Case Study

The buyer’s claim

The buyer claimed the builder had provided misleading information regarding the provision of parking spaces and EV chargers.  The buyer requested the builder provide legal assurances that the home would have at least one allocated car parking space, install a Pod Point at the home and install a parking sign, or if not, compensate the buyer to the sum of £15,000.

The builder’s defence

The builder stated that it had fulfilled its obligations under the Code and made no offer of settlement.

The adjudicator’s findings

The adjudicator noted that the buyer was primarily seeking to rely upon verbal assurances they claimed had been made by a sales agent, whereas the builder denied that any such assurances were made. The adjudicator noted they were only able to make an assessment on the basis of documentary evidence and that witness statements provided by the buyer’s neighbours did not evidence the assurances having been confirmed in writing.

The adjudicator noted that the Deed of Conditions explained that the builder could allocate exclusive use of a parking space to any dwelling which indicated that no parking had been assigned to the home. The parking spaces were detailed as communal albeit they were intended to be for the use of residents in specific plots. The adjudicator also found the Deed of Condition Plan denoted the car parking area as hard landscaping, not to be privately owned, and the title plans produced did not include the car parking spaces within the title boundary.

Similarly, the adjudicator also found no evidence that the buyer was assured that access to connected EV charging facilities would be made available.

The adjudicator understood the buyer’s disappointment with the builder’s responses but was satisfied that the builder had investigated their complaints, relayed their final position to the buyer and explained their reasoning why.

Decision

The claim did not succeed.

Learning points

For buyers:

  • Keep a record of all discussions with your builder and their sales agents. The process of buying a new build home, from reservation to completion, can sometimes take several months. Conversations may not always be with the same people, and different queries can emerge throughout the process. It can be difficult to remember accurately who said what and when, which is why we always encourage buyers to follow up any conversations in writing (e.g. by email). By restating your understanding of what was discussed or agreed, your builder can quickly rectify any misunderstandings. This will also give you an accurate record to draw on should you need to raise a complaint or dispute later in the process.
  • Be clear about the facilities and features that affect your decision to purchase. If designated parking, electric vehicle charging points, or any other feature is particularly important to you, ask your builder to clarify exactly what is and isn’t included and request the information in writing.
  • Be aware that sales brochures sometimes provide an indication of what may be included rather than specifics. This is because some aspects of a build can’t be confirmed until later in the process. Ask your builder to explain which aspects could change and how or when they will inform you.

For builders:

  • It’s always best to follow up discussions with buyers in writing to minimise the risk of confusion or misunderstandings. Make sure all your sales staff have an accurate understanding of what is and isn’t included in each plot and on the wider development so that messages are consistent. Check that your buyer has understood the information they have been given and invite questions and follow-up discussions to aid understanding.
  • Be open and transparent about any information that may be subject to change. If changes are necessary, inform your buyers as soon as possible. If you are making major changes that could affect a buyer’s decision to purchase, you must seek their agreement first.
  • Having a clear and effective complaint process, following it and maintaining good records of customer communication can help reduce the risk of breaching the Code.
  • Maintain your annual training on the Code using our free online training course.

Adjudication Case HOME008811

Tags

Sales information, pre-purchase information, Did not succeed, EV charging point, parking

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