The neighbors are the ones who drag the authorities on you because of the rental. And then it gets really expensive if the tenant possibly has to be compensated and the rental income fails to materialize.
The alternative would be to rent out the attic.
Honestly: start planning again completely from scratch without a granny flat and one size smaller.
To your question:
The question was whether the architect violated his duty here.
No one can answer that easily for you. In which service phase are you? The initial meeting with authorities and the review of approval feasibility is in service phase 2.