by the survey believe the cost of supplying the Home Reports is prohibitive and the scheme should be reviewed. There has, however, been criticism of the survey report by the Royal Institute of Chartered Surveyors who believe Home Reports will benefit the market in the long term. It has also been pointed out that economic factors may be having a negative effect on the housing market as well. They don’t say!
Sorry Scotland but.....welcome to the property market we have been suffering with in England and Wales for quite a while now.

Attic Like Apartment a "Snip" at $53.5 million

So, the New York penthouse apartment atop the famed Plaza Hotel is back on the market at an absolute steal at $53.5 million following a private settlement in the case of Vavilov –v- Stribling and El-Ad Properties.

Last year Russian financier Andrei Vavilov paid a deposit of $10.7 on the apartment and then discovered how much he disliked it saying it was "attic-like" with oppressive ceilings and a terrible view of Central Park.

The real estate website StreetEasy.com shows the apartment (made up of two separate penthouses built on top of the Plaza) is still on the market with representatives for developer El-Ad Properties and broker Stribling & Associates “not available for comment”.

Andrei complained the apartment was "attic-like" with small windows, low ceilings, obstructed views and ugly drainage grates and demanded the return of his $10.7 million deposit and $30 million in damages. A counter suit, issued by El-Ad accused him of libel and demanded $36 million in damages.

The Plaza, opened in 1907, has been owned by moguls such as Conrad Hilton and Donald Trump and, following a $400 million renovation, reopened last March as a mixture of hotel rooms and condominiums. The penthouses for sale were advertised as magnificent "one of a kind" properties.

Wish Mr Vavilov was our Client……