At common law, and unless the contract provides otherwise, risk in the property passes to the buyer on exchange of contracts from which time the seller holds the legal estate on trust for the buyer1. It is therefore imperative that the buyer has in place a valid insurance policy covering the property from the moment of exchange. This common law provision is reflected by the Standard Conditions of Sale under which risk passes to the buyer on exchange of contracts2 and there is also provision that the seller is under no obligation to maintain his insurance policy except where
**Trials are provided to all LexisPSL and LexisLibrary content, excluding Practice Compliance, Practice Management and Risk and Compliance, subscription packages are tailored to your specific needs. To discuss trialling these LexisPSL services please email customer service via our online form. Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason. Trial includes one question to LexisAsk during the length of the trial.
To view the latest version of this document and millions of others like it, sign-in to LexisLibrary or register for a free trial.
EXISTING USER? SIGN IN
TAKE A FREE TRIAL
0330 161 1234