This historic liability originates from medieval canon law when the rector of a parish was responsible for the repair of the church chancel (the part over the altar where the service is celebrated).  The liability still exists and the obligation to repair the chancel attaches to the former rectoral glebe land.  This land may have been divided into many freeholds; however, each piece of land is equally liable for the whole amount.  It is believed that chancel repair liability benefits around 5,200 churches in England and Wales.

In the case of Parochial Church Council of the Parish of Aston Cantlow and Wilmcote with Billesley, Warwickshire v Wallbank a church council served a notice on a Mr and Mrs Wallbank requiring payment of £95,260.84 for repairs to the chancel.  The Wallbanks contended that they were not liable to pay.  The House of Lords held that the liability for chancel repair costs was enforceable against them.

At present the obligation to pay for repairs to the chancel does not need to be registered on the title to land for it to be enforceable against that land.  Therefore the only way to check whether any potential chancel repair liability attaches to a particular property is to carry out a chancel repair search.  If a potential liability is revealed, insurance is almost always available to cover the risk.

Chancel repair liability is an archaic and outdated area of property law which has the potential to create some very unfair situations, as is illustrated by the very significant liability in the Wallbank case.  However changes are to be brought in within the next 5 years: churches have until 13 October 2013 to register potential chancel repair liabilities against the titles to the properties affected by them.  If a potential liability is not registered by that date, the liability will cease to bind any purchasers of the property.  However, until a sale of the property occurs after that date the current owner of affected land will remain liable.  Thankfully, though, chancel repair searches will become obsolete for purchasers.

Posted: March 10th, 2009 under Commercial Property.
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