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Taylor Wimpey pledges to strike-out doubling leasehold ground rents

 

Following on from our article on government leasehold reforms [see article] where we highlighted the Housing Secretary Robert Jenrick’s views and his introduction of new leasehold reform legislation in The Leasehold Reform Bill, due to be passed by March 2022, we now see Taylor Wimpey responding early to the forthcoming changes.

Setting out their pledge, Taylor Wimpey has made a formal commitment to strike-out leasehold terms that double ground rent every 10 years and only to make ground rent increases that are in line with the Retail Prices Index.

This unpopular and unfair practice has seen many leaseholders in the UK stuck in their unaffordable properties and unable to sell their home as the doubling of ground rent has become an enormous stigma to the sale of their property. Ground rent wording in lease contracts has made some leaseholders unable to obtain favourable mortgages and has even deterred some lenders from offering a mortgage on properties with onerous rent clauses, which, in some cases results in the property being unsaleable and potentially diminishing in value for many years to come unless a Deed of Variation is agreed by the Freeholder. This can be very costly for the leaseholder.

In the Law Gazette this week, Taylor Wimpey Chief Executive Pete Redfern said, “Taylor Wimpey has always sought to do the right thing by its customers, shareholders and other stakeholders, and we are pleased that today’s voluntary undertakings will draw this issue to a full close, within our original financial provision.’

Rachael Mitchell

Rachael Mitchell, Head of Conveyancing at Lawson West Solicitors adds:

“We are scrupulous when it comes to checking the Lease in a leasehold property transaction. We know that doubling or ‘onerous’ ground rents have become the norm for many UK developers and adding them to leasehold contracts can trap unsuspecting purchasers into a Lease that they can’t get out of. This has been prevalent in the new build market, where ground rents have no real purpose apart from lining the pockets of developers, who often sell on the freehold to other property companies. Ground rent income has been used as an attractive lure for the sale of the Freehold of many newly built blocks of flats to a new corporate buyer, as well as providing an ongoing and regular income from sites that are occupied. The new Leasehold (Ground Rent) Reform Bill has been in consultation for a number of years and is finally passing through government now and I welcome its introduction in the Spring.”

 

 

 

Sheikh’s Divorce sees largest ever £554 million divorce financial settlement figure

A record-breaking Divorce settlement payout has been announced today by the UK’s High Court for UAE’s ruler, Sheikh Mohammed bin Rashid Al-Maktoum (69) paying his estranged wife, Princess Haya bint al-Hussein (47) a divorce package worth in the region of £554 million. The settlement is considered the largest ever awarded by a British family court.

The Princess, who fled their 15-year marriage in 2019 to seek sanctuary in London, has spent over two and a half years in a divorce legal battle to finalise the settlement figure following the breakdown of her marriage to the Prime Minister and Vice President of the United Arab Emirates, multi-billionaire ruler Sheikh Mohammed. The Sheikh is one of the most powerful and richest men in the world who has transformed Dubai into a desired business location and luxury vacation spot. He had obtained a divorce from Princess Haya under Sharia Law in 2019, weeks before she fled to London.

The size of the payout is eye-watering and the judgment passed by The Hon. Mr Justice Moor (Sir Philip Drury Moor, former Family Law Bar Association Chairman) covers the cost of Haya running two multi-million-pound properties and advance payment for the provision of security and child payments. Mr Moor added that the Sheikh “will only have himself to blame” for having to shoulder the cost of security for his ex-wife “given his conduct to date”:

  • £251.5million to Princess Haya, £20 million to compensate for loss of jewellery, clothing, £1.9 million home extension, £280,000 art studio refurbishment and other incidentals including the return of prize show-jumping horses

  • £5.6million a year to each of his two children, Al-Jalila aged 14 and Zayed, aged 9 – secured with a £290 million guarantee; and security protection for the family

  • £9.6 million backdated for money owed since 2019

  • £3.04 million allowance for the children’s private education

  • £95 million Kensington mansion and a country estate in Egham, Surrey.

Princess Haya is the daughter of King Hussein of Jordan, the half-sister of King Abdullah of Jordan and the youngest of Sheikh Mohammed’s six wives (two publicly acknowledged, Haya being one), they married in 2004. The Sheikh has 23 children, with 9 sons and 14 daughters. Princess Haya has achieved global recognition for her role as a UN Peace Ambassador as well as a social activist.

Alistair Dobson
Alistair Dobson, Associate Solicitor, Family Law Team
Lawson West Solicitors, Market Harborough & Leicester

 

“When marriages collapse, whatever the reason and where children are involved, the separate parties have to take responsibility for the children’s future and wellbeing. This huge settlement awarded by a British High Court family judge, whilst enormous to most people, would have been decided on carefully by the Learned Judge, requiring a clear view as to the best interests of the wife and her children. Most settlements in family law courts do not include international security management in the settlement figure, but this unique family divorce case involves one of the most powerful royal families in the Middle East.”

