Can a buyer and seller use the same conveyancer?

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Home > Blog > Can a buyer and seller use the same conveyancer?
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03/04/2024

Unless you’re related to or friends with a conveyancer in Townsville, chances are you don’t have one on speed dial. Usually, people use Google, their real estate agents, friends, or family members to get recommendations on a conveyancer to assist with buying or selling. The problem is that sometimes, both parties end up approaching the same conveyancing solicitors.

Property transactions usually go smoothly. However, the sale or purchase of a property is a significant event for many individuals. Therefore, it is crucial to approach it with caution and seriousness.

What are the risks of having the same representation?

Legally, nothing is preventing both parties from using the same Townsville conveyancing firm. That being said, sharing the same conveyancer has a number of drawbacks.

Unequal representation can occur when one party feels at a disadvantage. This can lead to concerns about fairness within the transaction, resulting in conflicts. According to the ABC, Queensland’s Legal Services Commission received 293 complaints regarding conveyancing in the last three years, with 11 of them related to conflicts of interest.

When parties do not have separate legal representation, there is an increased potential for misunderstandings, especially if one party feels disadvantaged. This can lead to a higher risk of dissatisfaction or disputes in the future.

With only one firm representing both parties, the limited advice available in that firm could be a disadvantage. If the law firm represents both parties, it can impact their ability to assist you fully. This may also limit their expertise or focus on your case. When you sell or buy, getting detailed legal advice that fits your situation and needs is crucial.

Communication barriers are another cause for concern when using the same conveyancer. It can be challenging for the law firm to maintain confidentiality and effectively communicate with both parties without inadvertently disclosing sensitive information.

While, legally, there is nothing to say a conveyancer cannot work with both parties, it does present some ethical issues. Law firms must adhere to strict ethical guidelines and professional standards to maintain integrity and avoid any perception of impropriety. Given the issues above, it could be easier to breach ethical guidelines and professional obligations as a law firm.

What are the benefits of having the same representation?

If both parties are utilising the same residential conveyancing service, there may be an element of convenience. Working with the same law firm will streamline communication and coordination between those involved in the transfer of property. However, representing both parties may present challenges in providing unbiased advice and representation, as the interests of one party may conflict with the other.

Another reason the same representation may arise is if both parties already know, work and trust the same conveyancing firm. This familiarity may provide a level of comfort to the buyer or seller. In these instances, it could be possible to use a different office within the law firm. For example, our Cairns office can assist with transactions located in Townsville.

How do we handle conflicts?

We check for conflicts before taking on new clients to make sure we don’t have any conflicts with our current clients. If there is a problem, we will ask both sides for permission. We will explain the conflict and the potential consequences.

If we cannot appropriately manage conflicts, we may need to decline representation for one or both parties. Alternatively, we may suggest separate legal representation to guarantee that we fully protect each party’s interests.

If you are buying or selling a residential property, contact our team for an obligation-free quote.