What Is Chancel Repair Liability (CRL)?

What Is Chancel Repair Liability (CRL)?

Chancel Repair Liability (CRL) is a legal requirement that applies to properties within land that was once rectorial. This liability can be invoked by the church council of certain parishes and requires property owners to contribute to the costs of chancel repairs. To alleviate this potential financial burden, property purchasers often opt to obtain chancel liability insurance.

This liability traces its origins back to pre-Reformation times when rectors were responsible for chancel repairs. The responsibility for this liability was then transferred to lay rectors, who were typically wealthy landowners, when the land was sold or transferred. In 1923, spiritual rectors transferred their liability to parochial church councils. The recovery of funds from lay rectors is governed by the Chancel Repairs Act 1932.

Key Takeaways:

• Chancel Repair Liability (CRL) is a legal obligation for property owners in England and Wales to fund repairs to a church’s chancel.
• This liability applies to properties within land that was once rectorial and can be invoked by the church council of certain parishes.
• Property purchasers often opt for chancel liability insurance to protect themselves from potential financial burden.
• The liability dates back to pre-Reformation times when rectors were responsible for chancel repairs.
• The Chancel Repairs Act 1932 governs the recovery of funds from lay rectors.

History of Chancel Repair Liability (CRL)

Chancel Repair Liability (CRL) has a long and significant history in England and Wales. It dates back to pre-Reformation times when churches were ministered by rectors who were responsible for chancel repairs. The chancel, which is the area around the altar, required regular maintenance. However, when Henry VIII dissolved the monasteries and sold their rectories, the liability for chancel repairs passed with the land.

This resulted in wealthy landowners known as lay rectors assuming the responsibility for chancel repair liability. They became liable for funding the repairs to the church’s chancel. In contrast, parish members were responsible for the rest of the building. The liability-free parishes typically have either a vicar or a major landowner who bears the liability.

Over time, the enforcement of chancel repair liability has evolved. In some cases, churches have exercised their rights to apportion the cost of chancel repairs among affected landowners. This means that homeowners may unexpectedly be held liable for a large bill. The landmark Wallbank case in 2003 brought the issue of chancel repair liability to the forefront, as it found homeowners responsible for significant repair costs.

In 2013, changes were made to the registration of chancel repair liability. It became necessary to register the liability at the Land Registry in order for it to continue affecting a property. Approximately 250 churches applied to the Land Registry and attached notices of chancel repair liability to over 12,000 properties.

However, it is important to note that not all churches registered the liability, and it can still be applied even if a notice hasn’t been registered.

In conclusion, the history of Chancel Repair Liability (CRL) is rooted in the responsibilities of rectors and the transfer of liability to wealthy landowners. Understanding this historical context is important for property owners to navigate the potential risks and liabilities associated with chancel repairs. The next section will explore the current state of Chancel Repair Liability (CRL) and how it functions today.

Chancel Repair Liability (CRL) Today

So, how does Chancel Repair Liability (CRL) actually work?

Well, since 2013, it is no longer an automatic obligation that affects all properties. Instead, it is necessary for the liability to be registered at the Land Registry in order to continue impacting a property. Around 250 churches took this step and attached notices of chancel repair liability to over 12,000 properties. However, it’s important to note that not all churches registered the liability. This means that even if a notice hasn’t been registered, the liability can still be applied.

For homeowners, this means taking precautions when it comes to purchasing a property. Conveyancing solicitors often recommend conducting CRL searches and obtaining indemnity insurance for properties that are unregistered or have been transferred for valuable consideration since 2013.

It’s crucial to be aware that the burden to object to a notice falls on the landowner, and the liability can be added even after the property has been transferred. To safeguard against this risk, obtaining indemnity insurance is strongly advised.

In a nutshell, Chancel Repair Liability (CRL) today is not automatic or all-encompassing. It requires registration at the Land Registry to continue affecting a property. Homeowners should be proactive in conducting CRL searches, obtaining indemnity insurance, and staying informed about any potential liabilities. By taking these precautions, property owners can mitigate the risks associated with Chancel Repair Liability (CRL) and ensure peace of mind.