By Lianne Goddard, Chief Commercial Officer, CLSQ
Japanese Knotweed is an invasive plant which has acquired a reputation over the years and been blamed for causing damage to properties. It was introduced from Japan in 1850, it reproduces rapidly and can grow up to 10cm in a day. In the worst cases, it can send shoots through walls, floors, tarmac and drainage pipes, causing major damage.
It is not a crime to have Japanese Knotweed present on a property, but it has been legally classed as a controlled plant under the Wildlife and Countryside Act 1981 section 114 (2) (WCA 1981). Therefore, it is against the law to cause a nuisance by allowing it to grow onto another property. A Crown Court can impose an unlimited fine or a maximum prison sentence of two years, or both.
Legal cases over Japanese Knotweed
In 2018 two court cases opened up the possibility of prosecutions under different legislation. Bristol City Council used the Anti-Social Behaviour Crime and Policing Act 2014 to enforce a Community Protection Notice against a landowner for failing to address a Japanese Knotweed infestation. The landowner was ordered to put an eradication plan in place and also to pay an £18,000 fine.
“The way a seller answers the Japanese Knotweed question on the TA6 form can leave them vulnerable to future damages.”
In the case of Davies v Bridgend County Borough Council [2023] the Court of Appeal found that the value of a neighbouring property was diminished by the encroachment of Japanese Knotweed from a railway line.
Mr Davies claimed damages for diminution in value of his property, including the cost of treatment and a sum for disturbance and inconvenience in the sum of £4,900.
The case has been reported in the media and no doubt there will be more cases to come given that landowners are becoming more informed about the dangers of Japanese Knotweed.
Selling a property with Japanese Knotweed
There are no conveyancing or environmental searches that detect the presence of Japanese Knotweed. Instead, buyers must rely on the information provided in the seller’s Property Information Form (TA6).
At the outset, sellers must state whether Japanese knotweed is present when completing the TA6 form and confirm whether there is a management plan for eradicating it. If a seller answers “No” or “Not Known” while knowing that there is an infestation, the buyer could make a claim for damages later on.
The presence of the weed is very likely to affect the ability to sell a property, particularly if there is no eradication plan in place (the average cost of a Guaranteed Japanese Knotweed Management Plan in the UK is £5,000). Potential buyers will struggle to obtain a mortgage unless the mortgage lender is satisfied that the problem is under control. There is the option to sell to a cash buyer, but the value of the property is also likely to reduce significantly.
The Solution: Legal Indemnity Insurance
A “No” or “Not Known” answer to the question relating to Japanese knotweed on the Law Society’s TA6 form can leave a buyer vulnerable to future costs associated with Japanese knotweed. Thankfully the risk can now easily be alleviated with a low-cost knotweed insurance indemnity policy – providing cover for the new homeowner and their lender and addressing the uncertainty. Japanese Knotweed Indemnity Insurance is available for those properties not known to be affected, to provide protection against the future infestation of Japanese knotweed anywhere on the property.
CLSQ Japanese Knotweed Indemnity Insurance:
- Provides cover should a Remediation Notice be served in the future requiring that the proprietor takes steps to remove the invasive
- Provides cover in the event of a Japanese Knotweed Survey identifying required remediation works during the Period of Insurance (subject to terms and conditions).
- Covers financial losses, legal and professional fees and the cost of altering/demolishing/reinstating all or part of the property.
- Cover available for up to £20,000 online (with the option to increase to £50,000 or £100,000 for bespoke quotes).
- Optional add on protection to cover loss in market
For a one-off premium the policy covers the seller and their successors in title for 5 or 10 years, and the lender for the duration of the mortgage. If you representing a buyer who is concerned about the risk of knotweed, it may be worth considering CLSQ’s indemnity insurance.
This article was submitted to be published by CLS Property Insight as part of their advertising agreement with Today’s Conveyancer. The views expressed in this article are those of the submitter and not those of Today’s Conveyancer.
