Document 1 – Memorandum

To: Trainee Legal Executive 

From: Abigail Brunton 

Date: 7 July 2022 

File No: AB/128/Bridges 

Subject: Purchase of Orchard House, Stebbings Lane, Wareham, Dorset.

We have recently been instructed to act in this purchase transaction by new clients, Graham and Loretta Bridges (currently living at 3 Beeches Mews, Henley-onThames, Oxfordshire, RG9 4RD). They were recommended to the firm by Shabana Felton of PremierMove in Wareham, the estate agents who negotiated the sale of the property.

Clients’ Instructions 

Orchard House is a substantial detached former farmhouse, approximately 200 years old. It stands in about two acres of land and the agreed sale price is £870,000 (the original asking price was £900,000, but the clients’ lower offer has been accepted). The seller is Phillip Schmidt, who lives at the property. He has no related purchase of his own, as he is returning to live in Berlin, where he owns a hotel and restaurant business. 

The grounds of Orchard House consist mostly of lawn areas and rough grass, although there is a small apple orchard and a paddock. Within the grounds, and included in the purchase, is a small cottage which was converted by a former owner from farm outbuildings and which has planning consent for separate residential use.

Graham and Loretta have recently sold their own home in the London area and are keen to move to a rural location. Now that their two children are away at university, Graham plans to work part-time and to semi-retire. He is an engineer working in the oil industry with his own consultancy, so can base himself at home, travelling to London or other locations for client meetings as and when required. Orchard House is perfect for this purpose as there is a station in the vicinity with mainline links.

The plan is for Joan Bridges, Graham’s 75-year-old widowed mother, to move to Orchard House with them and for her to live in the cottage in the grounds.

Joan is in the process of selling her own home, 7 Chilterns View, Marlborough for £175,000, and has apparently told the clients that she is happy for them to have this money towards the purchase of Orchard House on the basis that they will let her live in the cottage and that they will “look after her”.

Apparently, she gets on very well with both Graham and Loretta and is happy that they will be living nearby. The clients say that she is currently fit and active, but that she has been thinking about the future and has decided that she no longer wishes to live alone in Marlborough. She has recently decided to sell her car as she has become nervous about driving and feels rather isolated as a consequence. She has looked at various retirement developments in the Marlborough area, but does not feel that this style of living would suit her. In return, Graham and Loretta plan to spend their spare time modernising the cottage for her (at their own expense), as it is currently neglected and rather outdated.

The matter is still at an early stage and I have not yet received any pre-contract documentation from Mr Schmidt’s solicitors, Assure-Convey in Wareham. We’ve exchanged emails and they are going to send through a draft contract shortly, together with supporting documents. They’ve already sent me a couple of plans of the property.

What I need you to help me with

I had an initial meeting with Mr and Mrs Bridges last Wednesday and went through the details of the transaction with them.

Unfortunately, it soon became apparent that there are several difficult issues in this case, involving other members of the Bridges family who are not at all happy with the proposed arrangements. I have summarised these issues for you in Document 2 so that you will have an overview of the case. You will see that this matter is going to need tact and diplomacy as well as careful legal handling.

Mr Bridges is a very assertive man. He is used to being in charge of his own business dealings and giving advice to others. I would not describe him in any way as a “team player”. He feels that he has come up with a perfect solution that works for himself, his wife and his mother and he does not welcome any interference from other family members.

I am due to have a discussion with Clive Harrison, Joan Bridges’ solicitor, on Friday (11 July). I shall be aiming to discuss and negotiate an arrangement which will be acceptable to the clients and to Joan Bridges. At the moment, you will appreciate that there are a number of difficult issues.

I will need to see what Clive Harrison is prepared to advise Joan Bridges to accept, so that we can decide upon a mutually acceptable way forward.

I have also attached some notes on the law affecting this case at Document 3 as I know that you have not worked on many files concerning joint ownership or conflict of interest issues.

Thanks 

Abigail Brunton 

Chartered Legal Executive Partner