See more in the news:

Princess Haya: The princess, the sheikh and the £550m divorce settlement – BBC News

Omicron & Plan B – Employer Considerations for Employees and Workplaces

[Newsflash – following a government announcement on 19 January 2022, the Plan B restrictions are due to end on Thursday 27th January].

Since the emergence of the Omicron variant of Covid-19, the world has been on high alert and hopes of the pandemic fading have been put into question. At this time, employers have faced fresh issues with trying to safeguard employees whilst also trying to continue running their business seamlessly. Their efforts have been impacted by the emergence of this new variant, especially with staff members already becoming ill with the Delta variant at this time of year.

Winter brings with it an increase in infections such as the cold and flu. Amongst this there are existing Covid-19 infections, the Covid Delta variant, and now the new Omicron variant joining the list.

Employers Responsibilities

With an increased risk of these viruses circulating, what can businesses do to combat staff illnesses and infections at this time of year?

The Christmas Party

  • Will the venue be as safe as possible for employees to attend? Will it be a large event with other companies in the same room, or a small Christmas dinner? We have heard of many employers cancelling their large Christmas party on the back of nervousness from staff and it is an area of concern for many, given that so many people were looking forward to a better Christmas celebration this year, than last year’s experience under lockdown. 

  • The government’s new Plan B announced this week encourages the use of NHS Covid passes, which can be obtained by having two vaccines or a negative lateral flow test, and will be needed for entry into nightclubs and other large venues from December 15. 

    Boris Johnson said: “The best way to ensure we all have a Christmas as close to normal as possible is to get on with Plan B, irritating though it may be, it is not a lockdown,” but on Sunday 12th the government ramped-up the urgency for people to have their booster vaccinations before the end of December to protect people against the looming “tidal wave of Omicron”.

    The government confirmed Plan B on 8th December:

    • Move to Plan B confirmed as Omicron spreads across UK, with early analysis suggesting cases could be doubling at a rate of as little as 2.5 to 3 days

    • Face masks to become compulsory in most public indoor venues, other than hospitality

    • NHS Covid Pass to be mandatory in specific settings, using a negative test or full vaccination via the NHS Covid Pass

    • Vaccines and testing remain our best lines of defence

    • People asked to work from home if they can.

Health & Safety in the Workplace

  • Employee health and safety at work is of key importance, especially when trying to maintain a Covid-safe environment. Existing measures from the past year should already be in place, however the upkeep of hand sanitising and washing areas is important. Equally, either the employment of more cleaners or additional visits from cleaners would be an appropriate measure. Staff should also be reminded to sanitise their desks and equipment regularly, as well as ensuring that kitchen and bathroom facilities are wiped down after use.

Remote Working

  • Remote working is something which has been in place since the very start of the original lockdown last year. If employees are not already doing so and can do their jobs effectively at home, remote working should be encouraged. Similarly, if employees are feeling under the weather, if they are feeling well enough to work, they should do so from home in the first instance to avoid the spread of illnesses at the workplace, provided that they have authority to do so. If existing employees do not have work from home facilities, this should be set up if possible to reduce illnesses circulating throughout the workplace.

  • For employees that use public transport, which will particularly be the case in London, it may be sensible for employers to suggest that their employees work remotely more often, to reduce the amount of time spent in close contact environments such as The Tube.

Flu Jabs

  • Employers may wish to encourage their employees to take up a flu jabs in order to further protect employees. With the return of winter flu, it is likely that there will be an increase in cases due to the lack of exposure to the flu virus last winter, driven by reduced social interaction.

Buildings and Workplace Environments

Generally implementing rules within workplaces, particularly in office environments, will also aid in reducing infections. This can include:

  • following one-way systems

  • aiming for social distancing between colleagues of at least 1m

  • keeping any meetings (if necessary) short or virtual

  • ventilating rooms during meetings

  • wearing masks for all client, supplier and customer meetings

  • asking clients and customers to do likewise; and, importantly…

  • appropriate and approved time off to receive a booster vaccination

  • washing hands and sanitising washrooms, work stations and kitchens regularly.

Michael Gove MP said on 10 December evening:

The government has been “presented with some very challenging new information” about the Omicron variant and will keep restrictions “under review”, Michael Gove said after he chaired a meeting of the COBRA emergency committee to discuss COVID-19 data and coordination on the response. “We know that we have the highest number of COVID infections across the United Kingdom recorded today, since 9 January.”

