Ability to Recover Damages for Inappropriately Placed Caveat

I am dealing with a matter where the other side entered a caveat with, as far as I can tell, absolutely no justification. This led to 4 months of delay, and my client’s estate agent tells her it has led to a reduced sale value for the deceased’s property. Is it possible to claim damages for this, perhaps in respect of negligence or breach of statutory duty? The caveat was removed and no proceedings were ever issued.

Yours,
The Legal Beagle

I recall listening to a discussion on this several years ago between barristers. My recollection is that the conclusion was that one had to PROVE malicious intent in the lodging of the caveat, rather than merely demonstrating such intent.

Paul Saunders FCIB TEP

Independent Trust Consultant

Providing support and advice to fellow professionals

Thanks, Paul. Do you know what the cause of action would be?

I would like your client to sue please (and to win!) to discourage the similar vexatious placement of caveats in future. I think the law currently is deficient in this regard.

Paul Davies
Clarke Willmott LLP

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Amen to that.

Current scheme is ludicrous.

No, not sure what the cause of action would be. Perhaps one of our barrister friends might opine?

Paul Saunders FCIB TEP

Independent Trust Consultant

Providing support and advice to fellow professionals

Perhaps a letter asking them the reason for the lodging of the caveat? If it is an inheritance or a trust issue there may have been a reason for it. I can think of several reasons why I might advise the lodging of a caveat to protect an interest, but those are, fortunately, purely hypothetical.

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