During the course of our work for Park Homeowners nationwide PHRAA never ceases to be amazed, or I should say utterly disgusted, at the depths to which unscrupulous park owners will sink in order to extort every last penny from the helpless residents.
This particularly bad example does not, by its very nature, come to light very often, but is no doubt widespread throughout the Park Homes Industry, and concerns the use of, what can only be described as compulsory “GAGGING ORDERS”, which residents or their relatives, are forced to sign having been effectively and illegally swindled out of their home and their life savings.
A typical example of the use of a “gagging order” is when a resident, or in the case of a deceased resident, the relatives or executors, come to sell the home for whatever reason. The park owner, taking full advantage of the right, given to him under the Mobile Homes Act 1983/2006, to vet any prospective purchasers, persistently puts off every prospective buyer until the helpless, and by now desperate homeowner, is left with no option but to sell the home to him for a fraction of the homes true market value. Thus depriving them of the money they hoped to receive from the sale of their home, (less of course the dreaded 10%), usually their main asset, and which they had relied upon to finance their future life.
Having forced by illegal means the devastated homeowner to sell to him for a pittance, the park owner then demands that before payment, they sign a document, usually drawn up by a Solicitor, giving the impression that it is an official document, forbidding the outgoing homeowner to disclose any details whatsoever concerning the transaction to a third party. The terms of the document contain dire threats of severe consequences including legal action, should the outgoing resident fail to comply. Swindled then silenced.
A typical example of this disgusting practice occurred recently where a park was purchased by a well known multiple park owner, who had only owned the park for a matter of days. A elderly lady resident, who due to ill health, had to enter sheltered accommodation and was in the process of selling her home at the time the home was sold. The new park owner immediately blocked her sale by illegally putting off the prospective buyer. The home was being sold for approximately £80.000. The new park owner then offered her the derisory sum of £7,000, but only on the condition that before he gave her the cheque she signed a “GAGGING ORDER” forbidding her to make any mention to a third party of the transaction, or make any derogatory remarks about the park owner or the park. Being presented with such a document especially by an aggressive park owner, is very frightening to elderly and vulnerable park home residents.
It is quite understandable that if, while reading this warning bulletin, you should say, especially if you are retired and have sold up your bricks and mortar to buy, or are considering buying, a brand spanking new park home, this cant be true, I wouldn’t stand for this, I would soon tell the park owner exactly where to stuff his “Gagging Order” form. But please consider the fact that in ten or twenty years time, it could be you in this position. That through declining health, loss of a partner or just frailty due to advancing age the time may come that you need to sell up and move into sheltered accommodation, or need to move closer to family. There is also the very probable fact that your present good park owner, who allows his residents to sell without problems, may have sold the park to one of the increasing numbers of unscrupulous park owners, who are the only ones buying parks at present and will block your right to sell. Will you then be able, or even be willing to fight especially if you have already moved into alternative accommodation and the home is standing empty awaiting a buyer and during the time the home remains unsold you are faced with paying the charges on two homes.
The only redress under Park Home Law a park homeowner has in this situation is to take the park owner to court. But court action, besides being expensive, traumatic and liable to take many months or even years to be heard, has no guarantee of success.
Although for the purposes of this warning bulletin we have used the widespread practice of blocking the homeowners right to sell as a typical example of the unscrupulous park owners use of “gagging orders” we have evidence of their use following other disgusting actions against helpless residents.
If you or any of your fellow park homeowners have experienced this situation Please let PHRAA know. All information will be treated in strict confidence.
Compiled for PHRAA by Ron Joyce. General Secretary PHRAA May 2007.
