Date 18 August 2011
What is Chancel Repair Liability?
Chancel Repair Liability is both a confused and confusing area which dates back to medieval times. Many churches in England and Wales, previously ministered by rectors, were acquired by monasteries which then became responsible for the church chancel (the space around the altar at the east end of a traditional church). However when Henry VIII dissolved the monasteries the responsibility passed to new owners and, down the years, successors in title. Hence we arrive at the situation of today where potential liability falls upon present day successors.
Could this affect me?
The potentially dramatic effect of Chancel Repair Liability was highlighted in the case of Aston Cantlow v Wallbanks which was heard in The House of Lords in 2003. Mr & Mrs Wallbanks were asked to pay approximately £10,000 towards the cost of repairs to the local church chancel. They agreed but sought to make their co-operation conditional upon the church waiving any future claims. The church refused and the matter was referred to the Court. Mr & Mrs Wallbanks lost and were ordered to pay a repair bill of approximately £250,000 (by the time the case reached Court significant problems with the foundations had also been identified) and also legal costs of around £200,000.
Is the law changing?
The Wallbanks case prompted the Government to intervene and a Transitional Provision Order came into effect on 13th October 2003. The effect of this order means that all Chancel Repair Liabilty will cease from 13th October 2013 unless a church has registered an overriding interest in land at HM Land Registry. Needless to say a number of parochial Church Councils are currently engaged in such arrangements.
Am I liable?
When you bought your property your lawyer should have undertaken an appropriate search to identify whether a specific property has potential Chancel Repair Liability, and if so advise you of the risks involved and the availability of Insurance products. However, historically property lawyers have tended to regard the question of Chancel Repair Indemnity Insurance as an exercise undertaken by Insurance Companies to line their pockets with little or no risk. The Wallbanks decision was, after all, exceptional.
That said, with the clock ticking down to 13th October 2013 and churches identifying opportunities to register overriding interests, Chancel Repair Indemnity Policies do attain a higher degree of legitimacy. Such considerations will also be made alongside the requirements of any Mortgage Lender in accordance with the terms of The Council for Mortgage Lenders Handbook. Better safe than sorry as in the case of Mr & Mrs Wallbanks.
Contact Us
For further information or to discuss a particular matter or situation in more detail, contact Steve Kenneford at our St Albans office by email at steve.kenneford@salaw.com or on 01727 798050.
© SA LAW 2011
Every care is taken in the preparation of our articles. However, no responsibility can be accepted to any person who acts on the basis of information contained in them. You are recommended to obtain specific advice in respect of individual cases.