Is she entitled to anything?

[cruz1]

I bought a property with my ex in joint names 5 years ago, we split up shortly after and i never got around to removing her name from the deeds or mortgage. I have just recieved a letter from her solicitor saying she wants to remove her name and to negotiate a settlement. I am confused as she never paid a penny towards the mortgage, bills or anything. I think it a little unfair.
.
I am now told that i cannot remove her name because i have mortgage arrears, and i tried to remortgage but was refused, so seem to be stuck. Apparently if i dont remove her name soon, she will pursue an application to the Court for an order for sale of property.

I don't want to sell, as i now have a daughter with my new partner and i was hoping the house would be a nest-egg for her future.

[Golden Shred]

Yes. Cathy, Reg and family live happily in London in a modern flat, but Reg has an accident at work and loses his job. Then the decline begins. Forced out of their home it is then a tenement, then shabby shared lodgings, then a dirty caravan site, then a derelict house and finally a grim hostel for the homeless. Reg is separated from his family, loses heart and interest and stops providing even meagre money Cathy is thrown out of the hostel onto the streets and finally the children are seized from her by unsympathetic social workers. If the legals go wrong for cruz he will face a final bill in excess of �100000 (quite a usual sum in these matters), money which he obviously hasn't got. Drawing his attention to Cathy Come Home is meant to be a help, not otherwise. If he continues to live in hubris, who's to say that by just after Christmas he will not walking in the footsteps of Cathy Come Home?

[cruz1]

So what would you you suggest i do? Would i just be better off just signing it all over to her and get it over with?

Either way i'm gonna lose everything.

[Golden Shred]

Well, unfortunately, you are unable to do that. Now that the legals have been set upon you it can only be cash - the legals and court can only take cash, not parts of a house, and both you and your ex will have to find cash. Also, the claim against you is very likely to be much in excess of the value of the house owned jointly by you and your ex. Very much more. Your best bet is to sell the house in conjunction with the ex's solicitor and let him have the cash. At the same time sell the place you currently occupy with the new girlfriend and daughter so that you have some cash. At a very early date the ex's solicitor will apply to the court for you to make a substantial deposit with the court (whether or not you contest matters) and this will be around �50000 (a usual figure in this sort of case). And you will have to pay your own solicitor upfront (about �2000 a month if the matter takes 12 months to come to a final hearing).

[themas]

Just because you have had a solicitor's letter it does not necessarily follow that the draconian result Golden Shred is suggesting will occur. It may be he knows of cases where it has occurred, but he does seem to me to be trying to scare you when it is quite likely you can come to a reasonable settlement and neither he nor you know at present whether this is possible.

The first thing to do is to try and find out what your ex will settle for. You really must not delay in doing this. I repeat - follow Buenchico's advice, and do it now. Also, it is almost certain you will have to sell the house so get 2 or 3 agents valuations. If you are still doing work on it, get it rapidly into a state where you can market it.

[Golden Shred]

(1) It is not possible at this time to obtain a settlement figure from the ex's solicitor. Until the property is sold and the net residual cash amount known there is absolutely nowhere to start from. When the factual cash amount is known the various uplifts which I have previously listed will be applied. Only then can a figure be known. Obviously the delay in selling the property is adding substantially to the costs which cruz must bear. The legal proceedings against cruz will commence without specifying an amount - this will be added in later.
(2) At the same time the other property in which cruz now lives with the woman and child should be liquidated, as the court will require cruz to pay in a substantial amount at an early date and he will need all the cash he can lay his hands on.
(3) The advice to further tamper with the property is extremely bad and if followed will certainly add to the amount that cruz must ultimately pay. It should be sold exactly as it was at the date that cruz received notice of the ex's intention to apply for a court order, neither more nor less.

[themas]

cruz - I do hope you will post on here when this matter is resolved. It would be interesting to know whether Golden Shred's prophesies of doom turn out to be correct.

[Golden Shred]

He won't be able to - whilst he will be able to retain those items which are a necessity for basic living that does not include the luxury of his computer which must be sold for the benefit of his ex and her and his own legal fees.