MMR - Six Months On

Recent research has revealed that six months after its introduction, UK home buyers hold mixed feelings over the Mortgage Market Review (MMR), which was designed to halt reckless lending.

Potential borrowers were left feeling frustrated at thein-depth questioning process now employed by lenders although the vast majority of respondents felt that MMR was on the whole a ‘good thing for the economy and housing market’, as it would help to ensure a sensible approach to borrowing.

Myhomemove asked over 100 of its home moving clients to share their experiences of applying for a mortgage before and after the introduction of MMR in April 2014. Topping the list of findings was the frustration felt by post-MMR applicants at the level and depth of questions now asked by lenders.

Despite misgivings and since the introduction of MMR, however, successful first time applications resulting in a mortgage offer increased by 156% although the ease of obtaining a mortgage fell by 16%

Doug Crawford, CEO of myhomemove said, "Although people are frustrated at the level of information required by lenders, our survey shows that the majority see the stricter lending criteria as a good thing for the economy and housing market; citing it as a way of ensuring people don’t overstretch themselves, or face the horrible situation of having their home repossessed.”

Although it seems that the new MMR process can feel personal and intrusive, it does seem to suggest that it is robust and productive for many home movers, as the number of repeat applications fell substantially and successful first-time applications soared. BSG as a conveyancing provider, hopes the new system will assist with increasing the transactional process seeing less time spent waiting for a mortgage offer which can ultimately be one of the largest delays in the process.

Cancer Care Cross Bay Walk 2014

 

 

As part of BSG's commitment to supporting charity the staff and partners raised £560.00 through their sponsored walk across Morecambe Bay and office cake sale. Obviously the latter was a requirement after the former!!

Terms and Conditions-Consumer Contracts Regulations 2013

On Friday 13 June the Consumer Contracts (Information, Cancellation and Additional Charges) Regulations 2013 came into force.

 

The Regulations regulate most contracts made between a “trader” and a “consumer”.  They will therefore apply to a wide range of contracts made between businesses  and their customers (as consumers) but whether they apply or not will depend upon the nature of the customer and the circumstances in which the contract is made.

 

The Regulations have increased the time a consumer has to cancel their contract with you and there are serious consequences of not complying with the new Regulations. For example it is a criminal offence to fail to inform consumers of the right to cancel, punishable by a fine. Also, if you did not give the customer the time limit and procedures for cancelling, the cancellation period is extended and you will not be able to enforce the contract until you either give the consumer the relevant information or a considerable period has elapsed. This would mean for example that, you would not be able to issue Court proceedings under the contract for payment until the cancellation period has elapsed but the contract will not be void so your customer will still be able to enforce it against you.

 

We  would therefore advise that businesses  instruct the firm to update their paperwork including their terms of Business to ensure that they fully comply. If you would like us to assist you with this process, please contact Keith Parr,  Partner, on 01772 253841, kgp@bsglaw.co.uk or by post.

 

'Largest Family Justice Reform For a Generation' comes into effect

 

The Children and Families Act 2014 came in to force on 22^nd April 2014, ringing the changes for family practitioners in England and Wales.  The Minister for Justice has heralded the reforms as ‘the largest for a generation’.

 

The purpose of the new legislation, according the Justice Minster Simon Hughes is to put children firmly at the heart of the Family law system, and to shift to focus towards Children’s needs, as opposed to what parents perceive as their ‘right’s

The reforms implemented on 22 April will see:

·        The introduction of the new Family Court in England and Wales with a simpler single system and a network of single application points.

·        Justices’ clerks and their assistants authorised to assist all judges across the Family Court (including on undefended divorce cases).

·        The introduction of a 26 week time limit for care proceedings.

·        New child arrangements orders will replace Residence and Contact Orders.

·        Expert evidence in family proceedings concerning children only permitted when unecessary to resolve the case justly, taking account of factors including the impact on the welfare of the child.

·        Compulsory family mediation information meetings so separating couples must consider alternatives to court when resolving financial matters and arrangements for child contact.

 

At BSG solicitors, we pride ourselves on remaining up to date with the most recent changes in legislation and case law, so that we are able to continue to provide a first class service to our clients.

 

 

Early Conciliation through ACAS in respect of Employment Disputes

April 2014

 

Early Conciliation through ACAS in respect of Employment Disputes

 

On 6 April 2014 a new ACAS Early Conciliation Scheme will operate on a voluntary basis for a month before becoming a mandatory part of the Employment Tribunal application process.

 

From 6 May 2014 it will be compulsory for most potential claimants to the Employment Tribunal to contact ACAS and make at least some attempt to reach a settlement before applying to the Employment Tribunal.

 

The pre-claim conciliation gives potential claimants the opportunity to explore a resolution of their claim before they have to pay a fee to the tribunal to issue proceedings.  It will also force the parties to think about settlement at the outset.  It is an attempt to facilitate employers and employees to sort out their differences at a very early stage.

 

The procedure is relatively straightforward. 

 

Before lodging a claim with the Employment Tribunal a potential claimant must send ACAS an Early Conciliation (EC) form either online or by hard copy.

 

ACAS is under a duty to make reasonable attempts to contact the prospective claimant within 2 working days to find out the nature of the claim and establish if a claimant wishes to conciliate.  If the claimant consents, ACAS must make reasonable attempts to contact the respondent and conciliate a settlement.

 

The conciliator has up to a calendar month from the date on which ACAS receives the EC form to facilitate a settlement.  However, that period can be extended by up to 2 weeks if the ACAS officer is of the opinion that there is a reasonable prospect of achieving a settlement.

 

If settlement is reached, the terms will be set out in writing by ACAS for the potential claimant and respondent to sign.

 

If a settlement is not reached, or if either prospective party does not wish to take part in conciliation, ACAS will issue an EC certificate to record that conciliation has come to an end.  When the claimant receives an EC certificate they are free to lodge a claim with the Tribunal.

 

Where the allegation is unfair dismissal, the ACAS officer has a particular duty to explore whether re-instatement or re-engagement can be achieved and can only promote a settlement involving compensation being paid if they are of the view that it is not possible or where the claimant does not wish to be re-instated or re-engaged.

 

The new regime provides for an extension of the time limit for lodging a claim with the Tribunal (which is usually 3 months) to allow for any conciliation period.  The clock stops the day after the claimant contacts ACAS and restarts on the day after the claimant receives the EC certificate.  If a claimant contacts ACAS when there is less than one month of the time limit for lodging a claim with the Tribunal to go, they get some extra time, namely a calendar month from the day they receive the EC certificate.

 

If you would like us to assist you with this process, please contact Keith Parr, Employment Partner, on 01772 253841, kgp@bsglaw.co.uk or by post.