Laura Manton, Business Development Director and a member of the Wills, Probate and Trusts Team will be putting on her running shoes for the third time to take part in the Beachy Head 10km run which is thought to be one of the most challenging 10km runs in...
With businesses becoming insolvent in large numbers, opportunities abound to acquire assets from their administrators. However, the low prices sought for the assets are due, at least in part, to the additional risk to the purchaser.
Here are some of the main issues to be aware of when buying property from an administrator:
• Vacant possession of a property will not normally be guaranteed and the cost of clearance of items left in the building should be borne in mind;
• No guarantees or warranties regarding the property will be given – undertaking proper due diligence to reduce risks is advisable;
• There may be items that appear to be a part of the property being sold which do not in fact belong to the insolvent business; and
• The administrator acts only as agent for the insolvent company and will accept no liability for errors or omissions.
Buying a property from an administrator is a risky business. We can help you to control the legal risks.