Rental Income Dispute Between Siblings

Case Summary:

Wollens Successfully Defends Client in Property Dispute Between Siblings

Wollens recently acted for a client in a dispute over a property inherited from their parents. The property was jointly owned by our client and their sibling.

For some time, the sibling (who brought the claim) had been managing the property and collecting rental income from it. However, instead of sharing the income or placing it into a joint account, they had been keeping it in their own personal account. Our client believed the rental income should have been shared fairly between them.

The sibling then applied to the court for an Order for Sale, asking that the property be sold and the proceeds divided. We opposed the application on behalf of our client, arguing that the rental income needed to be properly accounted for and divided fairly before the property could be sold.

The court agreed with our position. The judge ruled that the rental income must be dealt with first, and that no sale should take place until it had been properly shared between the parties. As a result, the sale of the property has been delayed until the issue of the rental income is resolved.

This case underscores the importance of addressing rental income distribution and other financial issues in property disputes governed by the Trusts of Land and Appointment of Trustees Act 1996 (ToLATA). It demonstrates our ability to effectively protect our clients’ interests and secure fair outcomes in property-related disputes.

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