Finally, after accepting that pretty much negative SEO works (aka bad link neighbors), Google finally realised a tool to help webmasters reduce the negative effect of bad links that might be affecting their ranking. Here is now you can disavow a link inside Google Webmasters Tool.
How to Remove Bad Links Pointing at your Site using Google Webmaster Tools
-First, Log in into your Google Webmasters Tools.
-Second, go to this URL: https://www.google.com/webmasters/tools/disavow-links-main?pli=1
-Select the website that you would like to work on
-Now, click on disavow links and an option to upload a file will open. Here you need to enter a text file with the specific links that you would like for Google to not count against you. Here is the specifics of the tool, but basically you just need to enter a basic explanation of your actions (you are supposed to contact the webmaster that might be responsible for the bad link) and then just list the urls that you would like Google to reconsider.
#contacted website owner, no response
#contacted website owner, finally removed some links
#removed most links but the following are missing
The text file should contain information about the actions you have taken to remove the bad link on your own. Now if you have an entire domain you wish to block, simply type domain in front like this: domain: http://sample.com
You can download a list of links that Google is considering pointing at your site inside your Google Webmasters Tools
Now, Google reserves the right to not consider your request but if you have good standing mostly they will help you out. If you have any questions do not hesitate in contacting via my Gplus Profile