Land Registry: How can I remove a charge on my property after company dissolved?

[MarshCr]

Hi everyone,

I'm new to this forum, which I've found after desperately trying to find information on how to resolve an issue no solicitor seems to have a final answer to.

I'm trying to sell my old house which currently has a small charge coming up in the Land Registry. In order to sell the house, I have to make sure that there's no charge against my property (there's no other way around this). I'm more than happy to pay off the remaining small debt in order to have the charge removed BUT the original company that managed the debt and which was registered in the USA dissolved in 2011. Following the dissolution of the company, the debt was allegedly assigned to a new company registered in Guernsey to which I've been making monthly payments to since 2011.

Because the remaining debt is insignificant, I would like to pay it off in order to be able to sell my house but so far the new company based in Guernsey have been unable to prove to the Land Registry that they have the authority to remove the charge against my property. Last Friday the Land Registry asked the company which is allegedly managing my debt to provide them with an unequivocal certificate proving that the company that dissolved in 2011 (and that was registered in the USA) had assigned my debt to them.

My solicitor as well as the solicitor of the potential buyer of my property have been going in circles with this issue for the past four weeks. Nobody seems to have an answer as to what to do in the event of the company based in Guernsey being unable to provide the Land Registry with this unequivocal certificate proving that they can do what they say they can do: remove the charge against my property.

I've been told that even if the debt was down to £0.00, if the company based in Guernsey cannot prove they got assigned the management of my debt by the company that dissolved in 2011, the Land Registry won't allow them to remove the charge against my property.

I was in the process of buying another property but I've managed to delay the mortgage offer until next Friday (I'm obviously losing money now because I'm paying daily interest not to lose my mortgage offer) but if I'm unable to sell my old house, I can't buy a new one.

At the moment I'm left with a property in limbo because it's un-mortgageable and so I cannot sell it, not even when the debt is paid in full, because nobody knows how to remove the charge against it.

I would be more than grateful (and honestly intrigued) if anybody could throw any ideas as to how to solve this problem.

Thank you in advance.

[R0b]

Re: Land Registry: How can I remove a charge on my property after company dissolved?

Hello,

In the UK, when a company dissolves but hasn't sold its assets, they belong to the Crown upon dissolution. I am not sure of the position in the US and whether it is the same principle or not.

If the Guernsey based company is unable to prove that the debt was lawfully assigned to them and reasonable steps have been taken to find the owner of the debt but to no avail, the last step is probably an application to the court for an order to remove the charge. A court would be able to make such an order and force the Land Registry to remove it if the court is satisfied that based on the evidence that reaosnable steps have been taken to ascertain the legal owner but nothing has come to light then I think it would be reasonable and equitable for the court to order the removal.

Alternatively, if you say you are willing to pay off the debt to clear the charge, you may be able to pay the funds into court which should be held for a minimum period of time e.g. 3 months and if no one comes forward to claim it, the fund are to be returned to you? That way, you can have the charge removed and everyone is a winner.

If your solicitor has run out of options, the last option is always to ask a court to make an order.