He said the government’s approach is “proportionate” and he recognises the “importance of balancing people’s ability to get on with their lives with a need to protect against this virus”. He added: “Action is absolutely required, and as new data comes in, we will consider what action we do require to take in the face of that data.”

Satinder Kaur

Satinder Kaur, Employment Team
Lawson West Solicitors, Leicester

“Rumours that Omicron may be more infectious, but less serious, remain rumours until proven scientifically, and the full facts are still emerging at this time apart from the government’s recent comments about the number of infections doubling every 2-3 days which are a deep concern. There is an obligation for employers to do the right thing for the health and safety of their employees and to look after their wellbeing. Boris Johnson has urged people to “exercise due caution” but insists Christmas parties and nativities can go ahead. It is therefore acceptable for employers to follow the government’s guidance at this time but to be prepared to change their approach as we learn more about Omicron over the next days and weeks. Offering remote working for employees is a sensible practice in the current state of Coronavirus until we will know more about the wider impact of the anticipated tidal wave of Omicron.”

More reading: 

Moving to Plan B – Government Announcement – 8 Dec

Prime Minister Press Release Omicron – 27 Nov 2021

 

COVID-19 vaccinations – Can my 12-year old receive the jab against my wishes?

 

The last 18 months has been one of the most challenging experiences, with the whole world suffering from COVID-19 and the affects this has had on everyday life. The wonderful work of scientists has allowed some form of normality to return following the successful vaccination program that has been rolled out, initially to those most vulnerable and then all adults. But with the new Omicron variant now changing things once more, what does this mean for vaccinations moving forward?

On 12 September 2021 it was reported nationally that children aged 12-15 years of age would be offered the COVID-19 vaccine. Consideration of the vaccine being given to younger children is still ongoing. So what is the position if both parents cannot agree on whether their child should be vaccinated, and what is the position if the Local Authority wish to vaccinate your child and one or both parents do not agree?

The later position was recently dealt with by the High Court of Justice, Family Division, in the case of Re C (Looked After Child) (Covid-19 Vaccinations) [2021] EWHC 2993 (Fam). The case involved a 12 year old child who was subject to a Care Order in favour of the Local Authority that had been made in 2015. The child wished to have the COVID-19 vaccination and the winter flu vaccination, which the child’s mother was strongly opposed to. The Local Authority made an application to Court for the matter to be determined. The Local Authority felt that it was in the child’s best interests to have the vaccinations and wanted it to be determined as to whether under section 33 of the Children Act 1989 the Local Authority could exercise its parental responsibility by arranging for and consenting to the two vaccinations for the child; regardless of the mother’s wishes.

Mr Justice Poole in determining the matter, considered and applied the Court of Appeal decision in Re H(Parental Responsibility: Vaccinations) [2020] EWCA Civ 664. It was determined that the principles in Re H applied to the COVID-19 and winter flu vaccination programmes. In the absence of contraindications for a particular child, there was no reason not to allow the Local Authority to exercise their powers to arrange and facilitate both vaccinations. The Court also stated that it was not appropriate for the Court to embark on an investigation of the merits of whether national programmes of COVID-19 and winter flu vaccination of children are justified as being generally in the best interests of children in those age ranges. Furthermore, the Court determined that the mere assertion that a vaccine is unsafe, however strongly expressed, is not sufficient for the Court to require expert evidence to assist the Court. The Court stated that it relies upon the published guidance from the government and public bodies, specifically from the UK Health Security Agency, a new body created in 2021 which has replaced Public Health England, in helping to determine the issue.  

The matter was also considered in the private law dispute of MvH and PT[2020] EWFC 93, where Mr Justice MacDonald stated at point 4 of his judgement that he believes ‘it is very difficult to foresee a situation in which a vaccination against COVID-19 approved for use in children would not be endorsed by the Court as being in the child`s best interests, absent peer-reviewed research evidence indicating significant concerns for the efficacy and/or safety of one or more of the COVID-19 vaccines or a well evidence contraindication specific to that specific subject child’.

What is Contraindiction?
– a condition or circumstance that suggests or indicates
that a particular technique or drug should not be used in the case in question.

Recent case law therefore shows that unless there are individual specific circumstances that would mean that the vaccine could provide that particular child with contraindications were they to have it, then ultimately, the Court will follow the guidance of the government and public bodies to allow the vaccination of the subject child(ren) to take place.

Charley Kelly

Charley Kelly, Family Law Solicitor
Lawson West Solicitors, Leicester

If you are wondering if you can avoid vaccinating your teenage child, perhaps against the wishes of your partner, family or Local Authority, think again…contact us and we can advise you accordingly for your own situation. Contact Us here.