187. Practice and status of exchange of contracts.

There is no legal requirement for contracts to be exchanged. However, it is standard practice for a contract for the sale of land to be prepared in two identical parts, one being signed by the seller, the other by the buyer and for the two parts of the contract to be physically exchanged, so that the buyer receives the part of the contract signed by the seller and vice versa1. The actual time when the contract comes into being depends on the method which has been employed to effect the exchange2.

Legal recognition3 has been given to the practice of